Forsage co-founder denies charges in $340M crypto Ponzi scheme

Olena Oblamska, co-founder of the cryptocurrency platform Forsage, has pleaded not guilty to wire fraud conspiracy charges following her extradition from Thailand to the U.S., FinanceFeeds reported. Forsage, a smart contract-based DApp investment platform launched in 2020, is alleged by the U.S. Department of Justice to have operated as a Ponzi and pyramid scheme. The department claims the platform used smart contracts on the Ethereum, Tron, and BNB chains to automatically distribute funds from new investors to existing ones. Blockchain analysis revealed that over 80% of all investors received less money back than they invested, with more than half receiving no returns at all. The U.S. SEC filed a civil suit against those involved in 2022, with total losses estimated at around $340 million.