Back in 2010, Alexander Kuzmin, then the mayor of the Russian city of Megion, plundered the city budget into his questionable business, for which he was put in a high-security prison, and then without any justification, allegedly for diligent behavior, was released by the authorities. Immediately after that, the former mayor ran to the USA. There, in the Silicon Valley, he began to develop his crypto-wallet Mycelium, gathering around him programmers with a stained reputation, who did not disdain to receive stolen money from A. Kuzmin.
Already in 2016, having plundered to the last the city budget, Alexander Kuzmin, convicted under several criminal articles, becomes the head of one of the most popular crypto wallets in the world – Mycelium.
The operating principle of Alexander Kuzmin’s wallet is a financial pyramid based on the blockchain. The so-called crypto-currency pyramid does not have many distinctive features from the usual financial pyramid. They have same qualities, but there is an opportunity to invest in digital assets, in case with Mycelium this is Bitcoin investments. The idea, as it turned out, is very simple: new users of the Mycelium wallet compensate for the lack of funds literally stolen from the wallets of existing users by the employees of Mycelium.
But for Alexander Kuzmin and his wife Ekaterina Kuzmina, she is, by the way, a co-founder of the UK-registered Mycelium Technologies Ltd., not enough operate a fraudulent crypto-scheme and the pyramid In late 2016, Mycelium held ICO crowdfunding, stating in its press materials that money was needed to support future updates, as well as a desire to provide its customers with the opportunity to become interested parties in the company. ICO made it possible for the company to distribute only 5% of the authorized capital to the owners of the tokens, then the former backend developer left the company, saying that he had witnessed the misappropriation of the collected funds of users: “One of the first things they did when they sold these tokens was that they bought a holiday in Spain for all developers. ”
Sold tokens have not been connected to any stock exchange and, as a result, they still don’t cost a penny of real money, and the fake pyramid wallet is still available for downloading to a smartphone.
Right after that investors of Mycelium suffered a disproportionate damage from a new project of Alexander Kuzmin MassNetwork, which is also a little-known, but frankly fake, and the last one has squandered 1.1 million US dollars of investors.
Mycelium now is a partner of the Russian crypto-platform Waves, which persistently promotes a fraudulent crypto-scam and pyramid. Waves is the developer of the "closed" blockchain Vostok. The Vostok, which was designed for growth and needs in power structures, is estimated at $ 120 million USA dollars.
Though I dislike Alexander Kuzmin, as he has stolen my money in this MASSNETWORK scam, however at least some of the allegations above are false.
Particularly, they say
"The operating principle of Alexander Kuzmin’s wallet is a financial pyramid based on the blockchain. The so-called crypto-currency pyramid does not have many distinctive features from the usual financial pyramid. They have same qualities, but there is an opportunity to invest in digital assets, in case with Mycelium this is Bitcoin investments. The idea, as it turned out, is very simple: new users of the Mycelium wallet compensate for the lack of funds literally stolen from the wallets of existing users by the employees of Mycelium.".
That does that mean? As far as I know, Mycelium wallet gives users full access to its private keys, so if any of the funds of any user were used to compensate other users of the wallet, the victim could easily identify this. Does anyone know about many Mycelium users (or at least few) reporting funds stolen from their wallets? If not, then the allegation above is obviously false.
And one more point - being alleged in Russia means almost nothing. Russian judicial system is completely crooked. The judges in Russia often are worse criminals than the ones whom they judge. It is not a secret almost every city major in Russia is stealing money from city budget. In fact, if Kuzmin was alleged for stealing money - it might mean he could be the rare exception - an official who didn't steal them. In Russia things are often the opposite of what they seem.
Anyway, Kuzmin is most probably a crook, but there is no need to mix true allegations with false ones.
Anyone knows if there are any attempts to catch and sue him?
