Yes, Bitcoin is as fraud as the stock market. Do you believe the stock market is fraud?
One of the key problems with cryptocurrencies has always been the limited ‘real information and sense of understanding’ in the mainstream. For the majority of investors, the likes of Bitcoin, Litecoin, and Ripple has always been a quick-money scheme that could make them rich overnight. They never understood the underlying mechanism of these digital currencies, how they function and why they even exist in the first place. And a large part of the credit for that goes to the mainstream media who always sensationalized thecryptocurrencies.
It is this lack of true understanding why $9 million is lost in cryptocurrency scams EVERY DAY. Yes, $9 million. Lost in Bitcoin Scam. Every day. Insane. (Source)
The latest in line is BitConnect, which has looted a total Rs 22,000 crore from the investors. BitConnect was a simple system of few bunch that allowed people convert their BTC into their own token called BCC and then enjoy 1 percent interest rate on their holding EVERY DAY. Evidently, the scheme sounds too good to be true, reeking of fraud from every angle. Sadly, did people really know how cryptocurrency functions and what is Blockchain technology, they would have never invested in BCC.
Initially, their BCC tokens delivered decent rewards. In fact, this token, once, marked a market cap of over $2.5 billion. Its growth attracted even more investors. However, in January, the Security Boards of Texas and North Carolina ordered to stop dealing with BCC. Soon after, exchanges started delisting this token. And now, as per the latest news, the last of cryptoexchange has decided to stop trading BCC.
The total loss the investors are incurring from BitConnect stands at over Rs 22,000 crore.
Again, did the people have real knowledge about Bitcoin and ICO, they would have never invested in BCC. What’s worrying still is that even after so many news surfacing, there are hundreds and thousands of Bitcoin scams running across the world with investors having no clue about the mess they are in.
Bitcoin isn’t fraud. Neither are the top cryptocurrencies. Sadly, people who are so blindsided to make big money from their investment, even without the slightest clue about where they are putting their money in, we’re seeing more of Bitcoin scams.
Take my words, Bitcoin is one of the most promising long-term investment assets, along with Ripple. It isn’t a Ponzischeme. And the soon people understand this, the sooner the scams will end. Yes, Bitcoin isn’t having one of its best days since 2018 started. But it’s far from dying. The bears can rejoice as much in the hype of ‘Bubble Burst’, BTC promises a big and consistent return to the investors in the long run—only if these investors remain smart to make informed decisions.