{"id":361231,"date":"2021-11-02T06:47:22","date_gmt":"2021-11-02T03:47:22","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/aussie-firm-to-launch-100m-class-action-over-dodgy-qoin-token\/"},"modified":"2021-11-02T06:47:22","modified_gmt":"2021-11-02T03:47:22","slug":"aussie-firm-to-launch-100m-class-action-over-dodgy-qoin-token","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/aussie-firm-to-launch-100m-class-action-over-dodgy-qoin-token\/","title":{"rendered":"# Aussie firm to launch $100M class action over dodgy QOIN token"},"content":{"rendered":"

“# Aussie firm to launch $100M class action over dodgy QOIN token <\/strong>”
\n<\/p>\n

The issuer of a controversial cryptocurrency that can only be sold in batches of $125 daily on a single exchange is facing pushback from an Australian law firm.<\/p>\n

Queensland-based law firm Salerno Law plans to file a lawsuit accusing BPS Financial Limited \u2014 the company behind the QOIN token \u2014 of engaging in misleading and deceptive conduct, pyramid selling of financial products, and failing to comply with financial services regulations. The lawsuit will seek $100 million in damages.<\/p>\n

Salerno Law, which specialises in crypto disputes, started collecting expressions of interest<\/a> from investors and merchants who had incurred losses as a result of the seemingly arbitrary limits placed on QOIN sellers last week.<\/p>\n

QOIN tokens are issued on the company\u2019s proprietary Qoin blockchain. As such, QOIN is not supported by decentralized exchanges, and can only be swapp<\/a>ed using the \u2018Block Trade Exchange\u2019 (BTX Exchange) \u2014 which prevents users from selling more than $125 worth of the token daily. However, users are able to make QOIN purchases between $100-$10,000.<\/p>\n

BTX is registered with the Australian Securities and Investments Commission (ASIC).<\/p>\n

The BTX Exchange, BPS and Qoin are all controlled by the same two men, Tony Wiese and Raj Pathak. Pathak and Wiese are also the joint directors of Bartercard, which is a barter trading system that allows businesses to exchange goods and services using a proprietary credit system called \u2018trade dollars\u2019.<\/p>\n

Salerno Law says that it has spoken to several holders of Qoin, who say they have experienced significant difficulty selling or withdrawing the token on the BTX exchange and redeeming the token at merchants. <\/p>\n

\u201cIt has been alleged by holders and merchants that they are either unable to accept Qoin payments or exchange the token for fiat currency due to the terms of BTX Exchange, leaving them with a token of no utility.\u201d<\/p><\/blockquote>\n

Qoin denies these claims, describing them \u201cbaseless\u201d in a statement<\/a> posted to its website on October 28. <\/p>\n

Public reviews provided by Qoin users also offer scathing assessments of the project.<\/p>\n

\u201cQoin is a TOTAL joke. Stay well clear of this company and it’s dirty dodgy dealings,\u201d one user posted<\/a> to the website Product Review. <\/p>\n

\u201c0 is my rating. This is NOT and again I will repeat it, NOT an investment. It\u2019s a closed barter system between businesses. Once your money is in, the max you can draw out currently is $125 IF you can,\u201d added Michelle from New South Wales. <\/p>\n

Read more: <\/em><\/strong>Blockchain Australia ousts retail merchant crypto project Qoin<\/em><\/strong><\/p>\n

The Salerno suit is not the first time Qoin has come under fire, with local industry association Blockchain Australia expelling Qoin\u2019s membership and requesting for its name and logo to be removed from marketing promotions in February of this year amid accusations it has been engaged in pyramid selling.<\/p>\n

\u201cThe former Member has been asked to cease the use of the Blockchain Australia logo and name in connection with their business or promotional activities,\u201d Blockchain Australia wrote at the time. <\/p>\n