Bitconnect Pyramid Scheme Collapses
Unfortunately holders of Bitconnect will find the value of their investment has fallen 96% overnight. The company announced they will be closing their lending program and all loans effective immediately. These programs had investors buy BCC tokens with USD or Bitcoin and then stake their BCC tokens with a "trading bot". The program promised to yield investors 1% gains or higher daily.
When these programs were stopped, all investors were paid out in BCC tokens. The token was worth over $200 a week ago, but has now fallen to $6 and still falling.
What lessons can we learn from this? If something sounds too good to be true, it probably is. If its referral program looks like a pyramid, it might be a pyramid scheme.
When looking at a project to invest in, pay close attention to the economic perspective. You can't create wealth out of thin air, it is going to come from someone.
Don't fall for these ponzi schemes. If you're having second thoughts about some of your investments, it may be for good reason.
Happy Investing
and Bitconnnnnnnnnnnect!!!!!!!!!!!!!!!
:)
It was obvious, but most people just didn't give a f and wanted to milk the cow as long as it goes.
BCC made a lot of people millionaires, but those who joined too late are screwed over now. People have been warning for months so they can't say that they had no clue.
I just hope this will teach a lesson and that no ponzi will ever be able to form in the cryptospace again.
I resteemed this post to my 2000 Followers ;-)
Ummm yeaaahhh.....this was well covered in advance. I remember seeing it right after i got on steem and it was easy to figure out it was just a matter of time.
Even with the cheerleaders here on steem is was pretty easy to figure out. Like ew said, no one cared.
As Machiavelli said:
"Men are so simple of mind and so much dominated by their immediate needs that a deceitful man will always find plenty that are willing to be deceived."
When you think about it some more, those Steemit cheerleaders were really in it for themselves... only to prolong their milk and honey money!
Perhaps, but steem is a lot kess pyramidy (is that even a word).
I meant the BitConnect cheerleaders! What's strange is that BCC collapses and is still valued at 4 times more than Steem!
Is it really??? I thought it went down around a dollar. Yeah, the cheerleaders abound.
Just checked again on WCI... $17.19 (and still falling).
Wasn't it just a matter of time? And it's not like there was no warning... there were plenty!
As for the fact that BitConnect owners created BitConnect X, was raised it many suspicions, if you have a platform that handles billions through BCC, why do you create another one?
Seeing this move many people already suspected the outcome of yesterday
This affect other lending platforms as well as the new Alt Icos that are about to come out in a negative way.
The lesson here is something is very beautiful does not last, I know people who became very rich with this platform that invested to have their money in 90 days, but others lost a lot of money and could not leave before the disaster
Btw The saddest thing is that there are many who will invest in bitconnect X
What bothers me the most is this whole Youtube Influencer referal link scheme. Very annoying.
The referal page is shaped like a pyramid too! Like that doesn’t give it away right there. Scam in plain sight. It’s unfortunate a lot of people lost a lot of money here :(. I guess it’s a harsh lesson to be learned.
Sorry for the investors who invested huge amount with good faith. And sorry for them who put too much efforts to bring people there for some additional income. This is really unfortunate!!
When you thought you went all-in bitcoin but you actually went all-in bitconnect
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I think something like bitconnect could work. The whole give us your bitcoin and we hand you back a brand new crypto is why I thought it was a scam.
With that rationallity all ICO's are scams...You give a certain high value crypto (usually ETH) and recieve a brand new one. That part looked like a scam to you?
I can guarantee some of it is. You give me eth and I give tokens out of thin air and give you a white paper. I think alot of ICOs will end up disappearing. Shit I have seen people in forums wanting to create ICOs. Pretty nuts right? So I bet alot of them are shady.
Some of it definatly is...but it doesn#t stand on that factor alone. Alot of ICO#s will die out indeed, but not on the premise of ICO's itself.
It depends more on sustainble economic plan, goals and so forth.
And thats why I dont trust them. Why cant someone take my bit, high frequency trade it, give me back interest in bit?
Thats how it should be. Like NEO giving out Gas. If you had so many neos from early days and you staked them. You would actually be making pretty good returns. But to give 5 eth and get 10000 tokens of the coins I sell you and then dump it on a pump in an exchange. Honestly people chase profits. Alot of people invest in ICOs for that reason so when it hits exchanges they dump it and hope they get double what they invested. But then there will be those who hold no matter what and one day it goes bust. There should be some soft of dividend for investing in a company and holding their tokens. I like the model neo has adopted. Also OMG and others do the same. But even then a company could go bust. I am sure as the Crypto market gets bigger and bigger the bigger players will start to improve this model. Viltalik already hates ICOs so he seems to be introducing newer ways to improve them. Which is good.
I can only agree
Because like 90% of the ICOs are a scam? It is a lot of work to find a legit one that you can actually hold longer than half a trading day.
Upvoted nice post keep it up
This it is not the first nor the last scam we will ever see, but I think people are aware of the scam and choose to dance with the devil for some profits, are gambling sites work like this, the difference is in "you may lose" vs "you will definitely lose"
I also think that some people will just move on to the next scam page. And this time it will be ALL different!
Yes, but this time, "everything" will be different i am sure of it.