RE: Texas state securities serves Bitconnect an emergency cease & desist order
Please don't be sheep following the crowd.
The underlying issue here is government is stepping in attempt to limit really good opportunities to only the elite. I'm sure you all have heard they saying "rich get richer and the poor get poorer". THIS IS BY NO ACCICENT. This is one example of government elite preventing you from obtaining wealth. On the surface the Securities Act of 1933 appears to have the intent to protect the public. The effect is that the securities act prevents anyone with net worth less than 1 million dollars (not including their primary residence) from accessing the best opportunities out there. I personally ran into this issue. I wanted to invest in a startup and was denied. The returns from proceeds of sales after expenses was around 200% annually. You see, the rich have put in legal measures to prevent the majority of Americans from accessing these good opportunities leaving these opportunities only to the rich... So that they can get richer
Please go out and read the Securities Act of 1933. Get informed and make educated conclusions for yourself. I'm sure the rich are loving this kind of publicity. The icing on the cake for the rich is so many people are easily whipped into a frenzy against a great opportunity that the rich can't control.
Let's not forget that the Securities Act of 1933 was written almost 100 years ago. Today, business is conducted entirely different. There was no cryptocurrency back then. This Act is antiquated and really doesn't apply to today's business (especially cryptocurrency). People today are more educated and have more access to information than ever before. There really is no need for a securities act anymore.
The government "limiting really good opportunities to only the elite"...??? Good grief... let me find my eye roll emoji...
every day we hear bad news ...the rich can get richer and we keep falling down .they want to kill creativity and eliminate minds
I’m. against Government stepping in but Dude bitconnect is a Ponzi scam! It’s impossible to pay the rates they do long term. It’s a total scam
Bitconnect is likely a scam or sorts form what I can see, and several others have voised similar thoughts . One telling event is that on November 3rd 2017 total market cap had a sudden drop from 2Billion to 500 million (75% less) market cap without price changing. (according to coinmarketcap.com)
But hey, if its being kep alive by its users there may not be any loss, just the creator becomig very rich? I guess time will tell if they do pay out as promised or not.
It is not impossible. In my first 2 hours of trading ever, I was able to gain 5.87% just following steps provided by @quickfingersluc. Massive brokerage firms have been using trading bots for years. They just haven't been available to the general public. The problem I had is that I was getting emotional and couldn't spot trends and trade fast enough. Bots don't have emotions. They follow a specific algorithm created by the programmer. They take a statistical approach of wins vs losses. If the algorithm is set up conservative enough, it is statistically impossible to loose. If a bot is set up to allow risky trades, then 5% to 10% is obtainable per day. The problem is that there would be negative days and the principle is at risk if a crash happens. Bitconnect 1% on average per day is VERY reasonable and indicates a conservative algorithm. From that 1%, Bitconnect takes 11.5% as their daily take. Out of that 11.5% take from daily gains, it would take 83 days to pay off any bonuses that bitconnect had to pay. This is less than half of the typical loan term.
If these bots truly worked they way they say they do, then why the need for massive outside investment?? I would just silently run them until I drained the entire system dry. There are not bots. It's a scam!
Right. If these bots were that good one could make a mountain of cash with just a small principal.
Well you have a great point! however investing in anything at all is risky in general. so here is what i find that was helpful for me to decide if it was worth the risk. I like the payout but i also don't want to lose my hard earning money so i started to dig around for clue. here is what I found, a ton of people call it a scam so i dive right in and see what they have to say and again there was nothing of value all i herd was speculation and possibility. then I check for comment to see if anyone got burn and found none not even 1.. what i did next was the same thing i was on a hunt for clue and again found nothing. so i decided that ok it's worth the risk and so far it's good. but don't take that from me. go and do a research on your own if you find anything i would really like to know thanks.
how many scams you know that paid out over a million a day for one year straight
Literally just wrote the same then seen your comment. Totally agree.
These bots are being used by many traders. Mainly by people from the IT industry who can program them themselves. One guy at the office I worked at would autorun his bot and gain $300 a day a year ago. Having more money to invest gives bigger returns. For example if you get 3% of 100 or 3% of 10000 that's a huge difference. It's just leveraging.
Thank you,you tell those cretin imbecile fools.
Yes, trading on your own could be very profitable if you know how to. I have made more than 1% daily returns per day trading on my own. Imagine bitconnect trading using bots?
Exactly, I'm no expert at trading. I made plenty of mistakes, but came out really well. Bots can do way better. They don't make mistakes. They don't sleep take breaks, eat, etc., and they are way faster at analyzing trends and can take in multiple sources of real time data at once.
If Bitconnect does have the bot they say they do then why do they need others people money to invest? Why not invest their money and take 100% of the rewards? And why the need for the ICO they are launching?
The 1% daily might be possible but what about paying the massive massive referral bonus on top of that?
I'm not a massive Bitconnect fan but I don't see how a U.S state can stop it, it's not even based in the U.S so they have zero power. They can stop people from their state accessing the site but it's not hard to get around.
@somecoolname as a business you know you need money to make money and if everyone had selfish thinking, they wouldnt be communities like steemit or the creation of bitcoin. Bitconnect had plenty of legit times to close down and they didnt. Their are bots you can program just google it.
Every-time you sell or trade or send coin to different wallets there are fee involve.
Bitconnect is not going to allow the people of Texas to use the platform after they get their capital release.
People have power and if someone see a problem and take action it will bring attention that issue. This isnt the first time bitconnect was attacked.
"if everyone had selfish thinking, they wouldnt be communities like steemit"
I seriously doubt the creators of Bitconnect made it for the good of humanity.
