In the real world we use the term "Sounds too good to be true" to identify risks from shady salesman. Its a quick way to avoid risk in our busy lives. However if it does turn out to be true then its not too good we missed out.
So when Bitconnect says that "Investing on the BitConnect platform is a safe way to earn a high rate of return on your investment without having to undergo a significant amount of risk" warning bells.
Further more when you dig a bit deeper into how they will accomplish this, well.
"The interest rate that we can guarantee on your investment while using our investment platform is calculated by our BitConnect Price Volatility Software and accrued daily."
Says guarantee, warning bells.
At this stage you can dig deeper or just ring the warning bells. If you dig deeper you find that they have built an exchange exclusive to their own token, the bitconnect token. They offer a service with a realistic expected return of between 1 -3 %. In comparison to the rest of the cryptomarket this is not that much. Which makes it more realistic to be able to do.
After looking over it I liked it and thought I would give it a go.
Between Aug 2 and Aug 5 , i took some of my bitcoin profits and I converted them to Bitconnect tokens. I then lent these tokens to Bitconnect for 199 days and they will pay me back in the $ equivalent.
As of the 24th of Aug, I have received $86.62 , which I have reinvested into bitconnect bringing my total stake to $450 .
Had I bought the Bitconnect token and held onto it instead, I would have been able to buy 5.7 btc with a value today of $741.
The profits accrued daily can be withdrawn, re-invested or converted into bitconnect tokens. With people seeing a return on investment within about 90 days.
What I like about bitconnect is that I can see how they make their money, transaction fees with buying and selling on the exchange, giving back $ so they can hold onto the bitconnect token supply.
The company themselves are doing well and this is evident in the bitconnect token price, they seem to foster a level of community support and interest. Sadly as this model has been misappropriated many times in the past they continue to receive accusations of a scam.
Only time will tell with things like these and you are more then welcome to write in the comments at a future date mocking my decision. Until then the beers are on bitconnect! Cheers!
(Additionally they do a referral scheme but as I have found it is not necessarily and serves possibly as a further income boost). .jpg)
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*As always this is NOT financial advice, ask yourself am I happy sending money to Indonesia on a whim? What does the author gain if I buy into what he is writing?