Konstantin Ignatov: OneCoin scammer sentenced to 34 months in prison

token_therapist · 2026-02-26T15:13:30+00:00

The sentencing of Konstantin Ignatov marks a pivotal moment in uncovering one of the largest cryptocurrency frauds, OneCoin, which defrauded victims of billions. Ignatov's cooperation led to significant legal actions against others involved, highlighting the critical need for accountability in unregulated investments.

token_therapist

2026-02-26 15:13:30

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The sentencing of Konstantin Ignatov marks an important turning point in uncovering one of the world’s largest cryptocurrency fraud cases. The fugitive Ruja Ignatova’s brother received a 34-month prison sentence from U.S. District Judge Edgardo Ramos, which fully covers his already served time. This decision recognizes Ignatov’s extensive cooperation with investigators and emphasizes the importance of collaboration in criminal proceedings.

The OneCoin Empire: A Billion-Dollar Scam

OneCoin is considered one of the biggest scams in cryptocurrency history. According to prosecutors, the fraudulent platform generated a total revenue of €3.4 billion—approximately $3.7 billion USD—between Q4 2014 and Q3 2016. Judge Ramos described OneCoin as “a massive fraud with hundreds of thousands of victims,” many of whom realistically have little hope of ever recovering their investments.

Ignatov’s Cooperation Pays Off

Konstantin Ignatov’s role in exposing the scheme went beyond mere guilty pleas. The defendant testified against Mark Scott, the former lawyer for the OneCoin network, who was convicted of laundering $400 million USD and sentenced to ten years in prison. These statements provided authorities with crucial evidence of the systematic structure of the fraud.

A Warning for Investors

Notably, Ignatov admitted after the trial that he did not tell the full truth during his testimony—for example, regarding the alleged disposal of his laptop in Las Vegas. Despite this inconsistency, the court imposed not only a prison sentence but also two years of supervised release and a fine of $118,000 USD. The Konstantin Ignatov case remains a cautionary example of the risks associated with unregulated cryptocurrency projects.

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