Bankera ICO Funds Diverted: Shocking Report Details Global Property Purchases
The world of initial coin offerings (ICOs) promised innovation and new ways to raise capital. However, a recent report highlights potential issues within one such project, Bankera. According to the Organized Crime and Corruption Reporting Project (OCCRP), the founders of the Bankera project allegedly diverted significant portions of the funds raised during their 2018 Bankera ICO.
What Does the OCCRP Report Allege About ICO Funds?
The OCCRP report, published on April 28 and citing leaked company records and bank statements, makes serious allegations regarding the use of ICO funds raised by Bankera. The report claims that nearly half of the 100 million euro ($114 million) collected from the ICO was transferred to a bank located in Vanuatu, a Pacific Island nation. This bank was reportedly acquired by Bankera’s founders: Vytautas Karalevičius, Justas Dobiliauskas, and Mantas Mockevičius.
How Were Bankera ICO Funds Used for Crypto Property?
Following the transfer of ICO funds to the Vanuatu bank, the report suggests a pattern of financial activity focused on acquiring real estate. The Vanuatu bank allegedly issued millions of euros in loans to companies controlled by the three Bankera founders. These loans were reportedly used to build a real estate portfolio, including properties in France and Lithuania.
This alleged use of capital for acquiring physical assets, described as crypto property investments, appears to contrast with the project’s stated goals during the ICO phase. The leaked records reportedly show that funds were used to back loans for these property acquisitions. Furthermore, the OCCRP report claims the Vanuatu bank also provided millions in loans directly to the founders for ‘personal use’.
Did Bankera Deliver on its ICO Promises?
The Bankera ICO attracted investors with the vision of creating a ‘bank for the blockchain era’. The project aimed to offer various financial services and facilitate crypto exchanges. Key promises included discounted service rates for token holders and weekly revenue share payouts in BNK tokens.
However, the reality for some investors reportedly fell short. An investor quoted in the OCCRP report stated that the weekly payouts significantly decreased over time. The revenue-sharing program was reportedly discontinued in 2022. Bankera also aimed to secure a European Union banking license, a goal that has not yet been achieved despite the substantial ICO funds raised.
What is the Current State of Bankera and its Token?
Despite raising 100 million euros, the value of the Bankera (BNK) token reflects a different reality. CoinGecko data indicates the token’s fully diluted value is currently around $975,710, a significant decrease from the ICO raise. Lawyers representing the Bankera founders reportedly denied the ICO was fraudulent but did not comment on the specific transactions mentioned in the report.
Bankera continues to offer some crypto-related banking services and maintains a presence on social media platforms like LinkedIn and X. However, the allegations raised in the OCCRP report bring scrutiny to how the initial ICO funds were managed and deployed by the Bankera founders, particularly concerning the alleged investments in crypto property.
Summary: Allegations Raise Questions About ICO Fund Management
The OCCRP report‘s allegations that Bankera founders used a large portion of ICO funds for global crypto property acquisitions via a Vanuatu bank raise serious questions about transparency and accountability in the ICO space. While the founders’ representatives deny fraud, the report details transactions that appear to deviate significantly from the project’s initial pitch to investors during the Bankera ICO. This case serves as a reminder of the risks associated with investing in unregulated offerings and the importance of scrutinizing how projects manage investor capital.
