Topic: [ANN][BCC] Bitconnect Coin - Decentralized Cryptocurrency - page 71. (Read 384600 times)

Hey, what do you guys think of [...]? 2.9% return weekly.

Read the whitepaper; looks legit, but wanted to hear from BCC ponzi experts.

Thanks!

They had been reducing the interest and many days they paid zero interest. Obviously, they couldn't carry on paying 1% per day unless they thought their coin would get to $5k in a year. You can't say they collapsed since their price was still at $260 or so when they cancelled the lending. It could have carried on fine especially since the profits generated allowed them to market the coin (the lending profits didn't entail taking money from new investors so it's a bit of a stretch saying they were a Ponzi - the good thing about the system is they couldn't sell their BCC and dump the price as it would be counterproductive).

What are you still yapping about? It doesn't matter what the "growth" of their made-up token was. This feedback loop was fueled by the nature of the ponzi. It doesn't matter when the "interest" was paid. They promised unsustainable returns and collapsed when the influx of new money dried out. Doesn't get any more ponzi than that.

another player in town, these guys made it pretty clear what the point of the coin is with the name "lendconnect"

in their whitepaper they explain staking as buying the coin and selling it for a higher price....that's what "staking" is to them....

https://coinmarketcap.com/currencies/lendconnect/

The thing is they were paying less interest than the growth of the coin. If bitconnect paid the interest at the end of the term instead of all through the holding period, would they still be a Ponzi? If the coin price stayed the same they would simply pay the same amount of coins back but normally the coin would go up a lot. Would it be a Ponzi for them to pay back LESS BCC even if it was worth 200% MORE than they initially invested? The lending was actually the reverse of staking coins as instead of inflating the supply, it actually reduced it as long as the coin price went up lol.

Well if you were talking about BCC, then the coin was still at $260 or so before the announcement. So what would have destroyed it other then the market crashing? Any coin can crash and the lending system wasn't at fault for the crash, rather the people complaining to authorities etc probably caused them to cancel the lending.

Fiat is obviously not a Ponzi lol as the money supply is meant to be tied to the total assets. A house is not going to zero value so will always be worth something. Nowadays due to the supply being hard to control world-wide it tends to inflate and go in boom and bust cycles so it is more similar to a Ponzi now than before. That doesn't change the fact it has always had assets backing it. Actually, it was found that having slightly more supply than assets allowed businesses to grow faster (business loans etc). The financial system may not make much sense nowadays but the only thing it is meant to do is encourage business, which is what it does. People generate wealth but creating things of value that other people buy. Bitcoin doesn't generate any wealth and is just a speculative asset and you can't deny it can easily go to almost zero value (it doesn't take more than a few percent to be sold to lose half its value either). Whales can dump it any time they like once they've decided they have profited enough. You must know by now that all the winners of bitcoin will be balanced by the losers and it is zero sum and totally Ponzi-like in that way.

What is a Ponzi scheme?
A Ponzi scheme is an investment fraud that involves the payment of purported returns to existing investors from funds contributed by new investors. Ponzi scheme organizers often solicit new investors by promising to invest funds in opportunities claimed to generate high returns with little or no risk. In many Ponzi schemes, the fraudsters focus on attracting new money to make promised payments to earlier-stage investors to create the false appearance that investors are profiting from a legitimate business.

Why do Ponzi schemes collapse?
With little or no legitimate earnings, Ponzi schemes require a consistent flow of money from new investors to continue. Ponzi schemes tend to collapse when it becomes difficult to recruit new investors or when a large number of investors ask to cash out.

What are some Ponzi scheme "red flags"?
Many Ponzi schemes share common characteristics. Look for these warning signs:

High investment returns with little or no risk. Every investment carries some degree of risk, and investments yielding higher returns typically involve more risk. Be highly suspicious of any "guaranteed" investment opportunity.

Overly consistent returns. Investment values tend to go up and down over time, especially those offering potentially high returns. Be suspect of an investment that continues to generate regular, positive returns regardless of overall market conditions.

Unregistered investments. Ponzi schemes typically involve investments that have not been registered with the SEC or with state regulators. Registration is important because it provides investors with access to key information about the company's management, products, services, and finances.

Unlicensed sellers. Federal and state securities laws require investment professionals and their firms to be licensed or registered. Most Ponzi schemes involve unlicensed individuals or unregistered firms.
Secretive and/or complex strategies. Avoiding investments you do not understand, or for which you cannot get complete information, is a good rule of thumb.

Issues with paperwork. Do not accept excuses regarding why you cannot review information about an investment in writing. Also, account statement errors and inconsistencies may be signs that funds are not being invested as promised.

Difficulty receiving payments. Be suspicious if you do not receive a payment or have difficulty cashing out your investment. Keep in mind that Ponzi scheme promoters routinely encourage participants to "roll over" investments and sometimes promise returns offering even higher returns on the amount rolled over.