I bought my first lending contract for 100$ in 2017-06-30 and then bought another one for 230$ in just 2 more days.
I must admit I was blinded by those interest rates and their daily payouts. I was planning to invest 10k, but due to @thegrinder and his post The BitConnect scam exposed I've done some digging.
@thegrinder's article is a bit old and some things might have changed since then, but I will try and tackle every point of his.
1. Bad English and why it matters
Personally, I don't buy this because:
- first of all ... they fixed that
- second ... I am a software developer and can tell you from experience: this things happen and get unnoticed for ages even though you have at least 3 people checking that page before release (designer, developer, code reviewer, tester and the list might go on).
2. Too good to be true
I thought that myself before seeing this article: What you must know about your bitconnect investment by @henry-gant
Indeed that guaranteed, risk-free interest per year is fishy, but everyone must understand that this is a win-win situation.
The user pays with his BCC (at bitconnect exchange rates) to lend a certain amount of dollars. Based on the amount the user lends, after 120 - 299 days he gets his DOLLARS back (not BCC). Both the capital release and the daily interests are payed in dollars. And those dollars are "trapped" there as bitconnect platform does not offer you the possibility of withdrawing dollars. You can only withdraw BCC or BTC. So, to take your dollars off the platform you need to exchange them once again into BCC (this is mandatory). This is the reason to why they have their own exchange embedded in the platform, to force you to buy BCC before you leave, obviously at a much higher price.
The interest rates are very impressive, but keeping in mind the 25x growth of BCC from March until now (less then 5 months) we can see that the biggest winner is in fact bitconnect when it buys your BCC coins at the beginning of a lending contract and then you're forced to buy 25 times less BCC with the same amount of dollars.
3. Suspicious business practices and how the scam works
- They now accept BCC deposits
I think I already answered points 3.2 and 3.3 - Except for the lack of decentralization ... this is what worries me the most
- I don't believe this is true as you can buy BCC from other exchanges and then deposit them on bitconnect. I think the price is driven by demand.
To recap: They attract users by promising amazing returns on their investment - TRUE
They artificially increase the price of their crypto by tricking users into buying it with Bitcoin and giving it back to them, along with the Bitcoin - FALSE
They pay back the interest to their users from new investments - NOT ONLY
When their profit is maximized, they sell all of their artificially inflated currency(7000%+ since release) and Bitcoins and disappear - POSSIBLE, BUT I DON'T THINK SO
@thegrinder did raise a big red flag and we all appreciate that. If you read this, man ... I hope you're not offended. I'm curious if you changed your mind even for a little bit, now ... after 3 months from writing your post?
I don't have any other connection with bitconnect except the one described in this post. In fact these leads me to another reason for doubting this platform: I didn't see, hear or read of any official representative taking stand for Bitconnect.
This is not financial advice, I'm not encouraging anyone to invest in lending contracts on bitconnect (or not more than YOU afford to lose).
My referral code is: not to be disclosed ... as there is still a pretty big chance this is a scam.
I hope you found this article useful. Upvote it if you enjoyed it and follow me for more.
A scam that lasted this long, I hope you were able to withdraw lots of profits.
I think the following article is worth mentioning here: https://steemit.com/cryptocurrency/@debugger/who-is-the-real-owner-of-bitconnect. Thanks to @debugger
still unsure on bitconnect despite having a bit locked in
We all are
I'm still holding some BCC outside the Bitconnect platform
I just upvoted all 10 replies.. And the total $ award went shooting up further really quick - I'm still quite new to STEEMIT and am learning the tricks to capitalize as much as anyone else.
Question for all of y'all.. What would happen if all who commented upvoted the post and all replies on it also.. Woild the value of the post suddenly he $30?
If that is a possibility it's worth it for all do to.. Lay the truth on me fellows..
Each comment/reply is treated as a separate post. Whenever you upvote a comment you only increase the value of that comment without affecting the value of the actual post. The payouts are separate as well.
I don't believe you should upvote every article you reply to and I'm sure you shouldn't upvote every comment on that article. That would be a misuse of your voting power.
You can upvote your comments ... if not for the rewards, at least for the position of your reply in the comment feed.
Thanks for the input - like I said still trying to figure it all out - Do you know how I can find out what my voting power percentage is? It refills slowly correct?
Check out this article: https://steemit.com/steemit/@dudutaulois/voting-power
Your think great.nice information thank you.
Thank you,
Please resteem if you find this information useful
Nice post, you got my vote and you can also follow @stevearticlepro
Thanks, Steve
I'm glad you liked it.
I agree with everything you wrote about and am hesitant too with my $2500 Loan however I have seen $380.87 come back to me so far so it does seem promising - just don't get caught with too many loans out st too high a price JUST IN CASE they just shut down - Ya Digg? @krytonika RESTEEMED and UPVOTED
I have seen some daily "rewards" myself (almost 7% in only 12 days). That's not bad. I'm just not going to invest a big amount as I was planning to ( :D already bought the BCC coins from another exchange). I'll wait for their value to increase.
