There are many different scams in the cryptocurrency ecosystem. Some are fairly obvious, such as fraudulent websites that attempt to mimic legitimate crypto platforms, while others can be harder to detect, such as phishing scams.
The most common and obvious scam present in the cryptocurrency market at the moment, however, are the same scams that have been present in traditional markets for decades. “Get rich quick” scams that offer a magic bullet solution are now extremely widespread in the crypto ecosystem.
While it may be fairly obvious to most that if there was a guaranteed method of generating income or profits from the cryptocurrency market we’d all be crypto-millionaires, many newer investors that lack a basic technical understanding of how cryptos work can be drawn in by these scams.
In this article, we’ll take a look at a particularly awful cryptocurrency scam- Banking on Blockchain– and highlight the most obvious red flags it presents to help you identify other similar scams in future.
What Is Banking On Blockchain?
Banking on Blockchain claims to be an automated trading platform that is able to generate profits for users in excess of $700 daily. The platform offers users an “advanced software suite” that has allegedly been created by hundreds of different system developers and a world-renowned trading strategist.
According to Banking on Blockchain, the software offered by the platform uses an advanced trading algorithm to generate a significant amount of guaranteed profit, and is available completely for free- which is probably the most obvious red flag that the platform is a scam.
Banking On Blockchain Red Flags
The biggest red flag may be that the Banking on Blockchain platform is free, but there are several other factors that make the fraudulent nature of Banking on Blockchain fairly obvious. The Banking on Blockchain site is backed up by fake testimonials created with stock imagery.
Another obvious red flag is that the software provided by Banking on Blockchain is completely useless. The software provided by Banking on Blockchain is common throughout the cryptocurrency scam ecosystem, and is known to lose money.
There are many other crypto scams that use the same software- Altcoin Trends, Crypto Advantage, and Bitcoin Wealth. Ultimately, this software will inevitably trade your account to zero, as it makes trades based on false signals.
What Does Banking On Blockchain Really Do?
The real goal of the Banking on Blockchain platform is not to provide crypto investors with a free, guaranteed way to generate massive amounts of wealth. Instead, the creators of Banking on Blockchain are hoping that individuals that fall for their scam will invest $250 USD or more with one of their affiliated, unregulated brokers, such as BinaryOnline or VIP Brokers.
Banking On Blockchain Verdict
The Banking on Blockchain platform is a fairly obvious scam– overall, if an offer appears to good to be true, it is. This is especially true in the world of cryptocurrency. If you’re interested in a managed index fund or trading account, there are many more reputable and legitimate options available.