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Two ICO projects have suddenly ceased all contacts with investors, while the network is fulfilling with reports that all their activities amounted to the organization of fraudulent schemes.

Ifan and Pincoin, promoted as cryptocurrency start-ups from Singapore and Dubai, turned out to be financial pyramids controlled by the Vietnamese company Modern Tech. After Initial Coin Offerings (ICO), the two projects stopped answering investors' emails and messages. The numbers of victims supposedly ammounts to tremendous 32,000 investors who lost 15 trillion Vietnamese dong ($660 million).

Ifan is introduced as a means of payment between celebrities and their fans. The value of the cryptocurrency is said to rise “on a daily basis” as the company invites more Vietnamese singers to join the network. Investors were told that the tokens they received would have their value skyrocket once they officially became crytocurrencies when the two projects were realized.

After investors stopped get payments in cash, as it was promised by organizers of both start-ups, they gathered a demonstration in front of the Modern Tech office in Ho Chi Minh City.

Modern Tech said that it was only a representative of both projects in Vietnam, but local media reported that the company's 7 managers were scammers from those projects.

According to the news portal Viet Bao, the owner of the building, which housed the office of Modern Tech, said that the company left the premises in early March.

"Modern Tech moved out and liquidated the contract about a month ago," the portal quotes the owner of the building. "No one knows where they are now."

Pincoin was under suspicion of the community for several months. The Behindmlm portal in February published an analysis of the scheme, which noted that deposit methods and non-transparent structure can be signs of a financial pyramid.