If you haven’t been following the bitconnect scam, then you should get familiar with what’s going on right now. The cryptocurrency gold rush is making a lot of people rich but at the same time making a lot of victims.
On 16th January Bitconnect announced they were shutting down their lending platform which millions of people invested huge amounts of money, many their invested their life savings in their lending scheme which was long time suspected to be a ponzi scam.
Bitconnect’s own cryptocurrency (BCC) lost 90% of its value
The reason given for the closure was bad press, they received two letters Cease and Desist letters, one from the Texas State Securities Board, and one from the North Carolina Secretary of State Securities Division (stop purportedly illegal activity) and DDos attacks causing disruption to their service. They took their users funds that was in dollars converted it to their BCC coins knowing that once they made the announcement BCC coins would be worthless and impossible to sell.
Users of the Bitconnect platform have lost thousands if not millions. Many are angry and some suicidal. Lawsuits have already been filed against the promotors of the website however the owners of the entre operation is still not clear or even known. Crypto Nick a 17 year old who promoted the site is alleged to have made millions with his referral link on his youtube channel. Lawsuit has also been filed against Crypto Nick.
It’s such a sad story and not good news for the crypto market and it may have contributed to the recent crypto crash as confidence in crypto space was at an all-time low.
This maybe the excuse governments were looking for, for further intervention and stronger regulation for controlling the crypto market.
This is not my video but this guy is a victim of Bitconnect, show him some love!
