How can I spot Ponzi schemes? - page 4.

bravehearth0319

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Quote from: LittleBitFunny on February 14, 2017, 12:02:49 PM

I'm pretty new to Bitcoin and the idea of cloud mining seems pretty appealing. However I keep hearing about Ponzi schemes which rely entirely on new members to stay alive. Besides the blindingly obvious, what are the main signs that a service might be a Ponzi?

First know the meaning of "PONZI SCHEME" stealing others money, then runaway in the end. If the information is not complete details about their business like from the owner, their officials are transparent, the developer is not updating the people form time to time, don't have proof that they have a business, or mining farm or not showing any road map, project flow, etc. those are the signs can be consider.

kano

legendary

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Linux since 1997 RedHat 4

No cloud mining will return you a bitcoin profit.
i.e. if you put in X Bitcoins, you'll get back less than X.

The question is how small or large your loss will be.

philipma1957

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'The right to privacy matters'

Quote from: LittleBitFunny on February 14, 2017, 12:02:49 PM

I'm pretty new to Bitcoin and the idea of cloud mining seems pretty appealing. However I keep hearing about Ponzi schemes which rely entirely on new members to stay alive. Besides the blindingly obvious, what are the main signs that a service might be a Ponzi?

Go to hashnest.com

They are run by the biggest builder of asics in the world.

They are the God or King or Goddess or Queen of cloud mining.

Read their offers basically they offer 3 to 5% for 6 month contracts.

Any cloud mining That offers a lot more is most likely no good.

senyorito123

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$CYBERCASH METAVERSE

Quote from: Chin Cheng on February 14, 2017, 12:42:36 PM

Quote from: LittleBitFunny on February 14, 2017, 12:02:49 PM

I'm pretty new to Bitcoin and the idea of cloud mining seems pretty appealing. However I keep hearing about Ponzi schemes which rely entirely on new members to stay alive. Besides the blindingly obvious, what are the main signs that a service might be a Ponzi?

The real meaning of ponzi scheme is giving a promise of a greater return in a short amount of time and you will be getting a share of the later investors. The problem with cloud mining sites is that ,the mining difficulty will keep on increasing and the chances are that you might not even get the invested money and if the price of bitcoin drops they could void your contract. If you are planning to invest in cloud mining just check every details before entering.

and also we can detect it as ponzi if the site doesn't have any proof of their mining farm,location,owners information. So for us to not get victimized by this scheme well we should not try to invest at them since i truly believe that we don't have any good fortune at them, they where surely be turned scam somehow and that is the play if ponzi scam investment site.

avatar_kiyoshi

legendary

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In cloudmining case, usually you should research more about the company profile and the proof of their mining activity.

The basic of ponzi scheme is your money come from the next investor, then the next investor money come from the next one, ect.
Mostly ponzi scheme offer you with high return investment than other investment. The characteristics usually can longer survive, until the owner/company of such investment can't repay or just runs away the money.

Also there are a similar scheme, pyramid scheme, but usually pyramid scheme very vulnerable to collapse early.

Chin Cheng

sr. member

Activity: 255

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Quote from: LittleBitFunny on February 14, 2017, 12:02:49 PM

I'm pretty new to Bitcoin and the idea of cloud mining seems pretty appealing. However I keep hearing about Ponzi schemes which rely entirely on new members to stay alive. Besides the blindingly obvious, what are the main signs that a service might be a Ponzi?

The real meaning of ponzi scheme is giving a promise of a greater return in a short amount of time and you will be getting a share of the later investors. The problem with cloud mining sites is that ,the mining difficulty will keep on increasing and the chances are that you might not even get the invested money and if the price of bitcoin drops they could void your contract. If you are planning to invest in cloud mining just check every details before entering.

Emoclaw

sr. member

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Easy. If they promise things that are too good to be true, they probably aren't.
Just go to this section: https://bitcointalk.org/index.php?board=207.0 and avoid all websites there.

LittleBitFunny

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The first decentralized crypto betting platform

I'm pretty new to Bitcoin and the idea of cloud mining seems pretty appealing. However I keep hearing about Ponzi schemes which rely entirely on new members to stay alive. Besides the blindingly obvious, what are the main signs that a service might be a Ponzi?

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