Some of our recent community members were hit hard by Bitconnect. That hurts to lose money, but it is sometimes the only way to learn how to manage your solvent assets i.e. money.
Sometimes you gotta lose a couple grand to know not to sink your savings into sketchy projects. Don't punish yourself, your loss is enough punishment. Lick your wounds and get back on your feet! Nothing to do but move forward.
Bitconnect has been sketchy from day one. No one brought to the public what was under the hood, but why was there so much FUD around BCC?
RED FLAGS. If you aren't in the financial world maybe you have just heard it as a concept, but there are some very specific and historical red flags that financial schemes tend to exhibit.
Cloudconnect would like to bring you some red flags that typically reveal scams that have entered the crypto world.
High investment returns with little or no risk.
-Sometimes passive income is real and good, but other times it's predatory
Overly consistent returns
-"We promise X% per day"
-It isn't possible to tell the future, and anyone who claims to is probably full of shit
-This insinuates a lack of legitimacy
Lack of Licensure
-No Liability protections like an LLC
Lack Of Transparency
-Company is not available to explain themselves
-A company should be able to explain themselves and their operations, save patents and intellectual property
No minimum investor qualifications
Issues with paperwork
-Or lack thereof
Difficulty receiving payments.
-Consistent problems with payments which always have a good or convenient reason as to the holds ups.
Shared affinity marketing
-"We are just like you!"
As you read these, you might start to recognize many of these signs, but keep in mind that A RED FLAG IS NOT AN INDICATION OF FOUL PLAY.
If a business seems to be doing one or more of them, that is not evidence of a scam, HOWEVER, these flags help us to create an environment of transparency and fairness.
Bitconnect was one of these cases where no one had proof, but they had MOST OF THESE RED FLAGS.
Remember, unless someone broke the law by blackmailing you to do something or you got legitimately brainwashed or over marketed, you have no legal recourse to say that someone made you do something.
CHOICES YOU MAKE ARE YOURS ALONE.
You trade at your own risk. Protect yourself, manage risk, don't do things you can't feel comfortable with, and for the love of beejezus don't put money you can't afford to lose in places where you can lose it!!!
Legal Disclaimer: This is only our opinion, make of it what you wish. What does this mean? That means this is neither advice nor recommendation to either buy or sell anything! Our intention is that it be used as informative or for entertainment purposes.