TRUNOMIC, previously known as Elite Forum World, launched a fake cryptocurrency that it markets as a revolutionary investment opportunity. It is a classic rug-pull scam, which continues to evade the scrutiny of authorities in India, where most victims are located.
Sergei Mavrodi was a Russian mathematician who founded the MMM pyramid scheme in 1989. MMM promised investors returns of up to 1,000% per annum, luring millions of people. Like typical pyramid schemes, MMM’s returns were paid from the investments of new participants rather than from profit generated by real business activities.
The scheme initially started in Russia but eventually expanded to other countries, creating a wide network of participants. At its peak in the early 1990s, it is estimated that between 2 to 40 million people had invested in MMM.
The scheme collapsed in 1994 when the Russian authorities intervened, leading to massive financial losses for its investors. Mavrodi was arrested that year but was released due to a lack of concrete evidence of fraud. He was later convicted of tax evasion and spent several years in prison.
The scheme goes global
Mavrodi attempted to resurrect MMM multiple times using online platforms in China, India, South Africa, Nigeria, etc. These new schemes often mimicked the original’s high returns and inevitably collapsed, causing further financial damage to participants. The scheme went international with MMM Global.
The scheme caused billions of dollars in losses. Mavrodi died in 2018, but his model lives on through multiple shady or outright illegitimate organizations, such as TRUNOMIC, P2P, and MMM India. They lure victims in with the promise of high returns on crypto investments.
Authorities are not acting
TRUNOMIC’s use of cryptocurrency and anonymous transactions complicates the scheme, making it harder for victims to trace their funds and find justice. Indian media alarm that authorities are either intentionally ignoring the scam or not recognizing it despite obvious signs. This negligence has enabled platforms like TRUNOMIC to operate openly and deceive more and more people in the process.
The name changed, but the scam is the same
Complicit organizations changed the scheme’s designation. They now call it the “Gift Plan,” which operates under the guise of gifting and mutual aid, promising high returns with minimal risk. The basic concept is the same: new participants are recruited to pay earlier investors, and financial ruin is inevitable.
