1. What is YuanziCoin? A Fundraising Funnel Disguised as Religion
YuanziCoin and its main domain yuanzicoinynzs.com publicly declare themselves as a "Sharia-compliant blockchain project," aiming to "serve 1.8 billion Muslims worldwide." Its main selling points include promises of a 5% to 15% annual yield, low-cost cross-border remittances with 95% reduced fees, automated Zakat charity features, and a multi-level referral commission system.
On the surface, this appears to be a "mission-driven" fintech project, but each key operational point leads to the same conclusion—this is a typical Ponzi scheme, rather than a genuine blockchain product or compliant financial institution.
2. First Feature of Ponzi Schemes: High-Interest Fundraising and Multi-Level Commissions
Regulatory bodies and security companies identify "high-yield investment programs" as common forms of Ponzi schemes: promising unrealistic returns, relying on continuous new funding, and eventually collapsing when new funding dwindles. YuanziCoin fits this definition perfectly.
Annual Yields of 5% to 15% Are Typical Lure Rates
In the real cryptocurrency staking market, mainstream stablecoins typically offer annual yields of 3% to 8%, accompanied by clear market and protocol risks. YuanziCoin's promise of 5% to 15% yields is conspicuously high, and its "profit sharing" rhetoric fails to clarify any real source of income. A standard Ponzi scheme tactic is to use high interest rates to attract retail investors, then use funds from later investors to pay off early ones.
Multi-Level Referral Commissions Are the Lifeblood of the Fund
YuanziCoin explicitly promotes a "multi-level referral commission" system on its tokenomics page. This is one of the most dangerous signals of the entire project.
In legitimate projects, referral rewards are typically small, one-time bonuses rather than primary income sources. User incentives are based on product use or network effects, with funds flow being publicly traceable and regulated. In Ponzi schemes, multi-level commissions are the main growth drivers, with user incentives entirely based on the number of recruits and the scale of new funds, while fund flows remain a black box fully controlled by the operators.
YuanziCoin's adoption of multi-level commissions means that users' primary profit method isn't through the project's business itself, but through continuously recruiting subordinates. This is core to the operation mode of major convicted cryptocurrency Ponzi schemes like BitConnect and OneCoin.
The U.S. Securities and Exchange Commission clearly states that affinity fraud often exploits religious, racial, or cultural identities to build trust, then uses multi-level commissions and high-interest promises to exploit specific groups. YuanziCoin's repeated emphasis on the "Muslim community," "Sharia compliance," and "Sharia audit" is a textbook example of this tactic.
3. Second Feature of Ponzi Schemes: Fake Endorsements and Unverifiable Teams
YuanziCoin's team page and promotional materials are filled with unverifiable "authoritative" information, a method highly consistent with known fraud projects.
Using Historical Figures as CEO
The team page lists "Dr. Fatima Al-Fihri" as the CEO. However, Fatima Al-Fihri was a real historical figure in the 9th-century Islamic world known for founding the University of Al-Qarawiyyin, who passed away around 880 AD.
What does this mean? Either the project deliberately uses the name of a deceased historical figure as the CEO to leverage her revered status in the Muslim world to foster trust, or the name is mere coincidence but the project fails to provide any genuine personal CVs, LinkedIn profiles, past work experiences, or verifiable identity information. Either way, this amounts to a false or misleading statement, a typical tactic in investment fraud.
Imitating Famous Scholars' Names for Sharia Advisors
One Islamic law advisor is listed as "Mohammed Qaradawi." The globally renowned Islamic scholar Yusuf al-Qaradawi is a prominent member of the International Islamic Fiqh Academy. The names are strikingly similar.
The project fails to provide any records of this advisor’s institutions, academic papers, public speeches, or third-party verifiable records. This "similar name" tactic frequently appears in fraud projects to make inattentive readers think the project is linked to actual renowned scholars, thereby gaining undeserved trust.
Unverifiable Titles Such as Nobel Nominations
The team page also mentions high-profile titles like "former Google blockchain head" and "Nobel Prize nominee." In a normal business environment, such titles would typically come with a wealth of public records—media coverage, academic papers, patents, university positions, etc. However, YuanziCoin provides no traceable evidence.
The conclusion is clear: YuanziCoin's team information lacks any verifiability. Its presentation resembles "role-playing" or "trust props" rather than real leadership team disclosures.
4. Third Feature of Ponzi Schemes: Fund Aggregation Black Box and Withdrawal Risks
YuanziCoin's Treasury is the First Door to Fund Loss
YuanziCoin's solution page describes a four-step process: deposit fiat or stablecoin into the "YuanziCoin Treasury," mint YNZS tokens, trade, and then convert back to local fiat.
The key question is: who controls the "treasury"? Is it a smart contract or multi-signature wallet? Has the contract been audited? Once funds are deposited, do users retain any control over their assets? What is the legal entity of the treasury? In which country is it registered? Which regulatory body governs it?
YuanziCoin’s public pages utterly fail to answer these questions. In investment fraud, this "deposit first, question later" design aims to relinquish users' control over their assets, leaving them at the operators’ discretion.
Common Evolution Path of Withdrawal Difficulties
Based on extensive analyses of fraudulent cryptocurrency platforms by security companies, projects like YuanziCoin typically follow these standard operational procedures.
Initially, the platform allows small withdrawals, creating a "trustworthy" illusion to encourage users to increase investments and invite friends. In the mid-stage, withdrawals begin to delay, systems notify "under review," "technical upgrade," or "tax issues." In later stages, the platform demands users pay "unfreeze fees," "certification fees," or "tax fees" for withdrawals—these fees are scams themselves. Eventually, the website becomes inaccessible, operators disappear, and funds are funneled to mixers or exchanges for cash out.
