The adverts promise daily earnings in Bitcoin plus several different altcoins. I was excited when I heard about a meeting that was going to be held in Lusaka. I made my way into the venue of the assembly in Avondale where I arrived one hour late but fortunately, the beginning time was driven by an hour so that much more latecomers like me didn't miss the event.
I must saythe event had been well attended. Speaking from personal experience of coordinating similar occasions. I counted roughly 80 people in life. I was impressed.
The speakera'master builder' (as stated by the status structure of BCN), from South Africa, took us through a well-prepared demonstration. I consented pretty much using a great deal of what he needed to say about Bitcoin. I could tell that he was well researched about the topic. However, the issues came in after he began explaining the company opportunity posed by BCN over the context of Bitcoin. The company model and a number of bits of information concerning the company didn't sit well with me.
But I will touch a little on why I believe it is a scam.
1. Ownership of the firm cannot be established. Unlike real mining websites like Genesis Mining (please distinguish between miners and pool miners), the BCN website does not say the owners or individuals behind the operations are. In Actuality, the Web Site says that"BitClub Isn't possessed by any person or entity, we are a group of experts, entrepreneurs, professionals, network marketers, and programming geeks who've come to together to establish a very simple business around a very complex business"
However, recently an individual by the name of Russ Midler was identified as the person behind BitClub Network. This person is of questionable character and actually has a criminal background in America.
2. Location of the business is unknown. Again in which other sites will say clearly what their place is. The actual address of their BCN mining or offices farms is conspicuously missing on their site. They assert that they are located in Reykjavik, Iceland, but that is another vague claim because we know that there are hundreds of mining farms in Reykjavik. It is similar to claiming to own a casino in Las Vegas. In an effort to hoodwink people into believing the lies, in their site they show images of a mining plantation branded with an over used banner ad and yet, ONE! Pop up banner.
3. BCN claims they are the sole company which enables the ordinary general public to purchase mining contracts. NOT TRUE. Don't hesitate to take a look at genesis mining, hashflare, hashnet, etc..
Now, lest I am accused of merely being out to telephone on the BitClub Network a scam, then let us look at the investment aspect of things. Say BCN wasn't a scam. Say all the aforementioned red flags didn't exist. Can it make business sense to purchase it?
1. $100 registration fee. Why should one pay a registration fee of $100 to combine a mining pool if they can join many others for free and actually use the $100 within initial investment? Apparently this gives you accessibility to a backend where a user can see the transactions in their portfolio. Seems like something I'd get for free everywhere. The speaker at the meeting that I attended said that you pay a registration fee because"There's so much money to be produced ." What!?!?
2. 10 or 30 days waiting period. So once you spend $100 for enrollment you have to await a couple of days until you're able to start earning. Some people have had to wait up to 30 days while the blessed ones just 10 days. The business question here is, what happens to my earnings for that period? Do they get added back to the earnings as soon as they start coming in? Or the days added back into the 1000 times contract period? In my research the response is, not one of THE ABOVE. The buyer loses out on the earnings for that period. Meanwhile, even when you buy a contract someplace, you begin earning over 24 hours.
3. Nobody from inside the BCN appears to know when the ROI will occur. Maybe they don't even understand what ROI is. I should probably use another word, BREAKEVEN POINT. When will the buyer get their original investment ? According to my research, an investment of $500 will probably ROI between 850 to 860 days. That is almost 2 years and 7 months. Might I add that at this point you are remaining with 140 times for your 1000 days. But wait, you already lost about 10 to 30 days so knock that out too. And keep in mind, we are not contemplating the $100 registration fee. Simply speaking, if you're going to buy just 1 contract then you are essentially putting cash into a black hole. It seems the only way to generate money is by recruiting more and more victims into the bottomless pit.
Conclusion
My response is two-fold. Primarily, going by the hype about BCN, I had been astonished Article source to see the amount of individuals getting into it. This could be found by the range of people posting about it on interpersonal networking, facebook particularly. I was so shocked the business model introduced was really uninspiring. I understood that people were fascinated about the opportunities presented by crypto monies, so much that they could not see past the present selling price of Bitcoin.
Second, as a Blockchain Technology and Cryptocurrency enthusiast, I am concerned that the understanding being created across Bitcoin and crypto currencies as much BCN is worried would do more damage to the adoption of crypto, than good. Let us imagine that at the end of the 1,000 times that the investor is not able to draw or indeed BCN is altogether shutdown such as bitconnect was. I fear that this could perpetuate the idea that everything about cryptocurrency is staged with scam. This was the death of fictitious network marketing and MLM concepts. The legitimate company that do fair MLM are bundled up together with the hundreds and hundreds of scams which guise behind network marketing.
I hope that this guide will serve as a warning for would be investors to take a very close look in the business model of BCN prior to making a decision to acquire in. Don't be wowed from the guarantees of earning tens of thousands of kwacha. Don't permit the promise of making ZMW800,000 in 1 year should you recruit a single member a month for twelve weeks.
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