ChainCatcher news, the People's Court of Pingnan County publicly heard the case of defendants Lai Mouhang and 3 others organizing and leading a pyramid scheme at the First Trial Court of the People's Court of Gangnan District, Guigang City, involving an amount exceeding 600 million yuan. The prosecution believes that the defendants Lai Mouhang and others, under the guise of mining FIL coins on the Shikongyun company platform, required participants to pay for purchasing mining machines or leasing fees to qualify for membership, and formed hierarchies in a certain order, directly or indirectly using the number of people developed as the basis for rebates, luring participants to continue developing others with high returns, defrauding property, and disrupting the economic and social order. Their actions are serious violations of criminal law and should be held criminally responsible for organizing and leading pyramid schemes. The case is currently under further trial.According to the prosecution, in September 2019, defendant Lai Mouhang set up the IPFS China community website and WeChat public account using the ipfs.cn domain name, vigorously promoting and exaggerating the investment prospects of distributed storage technology and the economic model of filecoin.io. Later, after discussions with Liang Mou Sheng and Hu Mou, Lai Mouhang imitated the economic model of filecoin to create its mining model and developed the filpool.io platform of Shikongyun company. After the establishment of the filpool.io platform, the gang used the website and Shikongyun platform to introduce and promote the distributed storage technology of Shikongyun company, exaggerating the profit prospects of this technology, promoting joint mining, cloud computing power packages, etc., under the guise of selling storage servers to mine FIL coins. Participants could obtain membership status above bronze and the qualification to promote and develop members by purchasing at least 8TB of cloud computing power. Members received commission income and virtual assets corresponding to their membership level, and gained benefits through dynamic and static income methods. The more they invested and developed downlines, the more profits they obtained, thus defrauding participants of their property.On this basis, in February 2021, Shikongyun company developed the bpool.io platform with a cooperative merchant model, using the company - cooperative merchant - member model to carry out pyramid scheme activities. By May 18, 2022, when the case occurred, the total number of members on the Shikongyun filpool.io platform was 57,122, with 16 levels, selling 7,876,518.2 USDT coins, and a sales revenue of 339,562,050.7 yuan. The Shikongyun bpool.io platform had 143 cooperative merchants, a total of 37,015 members, 11 levels, selling 24,049,727 USDT coins, and a sales revenue of 353,443,709.64 yuan, with 57,137 FIL coins sold. Shikongyun company obtained a total of 606,955,717.65 yuan and 62,155,764.8573519 virtual coins through the operation of the filpool.io and bpool.io platforms.