BIT-x, found online at BIT-x.io, is a decentralized cryptocurrency exchange. Find out how it works – and what makes it unique – today in our review.
What is BIT-x?
One of the unique things about BIT-x is that the platform plans to create an unlimited number of its own coins – called “bix” – which will be used as a debt between clients.
Another unique thing about BIT-x is that the cryptocurrency exchange has an embedded SSN protocol (Tor). The client uses an automatic port change to ensure that the network isn’t blocked.
The entire exchange is decentralized, and it’s supported by client computers and mining facilities.
Overall, the website isn’t worded in very good English, which makes it difficult to understand how BIT-x works. Furthermore, we have reason to believe that BIT-x is an ICO scam.
However, the platform’s ICO is underway throughout October and November.
Obviously, BIT-x has a lot going on, so let’s take a closer look at how it all works.
How Does BIT-x Work?
Here’s the step by step process outlined on the official BIT-x website:
Step 1) Money is stored in the client’s multi-currency wallet
Step 2) “Exchange occurs with your own coins BIX with record information about the warrant,” explains the official website. It appears you’re trading crypto or fiat for BIX, and that transaction is recorded onto the blockchain.
Step 3) When a miner confirms the order, a part of the currency freezes.
Step 4) The currency exchange is only completed when the order is confirmed
The platform itself is an open source blockchain built from the ground up. BIT-x has written its own platform. As mentioned above, there’s also built in Tor functionality, making it easier for people around the world to access BIT-x.
The BIT-x Token Sale
The BIT-x token sale started on September 30 and is scheduled to end on November 16. You’re buying BIX tokens through the token sale.
A total of 10 million tokens are available through the token sale. However, as mentioned above, there’s an unlimited number of BIX tokens available through the platform. Tokens are set at a price of $1 each. There’s a minimum purchase of 1 token and a maximum purchase of 4.5 million. BIT-x is accepting ETH.
If you hold more than 50 BIX tokens, then you’ll receive commissions from the BIT-x ecosystem. A portion of fees will be given to token holders.
As of October 3, just a few days into the sale, the company claims to have collected 2745 ETH, or $800,000+ USD.
Who’s Behind BIT-x?
BIT-x’s team consists of Katsu Higa (smart contract development) Mikio Nakamura (CEO), and Montaro Sinna (CMO), among others.
These are the team members listed on the official website. However, the website posts very little information about any of these team members. We can’t find any additional information on Google Search. Mikio Nakamura, for example, claims to be the “founder of numerous internet enterprises”, but he has no online presence that we can find.
Another unusual thing is the companies listed under BIT-x’s “partners and investors” section. They list the logo for companies that no longer exist (Cominco, for example, is a Canadian mining company acquired over a decade ago, although they’re listed as a partner on the official website).
The company’s Twitter page and website, meanwhile, seem to be written in Russian – not Japanese.
Ultimately, there’s an overall lack of transparency surrounding BIT-x’s development team, its location, and its management experience.
The only other “clue” we have about who’s running BIT-x is from Twitter. One Twitter account seems to retweet everything that BIT-x posts. That account is run by Alexey Denisov, a Tver, Russia-based individual. There are no other retweets from anyone else.
Conclusion: Is BIT-x a Scam?
BIT-x seems to be legitimate website and exchange at first glance. The website talks about the development of a unique exchange with an unlimited supply of Bix, built-in Tor functionality, and easy atomic swaps. However, further reading leads us to believe that BIT-x is a scam and not a legitimate investment opportunity.
There are just too many red flags surrounding BIT-x. Google Searches for the company reveal nothing about the company – no press releases announcing the ICO, for example, and no media coverage. The company’s whitepaper and website are worded in broken English, making it difficult to understand what they’re offering and how they’re different from other exchanges.
The most worrying thing about BIT-x, however, is the lack of transparency about the team. The website lists 8 members of the team along with their photos. However, these photos appear to have been taken from the internet, while the names appear to be random. We can’t find any information about any of the employees online after Googling them – even the CEO who claims to have founded “numerous internet enterprises.”
Ultimately BIT-x seems to be an ICO scam. The company tries to convince you it’s a smart investment opportunity that will help you get rich quick. However, it doesn’t take much research before you realize it’s a scam.