In the last couple of days I’ve talked a bit about one Ponzi scheme in my daily market cap, since it was in top 10. Fortunately, it isn’t any more. And let’s hope it won’t come back. Yes, it’s BitConnect. I’m not putting a link here, I won’t do anything to promote it.
It’s a terrible, terrible thing. Terrible for people that are coming late to the scheme and will be losing all their money. And terrible for the cryptoworld in general because, a lot of potential investors in genuine cryptocurrencies will be scared to invest. They’ll look at all currencies as a scheme. And, inevitably, it will have a huge negative impact on a market.
The reason I’m writing this is that one them went down a couple of days ago, BitPetite.
They promised (like all the others do) a daily return of close to 4% on individual Bitcoin investments. Nobody can promise that, nobody! And tell the truth at the same time, of course. It’s just common sense. You don’t have to be too technical to see that a thing like this cannot be sustainable.
It’s great for the people who got in early (even better for the creators), because they’ll get their money from all the newcomers. But once there’s no new money coming in, it all crashes. And most of the people in the scheme get burned and lose everything.
And that’s what happened with BitPetite. Firs they site went down. First they said it’s for maintenance. Then that they are redeploying it. And at the end, complete silence. They deleted their Telegram group and Facebook and Twitter accounts.
I’m really sorry for everyone who lost money with them and as I always tell you, please be careful. Do your own research, always be skeptical and remember these rules before any investment.
There are many, many schemes out there to name them all here. But they all operate the same way, so it’s not hard to recognize them. They’ll PROMISE you easy and big money quickly, and they’ll have aggressive marketing campaigns.
At the end of the day, always remember this.
And of course, STAY SAFE AND HODL!
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DISCLAIMER: I am not a financial advisor. All thoughts in this post are my personal opinion and not a financial advice. You should always do your own research before any investment.