May 6, 2020 – The Philippines’ Security and Exchange Commission issues an advisory against Won Project, Won Network, and Won Foundation whose project Woncoin is being used to solicit investment to the public that is not authorized by the Commission.
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Won Project maintains that they have a mobile application project and a multi-level marketing (MLM) platform that aims to tokenize OFW remittances, airline ticketing, digital loading, and even travel and tours. The SEC, however, said Won Project’s present endeavors suggest that their main objective is to sell and trade Woncoin to the public. Woncoin is supposedly a new cryptocurrency whose value appears to increase rapidly because of its limited supply.
As per the Commission’s investigation, Woncoin claims to be based and developed in Singapore. The team is composed of the following persons:
- Jay Mark Abenir
- Mhedel Ponce
- Jhomar S. Montoya
- Jiaxuan Hoan
The team said they have a virtual office in Singapore but they operate in the Philippines.
SEC also named other individuals with connection to Woncoin:
- Abigael Villafuerte, Jin Alba, Edwin Pantas, Lilibeth Arzadon, Bobby Alvarez
Won Project uses social media and other platforms to lure the public to buy Woncoin, the Commission said.
The packages offered by Won Project and the expected Return on Investments (ROI) are the following:
- Starter – $100 (ROI – $150)
- Bronze – $500 (ROI – $750)
- Silver – $1,000 (ROI – $1,500)
- Gold – $5,000 (ROI – $7,500)
- Platinum – $10,000 (ROI – $15,000)
- VIP – $20,000 (ROI – $30,000)
Won Project also has the following bonuses:
- Referral Bonus
- Every investor who sign up to the link and successfully activated a package you will be receiving 5x direct referral bonus
- Binary Bonus
- Receive up to 10x Sales Matching Bonus
- Upline and Crossline Bonus
- Receive 5x Bonus from your upline and your crossline binary income
SEC said that based on Won Project’s advertising, it is promising a 1.5% profit during weekdays for 100 days. That’s a 150% return on investment. Additionally, investors earn a commission from purchases made by their referrals which will generate points based on the number of Woncoins they purchased. This can be converted to cash bonuses and incentives such as an android phone, iPad Pro, sedan, or local/international travel.
Taking advantage of the pandemic
SEC also said Won Project took advantage of the current health crisis by offering a promo that gives an additional 50% bonus on Woncoin purchases during the pandemic so that these investors can earn during the quarantine period.
Despite the lucrative offers, Won Project imposes a daily cap to limit the potential income of its investors. SEC said this mechanism is employed by scammers to generate and secure the funds from the new investors so that they can pay fake profits to the earlier investors.
Illegal Sale of Securities
The SEC deemed Won Project to be engaged in the offering and selling of securities in the form of an investment contract. It is also involved in illegally crowd selling its tokens – woncoin – which the SEC thinks is a form of “derivative”, which are securities that derive their value from an underlying asset, benchmark, or certain conditions.
Securities must first be registered with the SEC before they can be offered to the public. SEC said Won Project is not registered with the Commission and does not have the license and authority to solicit investments to the public.
SEC also said Won Project and Woncoin do not appear in the list of virtual currency exchanges allowed by the Bangko Sentral ng Pilipinas (BSP) to operate.
In light of this, SEC advises the public not to buy Woncoin and stop investing in schemes offered by Won Project and the people behind that project.
Anyone who acts on behalf of Won Project may be criminally prosecuted and penalized with a max fine of 5 million pesos or a penalty of 21 years of imprisonment, as per the Securities Regulation Code (SRC). In addition, the Bayanihan to Heal as One Act is a recently-passed law that punishes individuals participating in cyber incidents that take advantage of the current crisis to prey on the public through scams, phishing, fraud, etc.
Read the SEC advisory here.
This article is published on BitPinas: PH SEC Advisory Against WonCoin/Won Project