Failed BTC Ponzi Scheme Drives South African Man To Burn Down House

By Sumedha Bose

Losing money can drive people to extreme ends, and this piece of news is just the perfect example of that adage.

A South African man burnt down the fraudster’s house after he lost money in a failed Bitcoin ponzi scheme. Although part of a big group of angry investors, he stood out because of his unusual reaction.

The scheme was being operated by Sphelele Mbatha, a local who operated as a paramedic for 11 years before he decided to start this scheme. The investment scheme offered to double the money of the investors, within two weeks through cash deposits.

As expected, the scheme couldn’t deliver on what it promised and that resulted in a lot of people getting really angry with the founder of the scheme. A mob of angry investors went to the investment schemes founder, after they did not receive the sum that they were promised.

Mbatha had explained the locals how their money would be reinvested in cryptocurrency and that eventually they will receive double the amount.

The gullible locals who have no idea about how digital assets work, quickly jumped at the idea, without understanding the nuances of it.

Mbatha initially blamed the local municipality for the failure, claiming they had asked him to relocate his office, to which the Alfred Duma local municipality said,

“We did not even give him a letter instructing him to vacate the premises or close down. We did not do that. We merely gave him a chance to find new premises from which to operate at his convenience.”

Ultimately, on Wednesday morning, an angry mob went all the way to Mbtaha’s home, only to find out that he was not at home. The mob then began looting the house and eventually they set the house and a BMW motor vehicle on fire.

The case is currently being investigated and there will be repercussions for Mbataha for conning innocent people.

Sumedha Bose

Sumedha uses words as her crutch to get by in life. She takes a keen interest in debating, dancing and destroying the patriarchy in her free time. She can be contacted at [email protected].

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