I haven’t been very public about this, but I’ve started to become very interested in cryptocurrencies over the last few months and decided to put together a BitConnect review since I’ve been hearing quite a bit about it and the return potential is VERY attractive. In fact, it seems to good to be true, which is why I decided to share my thoughts.
BitConnect Review: What is It?
I assume that most regular readers of mine don’t know anything about BitConnect and may not know much about Bitcoin or cryptocurrencies in general. There’s plenty of info online about Bitcoin, so I won’t go into any detail except to say that it’s a digital currency that can be bought and sold. BitConnect has a few different options that they claim allow you to earn up to 40% PER MONTH by lending or investing your Bitcoin. You can earn money by:
- Staking: Earn interest on BitConnect coins
- Investing: Earn daily interest through lending
- Trading: Earn profit by trading BitConnect coins
- Mining: Earn money through mining
The lending platform seems to be what’s generating the most attention, so that’s what I’ll focus on in this BitConnect review since it’s what I’ve looked at most closely.
BitConnect Reviw: Who is Behind It
The simple answer is “I don’t know”, and this is one of the big problems in my opinion. There’s not really any information about who’s behind the company, so anything you invest is in the hands of someone you don’t know.
Now this doesn’t necessarily mean that anything nefarious is going on, but it’s usually a good idea to know who you’re doing business with.
BitConnect Review: How It Works
As noted earlier, I’m focusing only on the lending aspect of their business model, but the idea is that you purchase BitConnect coins and you will receive daily profits earned from their proprietary trading bot. The more money you invest, the higher your interest rate, so they are encouraging you to invest as much as possible. Their return schedule is below:
Without going into details of the mechanics, that’s basically how it works. You lend/invest into the platform and you can passively earn outrageous returns. On top of that, they have a referral system that allows you to earn percentage from anyone you refer into the program, greatly increasing the amount of money you can make.
BitConnect Review: Conclusion
I was certainly intrigued when I first read about it and have to admit that I’ve considered investing. But it’s just too suspicious in my opinion and has all the markings of a Ponzi scheme – above market returns, anonymous ownership, MLM referral system. I’m not saying that it’s not legitimate because I really have no evidence, but it wouldn’t surprise me.
I’m not likely to invest myself…at least not anything more than I’m willing to lose, but I just wanted to let anyone who’s interested know that they should proceed cautiously.
I know this post wasn’t as detailed as many of my others. Unfortunately I didn’t have time to provide more info, but I still wanted to get my thoughts out there. You can read more about the company at BitConnect.co if you’d like to research it for yourself.
As an aside, I am becoming more and more excited about the prospects of cryptocurrency and the blockchain in general. Most of my investments have been in Ethereum (and related coins) rather than Bitcoin, so please reach out if this interests you. I’m still relatively new to it myself, so I’m always happy to connect with like-minded people.