These are not good times for BitConnect as its top promoter, Glenn Arcaro has been reported to have disappeared from the public.
Glenn Arcaro is the topmost promoter for the scheme in the United States and many of his YouTube channel and videos which have now been deleted used to promote his BitConnect earnings.
It would be recalled that Texas had issued a cease and desist order against BitConnect because it was not a genuine digital currency.
Here is what we think about BitConnect
The company behind BitConnect claims to be in the business of margin lending and cryptocurrency lending for other digital currencies. So in actual fact, people are paid based on the slice of the company’s share they own and not based on the actual trading price of BitConnect.
To really unravel why BitConnect might not be genuine, financemagnates.com gave an analogy, see below:
“For instance, if someone invested 1 BTC when the value was $3000, on paper he might have rewards, but if he decides to withdraw his funds, he will only receive his initial investments that too in BitConnect coins. Meanwhile, BitConnect would have kept the Bitcoin whose current market value is over $7000”.
Perhaps as a sign that something might not be right, after all, the market capitalisation of the digital currency has since plummeted on Coinmarketcap due to a technical recalculation of its total outstanding token. Coinmarketcap has since stopped recognising its tokens which are recognised as loans. The market capitalisation has dropped from $2 billion to mere $582 million. This is a fact you should consider before going further.
There is a consensus that the only ‘saving grace’ BitConnect enjoys is that it has a blockchain ledger. Despite that, its mathematically-unrealistic investment returns are not only scandalous but outrightly ridiculous.
It might interest you to know that Bitconnect is not the only digital currency that has a ‘question mark’. There are other cryptocurrencies that you will end up holding a dummy.