The Texas Securities Commissioner has issued an emergency cease and desist order on a very dodgy UK based ponzi scheme which has somehow, of course, managed to get a market cap of $4 billion before their planned ICO on 9 January.
Anyway, Texas may have put a halt to their exit scam.
The UK regulators obviously won't do anything about this sort of blatant scam but many prominent names in the bitcoin community have been warning folks away from Bitconnect. Hopefully nobody here on Steemit will have lost money but it's another important lesson here: do your own research. If it's too good to be true, it probably is.
This company had no known principals. There are obviously some people behind it, we just don't know who. Should have been a red flag in this situation where investment returns were being promised.
As mentioned above, however, a $4 billion market cap suggests many didn't heed those warnings coming from the likes of Erik Voorhees only yesterday:
A question re: this order. If true, it seems to only apply in Texas. Why wouldn't it have been brought by SEC? It mentions that the ICO is happening on bitconnectx.co (don't want to provide full link) has anyone pre-registered with them? Was anyone here part of their 'lending program?' Here is the company listed in UK at Companies House. There is one director and owner mentioned but it could just be a nominee director as is easy to do in the UK.
