BitConnect Tokens have been here for a While now, And we have seen BitConnect tokens to rise from $10-12 to upto $300 Mark each token.
With that being said, BitConnect is technically or claiming to be an Auto Trade Bot which does Crypto Currency Trading on your behalf with your money and share profits with you and the whole system is based upon blockchain.
Now, what i have analysed so far. BitConnect token are required to get into the their trading system which seems quite fine to me but which actually bugs me that their tokens has no other use case other than making people involved, i mean no real time, auto bot trading that i know of.
According to BitConnect Whitepaper
If you go through their whitepaper properly. Conclusion is that you'll earn based upon how Crypto Currency market volatility. which is not that high as it pretended to be by many people.
Why BitConnect is on High?
BitConnect has increased a lot due to many people joining in under the referral system they have for each investor. That is the prime reason more and more YouTubers are showing their wallet online and claiming that they have earned 10x within a month. But what they don't usually explain you is, those earnings are including their referral incoming not just the profit sharing based upon what they have invested.
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The Pyramid Scheme
BitConnect's Referral program is based upon pyramid scheme. Where when you make other people join, you get a referral income and other people make more people join and so on. We have seen this type of Schemes falling on to the ground once it reaches it's peak.
One thing, also worth noticing that when you invest your money in BitConnect, it's locked approximately for Six Months. This is something which exactly defines the pyramid scheme. Where more and more people joining in putting their money in order to get more people join and earn more money, although big bunch of investments are not allowed to go out due to the lock-in period.
Who is BitConnect?
If you talk to anyone, who ask you to join BitConnect. One question is always unanswered, Who is behind BitConnect?
We don't see any office address or any profiles/names on the BitConnect Website. Which is very suspicious to me at least. A company doing that great or a legitimate business should be coming up front, and declaring the names who are running it.
This arise to a very good Question...
Are we investing our money, where we don't know anything about the company or it's future?
Is BitConnect Profitable?
Sure, BitConnect surely has helped people to reach a stage, where they have folded 10 times or even 20 times of their money. I presonally has given it try and after investing $110 USD, it has given me the approx avg profit of $1 a day.
Should you Join BitConnect?
I personally never suggest people to invest in anything, which i am not sure of as well as, I encourage everyone to do their own research before making any investments.
After my research, what i think is, we don't know if BitConnect is Legit or a Scam (Looks Like a Scam to many people). Still it's distributing profits. We see the total Crypto Currency Market Cap rising from $17 Billion at Jan 2017 till now $239 Billion and counting...
I personally believe, It should hang around at least for next 6 months or an year, even if it's a scam. I Also want to make everyone understand that if you decided to jump in with BitConnect system, Be ready to bare the losses if you want to earn the profits. As we cannot claim for sure that for how long this system/company will be in existence.
However, if you anyways makeup your mind to join BitConnect my Referral Link is: https://bitconnect.co/?ref=bunnychum
The Conclusion
We cannot claim to know that, if BitConnect is completely a Scam or is doing a Legit Business due to obvious reasons. But if you are one of those guys, who thinks to earn profit from it for a shorter period of time and ready to take a risk, it's entirely your decision. Just don't blame anyone if this whole system goes crap in the future.
I hope this would help people understand the dynamics of BitConnect System also let me know your thoughts in the comment section below.