There is a perception that a large number of altcoins are really pump-and-dump schemes
. It isn't completely deserved, there are plenty of legitimate coins out there. But, the number of coins that have been premined and were subject to pump-and-dump schemes is undeniably higher than anyone would like. For once, someone is hitting back at the scammers.
The Cryptocoin Revival Foundation
took over lead development on Quarkbar
and then discovered over 15 million Quarkbar that were not a part of the original blockchain. The foundation then worked with exchanges to lock those wallets and secure the faulty coins.
Back in April, with the Quarkbar's original developer long gone and the community struggling, the Cryptocoin Revival Foundation took the lead on the project. They patched some security holes, released new wallets and generally did things that it considers its mission as the Cryptocurrency Revival Foundation.
Then on May 26, after going over the blockchain, the foundation noticed an extra 15 million Quarkbar that had been premined
in block one of the cryptocurrency, almost equal to the amount of legitimate Quarkbar coins in existence. They were likely held by the original creator of Quarkbar.
The foundation was able to track down 97.7% of the fake coins in various wallets and worked with various exchanges to isolate and block the wallets containing them.
Those wallets also had about 0.4 BTC worth of other altcoins, including Beecoin and Asiacoin which suffered from similarly run scams. This has led to speculation that the perpetrator of this scam may have been involved with other scams in the past.
Quarkbar did see a spike in value after the announcement, but it seems to have settled back near its price before the foundation's takeover. Part of the reason for this could be because the scammer never cashed in the majority of his premined Quarkbar coins, the sheer number of coins made a complete cash out impossible.