I genuinely hope it isn't a scam because I'm guessing you are invested and even though I don't know you I honetsly don't want you losing any money. I hope it continues for a long time and you benefit from it. There has been so many in the past like Bitpetite, Hexabot etc and a lot of people lost a lot of money.
Peace.
The reason they use other people's money is for leverage. You lend them money and they give you back the principal and a small percentage above that. What they get out of it is that they make a lot more on top of that.
This is the basis of any banking system. When you place your money in a savings account, the money is sitting in a vault, the bank is investing it. While they'll return 0.25 - 1.0% annually to you, they make 4 - 10% on that money for themselves. Multiply this by millions of customers and this is how banks become so big.
BitConnect is utilizing this same law but for the Blockchain.
@geneeverett you have no idea what you're talking about. A ponzi would suggest they need new money to come in to payout their current members which is not true. Bitconnect makes money multiple ways - 1. their trading volatility bot 2. off the value of bitcoin rising 3. their own bcc coin
Not to mention they are making money off each transaction on their platform.
and I agree with socky - the government is controlled by the elites and they want to keep you out of the loop so they can stay in control. that outdated 1933 law is just one example! I ran into similar issue even trying to invest into local businesses here. They limit the amount you can invest each year based off your income!
@crayrayc "A ponzi would suggest they need new money to come in to payout their current members which is not true"
That would be why they are launching an ICO to generate millions of dollars and not even telling investors what they are investing in?
"the government is controlled by the elites and they want to keep you out of the loop so they can stay in control"
That statement is 100% true though.
no, i don't think their ico is a scam. they're attempting to add alot of things in their roadmap. instead of introducing a lot of potential security issues on their existing platform, I think they will accomplish it via their new coin. For example they want to support a lot more altcoins, and even exchange directly via fiat. A new ico just make sense in many ways in contrast to doing all these changes to existing platform. It's also another revenue stream to their already lucrative system!
A Ponzi scheme indeed. I passed the CPA exam and know that if you are to crowd fund something or offer securities as an investment then you are bound to the rules of the SEC and local securities laws.
Cryptocurrency is not regulated by governments yet. But government regulation is on the horizon given the currencies' popularity and appeal as an investment. In the mean time the cryptocurrency is considered a currency like the U.S. dollar or Euro where there is self-regulation.
I believe that this could be the beginning of the government's interest in determining whether or not there should be a regulatory body, like the SEC, that oversees the cryptocurrency. This case and future cases will be interesting to watch since there could be landmark legislation.
Either way, I find it appalling that someone would "hard sell" cryptocurrency to the public especially in Texas. Cryptocurrency should be an investment that does not require a store shop with a "snake oil salesman." What in the hell are these people at Bitconnect doing? They are making cryptocurrency look bad.
I don't know if we're all reading the same cease and desist letter, but that letter doesn't name a single person within Bitconnect. It's just a blatant attempt to throw some FUD around at a very popular lending platform. The letter essentially goes on to explain what Bitconnect already tells you in their fine print. If there is so much concern over the possibility of a scam being put over on the investing public, then USI shouldn't have even received a letter. USI has the strongest SEC compliance going so far as to register their overarching company and incorporating many regulatory measures such as anti-money laundering measures like strict ID verification that are usually left to higher end crypto exchange platforms. Yet, USI was the first to be thrown into the mud. So if anything can be said about Texas' sudden interest in lending platforms, it's that they are wanting to sling FUD on the many lucrative opportunities amid the crypto landscape. It wouldn't surprise me to see cloud mining being thrown under the bus next.
Each person makes their own choices. It's not for the government to cast shade on what those choices are especially when it comes to finding our individual paths to financial freedom. To each their own.
Ponzi scheme? Absolutely no doubt about it!
I dont think that is a Ponzi scheme. Minexcoin work in the same way with minexbank and the payment is in MNX, from their reserve, to keep the coin stability.
@johnkumar - who cares if ur a cpa. cpas are a dime a dozen nowadays and it doesn't mean jack when it comes to cryptocurrencies. stick to your government fiat where you can play with funny numbers and the gov can continue to use our social security funds like personal bank accounts, and then they have the galls to tell us it's going bankrupt! Now the gov wants to prevent people from protrecting their wealth from their irresponsible policies! NO enough is enough!
Even if this were the case, who cares? People should have the freedom to invest their money how they want. Even if it is a Ponzi scheme, losing money to a criminal is one of the best lessons someone can learn on how to properly handle their money.
This is in principle how free markets work. One is just as free to make money as they are to lose it.
But isn't cryptocurrency so good of an investment that it does not require a store front shop with a snake oil salesman. Why do they make dubious claims like 40% interest. These claims are false and are intended to defraud the public.
Fraud is not just against the law it is against society's best interest. They should stop making dubious claims about their investment and show how good their offering was and leave it at that. That is what other big name cryptos are doing.
You are very right sir. I concur with you
The American gov. is tryin to do everything they can, to keep the working man down! The cost of living has risen exponentially in the last 20 years, but the rate of pay has relatively stayed the same! Its absolutely disgusting how the American government wants 37% of everyones crypto profit for 2018! we gotta replace those in power with fresh young minds, that have not been corrupted yet!
100%
The government gets caught off guard all the time. Right Now I will bet there is a group of people that are learning this really quick and then we’re going to figure out what’s in it for them. Then we’ll hear something completely different. don’t think for a minute that they are not scared of the unknown.
I seriously agree wit you, that is their style worldwide. Always looking for ways to carpet the poor.
Bitconneeeeeeect! sorry not sorry :P
but what kind of lending program can offer 40% returns ? maybe just BCC
Just invest in alt coins and get 100+% returns
these kind of claims, trigger a thinking that platforms like BCC who guarantee 2-3% return per day are forefront for some big Ponzi scheme.
most of steemit whales gets more than that if you arent aware