YuanziCoin has now entered its promotion and fundraising phase, with its "treasury deposit" design fully aligning with the first step of the aforementioned process.
5. Comparison of YuanziCoin with Convicted Ponzi Schemes
OneCoin's model of multi-level marketing, fake cryptocurrency, and high-interest promises ultimately led to its co-founder being sentenced to 20 years, causing billions in losses. BitConnect operated on high-yield staking alongside referral commissions and fake trading bots, and was sued by the SEC, ultimately returning over $17 million to victims. PlusToken, a classic with high yield wallets and multi-level commissions, became China's largest cryptocurrency Ponzi case with billions of assets seized.
YuanziCoin's operational mechanism is almost identical to the aforementioned convicted projects. The only distinction is its added "Sharia compliance" and "Muslim community" religious packaging—precisely the core feature of affinity fraud warned by regulators.
6. What to Do if Your Funds Are Locked? Urgent Action Suggestions
If you or anyone you know has transferred funds to YuanziCoin addresses, immediately take the following actions.
Stop Any Additional Funding Immediately
Do not pay any "tax fees," "certification fees," or "unfreeze fees." These are secondary scams by fraudsters. Do not participate in referral commissions, as recruiting only adds more victims and may legally implicate you.
Preserve All Evidence
Screenshot and save the official website, team pages, tokenomics pages, and referral program explanations. Export all transaction records, including transaction hashes, times, amounts, and recipient addresses. Save all communication records with project representatives, including Telegram groups, Discord groups, and emails.
Report to Regulatory and Law Enforcement Agencies
In the U.S., report securities fraud to the SEC’s Investor Complaint Center, consumer fraud to the FTC, or internet crime to the FBI’s Internet Crime Complaint Center. In the UK, report to Action Fraud. In Australia, report to the Australian Securities and Investments Commission and ACCC Scamwatch. In China, report to your local public security bureau with complete evidence.
Beware of Scam Recoveries
Once funds enter a fraudulent platform, recovery chances are minimal. Any third party claiming to "recover funds" is likely another scam. Do not pay any "recovery service fees."
7. Final Risk Conclusion
Based on public information, YuanziCoin exhibits high-risk characteristics across multiple risk dimensions.
In terms of high-interest promises, YuanziCoin offers 5% to 15% annual returns without disclosing any real income sources. In multi-level commissions, it explicitly promotes referral rewards, forming a typical pyramid structure. In fund aggregation, the "YuanziCoin Treasury" requires direct user deposits without any custodial disclosures or regulatory information. In team verification, the CEO is listed as a historical figure, and advisor names imitate known scholars, with no trackable resumes. In asset backing, the project claims to have "real assets" and "custodial institutions" without providing any verifiable proof. In domain information, the domain was newly registered in September 2025, with the registrant's information protected for privacy. In religious packaging, the project frequently mentions "Sharia compliance" and "Muslim community," which are typical tactics of affinity fraud.
Final Conclusion: YuanziCoin presents a complete and highly sophisticated Ponzi scheme structure. Until the project provides independently verifiable legal entity registration, licensed custodian verification, third-party audited smart contract addresses, and verifiable real team identities, YuanziCoin should be deemed a high-risk investment scam. It is strongly advised to immediately distance yourself and report to the relevant regulatory authorities.
References
[1] YuanziCoin Official Website, https://www.yuanzicoinynzs.com/ (accessed April 2, 2026)
[2] YuanziCoin About Page, https://www.yuanzicoinynzs.com/about.html (accessed April 2, 2026)
[3] YuanziCoin Solutions Page, https://www.yuanzicoinynzs.com/solutions.html (accessed April 2, 2026)
[4] YuanziCoin Tokenomics Page, https://www.yuanzicoinynzs.com/tokenomics.html (accessed April 2, 2026)
[5] YuanziCoin Team Page, https://www.yuanzicoinynzs.com/team.html (accessed April 2, 2026)
[6] WHOIS Record for yuanzicoinynzs.com (accessed April 2, 2026)
[7] PRLog Press Release, YuanziCoin Promotion (accessed April 2, 2026)
[8] U.S. SEC, "Affinity Fraud", https://www.sec.gov/about/divisions-offices/division-enforcement/affinity-fraud
[9] California DFPI, "High Yield Investment Programs (HYIPs) – Don’t Get Scammed", https://dfpi.ca.gov/news/insights/high-yield-investment-programs-hyips-dont-get-scammed/
[10] Palo Alto Networks Unit 42, "Investigating Scam Crypto Investment Platforms…”
[11] U.S. Department of Justice SDNY, OneCoin Sentencing Release, https://www.justice.gov/usao-sdny/pr/co-founder-multibillion-dollar-cryptocurrency-scheme-onecoin-sentenced-20-years-prison
[12] U.S. SEC, BitConnect Enforcement News Release, https://www.sec.gov/newsroom/press-releases/2021-172
[13] U.S. Department of Justice, BitConnect Restitution Announcement, https://www.justice.gov/archives/opa/pr/crypto-fraud-victims-receive-over-17-million-restitution-bitconnect-scheme
[14] Bloomberg, "China Charges PlusToken Organizers…”
[15] Asia Financial, "China Confiscates $4.2bn in Crypto Assets From PlusToken…”
[16] World History Encyclopedia, “Fatima Al-Fihri and Al-Qarawiyyin University”
[17] CILE Article on Yusuf Al Qaradawi
