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RE: Crypto shopping cart - 18 April
Dunno about crypto but trade copying in normal trading is almost always a scam. Same reason not to trust people who write books about how to trade and charge for it. If they were successful then they wouldn't need the pittance earned from book sales (or trade copies).
Good money if you have no morals though, look how well that hajin guy does on here with his fantasy bullshit.
There are a few cryptos launching it now. It's a good way for traders to make some extra cash while they trade. People select who they want to copy based on past performance. The primary traders get paid for it and the new investors get the benefit of pro trades. I have yet to see a fully fledged system up and running, so I don't know how well it works yet.
As long as you understand it's almost always a scam, a very old one at that. They set up two trading accounts and take opposite trades on the same stock, and whichever one wins, that's the one to show to clients about how 'good' they are.
The reality is always that they're failed traders, which is why they run a trade copy scam instead of just trading for themselves and making more money instead.
There's also another ponzi type scam, where they give something like '5 free stock tips' to get you to sign up, and it works on the same principle as the double account scam. Start with a 100 people and give them random tips, and for 25% of them it will win 5/5, making them sign up. It doesn't matter that 75 of them get bad tips and won't sign, because by then there will be another 100 suckers lined up waiting for the next 'free tips'.
Buyer beware... ;-)
Scams I see in crypto every day (a lot!). Pretty sure this isn't one. Take a look at the platform and you'll see for yourself, I don't think it's quite what you are picturing.
But thanks for the heads up; there's no such thing as too cautious in crypto!
Here is a one minute video - it's a glossy, but it will give you an idea of how they do it:
And this is how far they are with their development: https://medium.com/covesting/beta-testing-in-full-speed-release-notes-q-a-session-9cb87798702c
Thanks for the vid. There are already similar things for Forex, work exactly the same way.
Is it worth investing in ? Sure ! People are lazy as shit and will quite happily pay for someone else to do the hard work for them. Especially with all the useless crypto newbs getting their accounts hammered on a daily basis, this kind of thing is like manna from heaven for them, it'll be very successful.
Would I recommend using it as a customer ? Hell no ! What if the guy being copied has a really bad day and you're copying him without question. His $300k account might be able to stand a 25% loss one day, but would your $1k account ?
I know it sounds similar to investing in a hedge fund, having someone else invest your money, but hedge funds have risk managers and won't allow excessive drawdowns... Not to mention all the rules and regulations and qualifications you need to run a hedge fund...
I'm totally against trade copying, only because lots of people lose money using them. Would I invest in one ? Definately, there are so many lazy idiots around wanting to use them it's like printing your own money.
Quite true. If I ever used it it would only be with an experimental amount, I like to control my own buys and sells. I would consider letting people copy my trades, but at the moment I don't trade frequently enough. That may change in future as I change my work situation in a few months time (but I doubt it).
What I HAVE done (as seen in my post) is to buy the crypto that it runs on. I foresee many of these lazy (and/or clueless) traders entering the market very soon. They will love platforms like this. Hell, if Bitconnect and USI-tech could find so many investors, a legitimate platform should have no problem getting business! 😂
Yeah it seems ok, I had a look at some of their other vids and all looked ok. Could be a good investment, buy their stock, yes, let people copy your trades for money, yes, use it to copy other people, NO ! lolol :-)
The only thing that would worry me long term is if they end up getting legislated out of existence in the future. I think heavy government regs are just around the corner and they'll be going after people who trade crypto on margin and outfits like the one in your post. They've already started on Forex companies, new rules due in a couple months which is going to cripple retail trading, crypto won't be long after.
The beauty of crypto its decentralised nature. If the country they are headquartered in becomes too unwelcoming, they can simply move the headquarters. Binance is the biggest crypto exchange, they recently did such a move.
You can try to make your residents comply. But unless they know that Mrs 6fhTd4bIdwl7WjOAi88wplNfDf23fsgB20fGl happens to be you, there is not much they can do to stop you, especially if you know how to use things like a VPN or the Tor browser. And Mrs 6fhTd4bIdwl7WjOAi88wplNfDf23fsgB20fGl can easily change her identity at the drop of a hat. In fact, many crypto wallets automatically use a new address for each transaction.
As long as one country remains friendly towards crypto and linked to the internet, crypto will be impossible to regulate (or at least to enforce those regulations). Most crypto coins run their networks on a series of nodes: large investors who operate what could be seen as the crypto equivalent of a PC server. You could kill every node on the continent and the networks wouldn't even blink, they are designed to handle it.
See why I love this tech so much and see a bright future for it? I swear to you, I'm just being realistic.
I know the individual can play cat and mouse forever with crypto and the Government, but they're going after the companies that provide crypto services, not individuals (at least in the west so far).
Once some of the larger companies get established it might be difficult for them to just up sticks and move it all to Iceland or somewhere. For that reason, I don't think I'd want to be invested in any companies with headquarters in Silicon Valley for example, or any western country for that matter.