Don't think anyone mentioned who created the site:
https://bitcointalksearch.org/user/hotswap-67018Surprise surprise Dr. Michael Moriarity
Do your research before you entrust any sum of coin to anyone. In this case, the scammer was tagged long before Torwallet as an experienced conman. And he didn't even hide under any alts, he used his main account which everyone can check... Come on guys its not hard.
Hmm.
Tor.
Custodial Bitcoin wallet.
Now, what might be the most likely end game for such a set up?
It's fairly easy to guess.
It's like as soon as people hear about Bitcoin and start using it, they just give up any normal rules of where they put their money, which is strange as hell considering that they should do the exact opposite and be much more careful than they are with fiat.
It's like, "hey, people use Bitcoin on Tor, so look at this online wallet that's on Tor! Let's put our coins into that!"
No due diligence, no checking if they're a regulated company, no checking for information about the owners, nothing...
Same thing happens with investments. Normally none of these people would give their fiat to a company that promises to pay them back >3% daily, but apparently with Bitcoin they feel it's acceptable. Maybe it's a side effect of all the stories of people getting rich with Bitcoin that cause people to lose all of their judgement.
Whole point of bitcoin is supposed to be trustless and decentralized, so exactly, why would you trust someone to hold your coins for you? Not only does it mean that your privacy on the TOR network is negatively affected you're also not holding your own priv keys anymore, which means that you don't hold the coins.
Moriartybitcoin aka Hotswap has also operated coinmixer, another scam. Read here:
https://bitcointalksearch.org/topic/m.17169862Investigation of his alts:
https://bitcointalksearch.org/topic/alts-of-moriartybitcoin-lenny-and-hotswap-1159906GL tracking him down, though it's extremely unlikely that you'll succeed. But in the end, karma will get him.
