Bitconnect: Texan regulator orders Bitconnect to cease operations immediately
Last November, we told you about the biggest Ponzi scheme ever, Bitconnect. Well, this society is considered by many to be a scam and is affected by an emergency cessation order.
The end of Bitconnect?
The famous Cryptographic Ponzi continues to attract many investors in his nets, and this, despite the many warnings from experts in cryptocurrency. Today, Bitconnect is again singled out. But this time, the mysterious company is forced to stop all its operations because of an order signed by the Texas Securities Commissionner (TSC).
This "cessation order" was publicly disclosed through a press release t:
"The Texas Securities Commissioner has issued a stop-and-desist order to stop multiple investment programs run by Bitconnect, a foreign company that claims a $ 4.1 billion share of its cryptocurrency coins. . "
The Texas regulator's explanations
To justify its decision, the TSC explained that:
"BitConnect revealed virtually nothing about its principles, financial condition or strategies for generating returns for investors. Nor did he provide a physical address in England. "
The Texas regulator also took advantage of the release to detail the operating mode of Bitconnect to find customers:
"Bitconnect is soliciting investors for cryptocurrency-based programs that the company expects to produce annual returns of 100% or more ... The company requires individuals to use Bitcoin, a more established cryptocurrency, to invest in various Bitconnect programs. In an investment called the Bitconnect Loan Program, investors buy Bitconnect coins, which are provided to a "Bitconnect Trading Bot" to generate returns as high as 40% per month. "
The opinions of Bitcoin experts
Andreas Antonopoulos, a figure in the Bitcoin community, was the first to advise Bitcoinners to beware of Bitconect, followed by Erik Voorhees. The latter who is another great specialist in digital currency did not hesitate to tell his fans that "Bitconnect is a scam" while urging them to move away, all via Twitter.
As for Jameson Lopp, the famous Bitcoin engineer, he gave his opinion on Bitcoinect with more diplomacy than the others, tweeting:
"I had more questions about @bitconnect - as far as I know, it's a scam. If you do not believe me, just compare their 2017 roadmap (now deleted) to the activity of their GitHub repository. "
However, knowing that Bitconnect is based in England, it is unclear whether this ban affects only users resident in Texas or all customers of society without exception. As for the "Ponzi" Bitconnect team who is afraid of interviews, will she react this time? Case to follow ...