Topic: SCAMMER TAG REQUEST - CASINOBIT.NET IS NOT PAYING OUT INVESTORS (Read 4303 times)

Here is another sock puppet: https://bitcointalk.org/index.php?topic=543237.0;topicseen

They are and have been in the process of moving domains. 301 redirecting all backlink juice to the new page but using a new name. For reasons I can only imagine..

It's probably a plan to "transfer" ownership to another identity of his.

I would say it isn't suspicious, just re-affirming.

Selling the casino: https://bitcointalksearch.org/topic/ann-btctkcom-auction-being-sold-430447

Also: https://bitcointalk.org/index.php?topic=422817.20

https://bitcointalksearch.org/topic/btctk-not-your-normal-dice-btc-ltc-doge-nvc-others-jackpot-invest-411750

ATTN: Anyone who has not been paid out from won bets

Please PM me your e-mail address if you are interested in the identity and contact information of the admin.

Thanks.

Both Investors AND Bettors

The thread is titled "SCAMMER TAG REQUEST - CASINOBIT.NET IS NOT PAYING OUT INVESTORS"

Should also be titled "CASINOBIT.NET IS NOT PAYING OUT BETTORS"

Situation
1: [guy 1 10 BTC ] ===> pool with 10BTC
2: [guy 1 10 BTC (+5BTC in profit vault) ] [guy 2 5BTC invested] =====> pool with 15BTC, and 5BTC fake coins
3: [guy 1 divest all (75% of house)]  [guy 2 5BTC (-75%)] =====> pool left with 0 BTC and 3.75 fake coins in the system

before all the incident  this is what happens, and after revealing the scam and most big investors are gone. he finally realized and change the code to new investments are not profit. But with the fake coins in the system , a few days more and it can't sustain. He perhaps is deciding to liquidate something but we havent hear news from him recently.

But from what i have experimented with the system, it is how it programmed to work this guys are like 3x or 5x ing their profit in jjust a week since the investment goes up with all this positive news. No matter was he intended to be, he was owning a ponzi scheme investment system and covering with the casino profit.


And as mentioned before, we have 2 cases with all his "debunking".

Thanks for this. I've read your post and I agree. When did you initially alert him to the issue? Are "actual" profits even put into the pool?

1.  Actual site "profit" should be EXPECTED TO BE 2.7% of the total wagered
2. see my scam accuse post or ask guys out there like vless or 01BTC10 why it is a ponzi, scan the whole thread at https://bitcointalksearch.org/topic/how-to-double-your-btc-in-a-week-272037 and https://bitcointalksearch.org/topic/casinobit-live-roulette-invest-best-casino-of-2013-171094

Was the investment money guaranteed? No
Was the risk passed on to investors? Yes
Is the site BR & investor BR separate? There is no site BR, everything is on the invested amount
Did risk include the possibility that a miscalculation could occur? Yes
Is the site responsible for it's own exploitation by other "investors?" It is a function that how it works, designed to be by him. To rephrase, designed to be a system to run ponzi, as TradeFortress states, new investment is not profit for old investors, and Casinobit makes it be

Just noticed this thread: https://bitcointalksearch.org/topic/how-to-double-your-btc-in-a-week-272037 which answers some of the "terms" questions.

Clearly there was an issue with the math using the investment feature. Actual site "profit" should be 2.7% of the total wagered, which would be 82.836BTC. The site is luckier now, making 130.54BTC (4.25%) since tracking started. However, variance should be accounted for and over the long run, that 4.25% will come down closer to 2.7%. Much of this profit was earned prior to investments.

Now, how is it that someone can invest and then withdrawal 50% more than they invested in only a few days? My guess? The potential variance was not accounted for so any house "wins" were considered "profit." OR, perhaps house "losses" were not deducted from the users bankroll? Too good to be true? Absolutely. I'm not certain why, but clearly the math was wrong and some users were able to exploit the miscalculation to take a significant amount of money from the other investors. If ~200BTC is owed to investors, the site will need nearly 8000BTC of action to expect to be able to cover that amount. IMHO, the "investment" feature needs to be removed immediately and resolved separately (potentially by proportionately paying out remaining investors with what's available or offering a cut of future profits.)

Questions to ask:
Was the investment money guaranteed?
Was the risk passed on to investors?
Is the site BR & investor BR separate?
Did risk include the possibility that a miscalculation could occur?
Is the site responsible for it's own exploitation by other "investors?"

Full disclosure: I provided a capital loan to the site, which was repaid in advance a couple months ago.

+1

late is better than never!!!  

This is obviously not the case. It's still better if investors get paid later than never. I will even consider leaving some large investment with him if he really pay back.

There should be no reason for "frozen funds". You were sent funds and suppose to hold them. You either have them or you don't. Unless your system paid off too much you should have the BTC that was deposited, the players did not win against the house. Obviously this is not the case and you spent the BTC on something, why should you not be accused of scamming or at least stealing? You borrowed without asking by spending others' BTC.

Staying with the original and accepting no substitutes would mean you guys would run out of business since we've launched a full month before you.

As for everyone else in the thread, sorry for the frozen funds, we are working on it atm.

Apology accepted. I agree, I must've gotten very lucky. I genuinely feel for all those with BTC stuck in the site. How much do you have in it?