I just realized ... we should exchange our daily rewards as fast as they come so that we don't loose too much when BCC value goes up.
Precisely my man! And yes - using the BCC/BTC pairing for loaning and for withdrawing deposits is critical to add an additional 10-15% ROI - All it takes is a simple system in place, patience, and consistency in staying true to your own indivualized plan..
I'm not a YouTuber and have just gotten onto STEEMIT a few weeks ago but have a solid following on other social media sites. That part is really critical to the federal bonuses. I've seen tons of money made with $0 loans and only referalls.. As with anything in Crypto - Get In Get Out and Hold a Small Stake at least if there is any uncertainty -
Time will tell how profitable BCC will really be for people - Since its technically still young - And many uncertain about it - I think it is safe for now but if it explodes - they will have to reduce the interest and referral commissions.
Don't forget - The people that made big big money on BCC also were loaning during the big surge from the Bitcoin price of $1000 to $3000. If it stays level the profits will be minimal - Stay in touch and let me know how you are making out with it please. @krytonika
This is a pretty even handed look at things. It exhibits the caution that I am approaching bitconnect with as well. If it works great! But if it doesn't work, I'm not using any money that will hurt me. As you said, the "referral" program is worrisome.
Hi! I am a robot. I just upvoted you! I found similar content that readers might be interested in:
https://steemit.com/scam/@thegrinder/the-bitconnect-scam-exposed
I know, you silly bot ... that was on purpose :D
Gotta love the damn cheetah bots huh?? They do seem to add value though to the posts so the cheetahs can reply all they want to on my posts..
people think bitcoin and other cryptos are a scam
I'm sorry man, but that's not a good enough reason.
We are not here to take sides.
I wrote this article so that people with knowledge of and/or experience with Bitconnect may share their pros and cons, thus helping others in taking a better informed decision.
check out https://control-finance.com/?ref=headspace21
Congratulations! This post has been upvoted from the communal account, @minnowsupport, by sabin from the Minnow Support Project. It's a witness project run by aggroed, ausbitbank, teamsteem, theprophet0, and someguy123. The goal is to help Steemit grow by supporting Minnows and creating a social network. Please find us in the Peace, Abundance, and Liberty Network (PALnet) Discord Channel. It's a completely public and open space to all members of the Steemit community who voluntarily choose to be there.
If you like what we're doing please upvote this comment so we can continue to build the community account that's supporting all members.
This post received a 3.0% upvote from @randowhale thanks to @sabinp! For more information, click here!
Hey, very nice post. What do you think about mine? Would you share or even resteem it? Thank you for your time.
https://steemit.com/bitcoin/@foodnature/the-truth-or-every-bitconnect-member-has-to-see-this
I think BCC is a good option for someone who has no interest in Crypto investment but wants to have a very good return on his USD, and not worried whether if left his money in BCC instead of lending out.
I've done an analysis, pls take a look and let me know your thoughts:
https://steemit.com/cryptocurrency/@ka82/bitconnect-investment
Here is my take on the issue:
https://steemit.com/scam/@avendora/bitconnect-details-and-whatnot
Say whatever you want to but I'm damn sure that it's a scam. Only people who are earning from it or has already cashed out their original investment are its advocates. Every pyramid scheme makes the initial investors rich, so all those testimonials and personal examples makes no deal. If anything they are misleading ...they do digress the discussion for its fundamental issue. But make no mistake that this is a pyramid scheme, so it's unsustainable and not a successful business model.
It may not be a scam the way people think, but let say EVERYONE invest in BCC and take out their interest daily...what do you think will happen? the inflation will go through the roof such that a loaf of bread may cost you $100K, it slowly steal the value of paper money and adds to the value of cryptos.
There are so many Bitcoin Lending Platforms out there nowadays: Bitconnect, Regal Coin, Westerncoin, Hextracoin, Goldrewardcoin, Credence Coin, Falcon Coin, etc. In my post i make a comparison of them and I tell you which one is best. I also tell you about Risks and Chances of investing in these kind of Platforms.
https://steemit.com/bitcoin/@cryptodanson/bitcoin-lending-platform-comparison-bitconnect-regal-coin-westerncoin-hextracoin-goldrewardcoin-credence-coin-falcon-coin
Hi all,
I just got into Bitconnect a few weeks ago. I was skeptical. I still am. But I'm making real money that I'm using to buy real things with. So as long as they keep paying, I'll keep using it. If you want to get in on this too, first I would suggest you educate yourself on the risks and rewards. If you still want to get in and make more than 1% a day, please use my referral link below to join my team. The daily loan interest is a good chunk of the money you make. The team building through referrals is a bigger part. Do me a solid and join my team!
https://bitconnect.co/?ref=bmneveu
Some things have to come to an end
Bitconnect is dead as of today! #Bitconnect
