Cryptocurrencies are the hot investment to catch on with these days. With the rising price of bitcoins, countless people are trying to cash in on the boom.
Bitconnect is a cryptocurrency which is trading at $271.9 as i write and currently maintains the 7th position with a marketcap of $2,008,634,172 on coinmarketcap.com
Amidst this growth most crypto-ethusaites holds the notion that the cryptocurrency is a scam.And recently founder of the 2nd most valuable cryptocurrency(ethereum) vitalik buterin in his latest tweets say
“He has head about bitconnect or even know what tye cryptocurrency is”.
Despite bitconnect climbing to 7th positionn with over $2bl market cap.
BitConnect Scam Claimsand review.
As captured by Ethanvanderbuilt in his blog post
BitConnect is an open source all in one bitcoin and crypto community platform designed to provide multiple investment opportunities with cryptocurrency education where it is entirely possible to find the independence we all desire, in a community of like-minded, freedom loving individuals who, like you, are seeking the possibility of income stability in a very unstable world.
Holding bitcoins exclusively can be a risky investment due to high price volatility. One day the price is up 10% then the next day it’s down 20%, means that an asset is risky to hold. To combat bitcoin price volatility we provide the bitcoin lending module for bitcoin investors, which maintains your asset value and even earn a substantial return on investment.
Most people have fallen for scam schemes and lost millions of dollars,scam schemes like MMM and project ethereum which operate using cryptocurrency with the same promise of high return on investment have reportedly collaped in many countries. For sure nobody can tell which is a scam scheme as long as they keep to their promises.
Most bitconnect user have defended the crytocurrency with passion citing that the companyhave not fualter on it promises.
Here are some guidlines to help you screen an investment ti see if it legit.
Many Ponzi schemes share common characteristics. Look for these warning signs:
High Risk Investment
Every investment carries some degree of risk, and investments yielding higher returns typically involve more risk. Be highly suspicious of any “guaranteed” investment opportunity.
Overly consistent returns.
Investment values tend to go up and down over time, especially those offering potentially high returns. Be suspect of an investment that continues to generate regular, positive returns regardless of overall market conditions.
Ponzi schemes typically involve investments that have not been registered with the SEC or with state regulators. Registration is important because it provides investors with access to key information about the company’s management, products, services, and finances.
Federal and state securities laws require investment professionals and their firms to be licensed or registered. Most Ponzi schemes involve unlicensed individuals or unregistered firms.
Secretive and/or complex strategies. Avoiding investments you do not understand, or for which you cannot get complete information, is a good rule of thumb.
Issues with paperwork.
Do not accept excuses regarding why you cannot review information about an investment in writing. Also, account statement errors and inconsistencies may be signs that funds are not being invested as promised.
Difficulty receiving payments.
Be suspicious if you do not receive a payment or have difficulty cashing out your investment. Keep in mind that Ponzi scheme promoters routinely encourage participants to “roll over” investments and sometimes promise returns offering even higher returns on the amount rolled over.
One will have to look closely into any project before investing their hard earned cash in it and inorder ti achieve that greed must be delitedfrom his dictionary.