Topic: 02-23-2015 BTC-Flow : The Bitcoin Faucet Ponzi Scheme (Read 2687 times)
Great blog post to warn new users about Ponzi scheme. I played ponzi in the past but not now. I find out that I lost more than I earn from the investment.
Let's just make a clear differentiation between BTC-Flow and other faucets before we continue.
BTC-Flow asked people to UPGRADE their accounts, to receive higher earnings, and then used that money and Ad income to fund it. {That is a typical Ponzi scheme}
Other faucets in general do not ask ANY money from the people using it.... they just give BTC away for FREE. { That is NOT a ponzi }
I just wanted to make that clear, before NEW people think, ALL faucets are Ponzi's.
A true faucet, will not ask ANY money from you... it will ask you to fill out a captcha {to determine that you not a bot, but a human} and then you will receive FREE money.
They get this money from advertizers and some even use their own money to fund it in the beginning.
Sites like BTC-Flow just taint the reputation of something that was meant to do something good. {Give Free bitcoins/Satoshi's to people, who are either NEW to Bitcoin or who has no other way of acquiring it}
BTC-Flow asked people to UPGRADE their accounts, to receive higher earnings, and then used that money and Ad income to fund it. {That is a typical Ponzi scheme}
Other faucets in general do not ask ANY money from the people using it.... they just give BTC away for FREE. { That is NOT a ponzi }
I just wanted to make that clear, before NEW people think, ALL faucets are Ponzi's.
A true faucet, will not ask ANY money from you... it will ask you to fill out a captcha {to determine that you not a bot, but a human} and then you will receive FREE money.
They get this money from advertizers and some even use their own money to fund it in the beginning.
Sites like BTC-Flow just taint the reputation of something that was meant to do something good. {Give Free bitcoins/Satoshi's to people, who are either NEW to Bitcoin or who has no other way of acquiring it}
The article has a nice graphic showing how quickly a "successful" Ponzi can become impossible to sustain.
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