Ricardo Badoer, the owner of Wazito FC, a fast-rising soccer team, is accused of defrauding investors through a crypto scheme.
A local magazine states that the businessman has withheld 16 billion dollars in investor payments via his cryptocurrency, Aidos Kuneen. According to current FX exchange rates, this equates to $141.6 million.
According to a source reported by a local daily, the volatile nature of cryptocurrencies may have contributed to huge losses for Badoer, a scenario that has been felt at the football club with which he is affiliated.
The popular football team has struggled to pay player salaries and other obligations, a problem that has previously afflicted several Kenyan teams.
However, according to a source for the local daily, not only the team, but also investors in the Aidos Kuneen cryptocurrency, are bearing the brunt of the wrath.
With fresh suspicions that Badoer is terrified of a bank run, the investors have been barred from making withdrawals.
The Aidos Kuneen cryptocurrency, which has predominantly Japanese clients, claims to allow users to spend their tokens freely without worry of being monitored or corrupted.
Furthermore, “even if its design differs from Bitcoin and other crypto-currencies, Aidos still keeps the essential ideals of openness, decentralization, and better privacy,” according to the company’s website.