BotBird is an online P2P lending platform that claims to offer 100% anonymous lending services. Find out how it works today in our review.
What is BotBird?
BotBird is an online lending platform that revolves around the use of BotB tokens. An ICO for BotB tokens is underway throughout April and May 2018.
The BotBird ecosystem consists of three core services, including:
- P2P Social Exchange
- P2P Lending Marketplace
- Escrow Lending
Overall, Bot Bird claims to put users “right at the center of the cryptosphere” while allowing them “to invest in several different ways.” Let’s take a closer look at how Bot Bird works.
How Does BotBird Work?
Bot Bird offers a P2P social exchange, a P2P lending marketplace, and an escrow lending platform. Here’s a brief overview of how each service works:
BotBird claims to offer 100% risk-free escrow lending that pays users 10% monthly interest rates. Your money is not locked up, which means you can withdraw your money at any point.
P2P Social Exchange:
Bot Bird’s P2P social exchange lets you buy, sell, or trade cryptocurrencies anonymously with millions of cryptocurrency owners worldwide. You make trades from wallet to wallet, with no need to trust your cryptocurrency in a centralized exchange.
Social P2P Lending Marketplace:
BotBird allows you to use your BotB token as collateral to get cash without losing your BotB tokens. Investors who lend money through the marketplace can earn up to 30% interest per month.
Overall, BotBird claims to offer “the first 100% protected lending program in the world.” They claim that all loans are protected because they use a trusted third party “that holds the equivalent of the amount in active lending as the counter value.” That means you’re always guaranteed to get your money back after each escrow lending round.
Obviously, this seems a bit unusual. What kind of company would offer 100% collateral for anonymous loans online? What kind of incentive would a bank have to store an equivalent amount of currency? The BotBird whitepaper doesn’t do a great job of explaining how this system works.
From what we can understand, BotBird uses BotB tokens as escrow every time a member creates a buy, sell, or swap order. So each loan is collateralized with BotB tokens. However, it’s unclear how much value each BotB token has, or why the token would maintain its value if a borrower defaults.
Users will receive payouts every 30 days. If you don’t withdraw your initial investment, then it will be rolled over into the next lending scheme.
How to Lend or Borrow Money from BotBird
Here’s the basic process you can use to lend or borrow money on Bot Bird:
Step 1) You interact with a lender or borrower through the BotBird marketplace, creating a P2P loan agreement.
Step 2) Bot Bird will hold BotB tokens from both sides as collateral. You’re required to stake a certain amount of BotB tokens as both the borrower and lender to secure the loan.
Step 3) As the lender, you transfer cash or cryptocurrency direct to the other person’s wallet or bank account. BotBird does not store your cryptocurrency.
Step 4) Bot Bird releases BotB tokens back to both sides after a successful loan has been completed and repaid.
Bot Bird emphasizes all of the following features:
100% Anonymous: There’s no need to disclose personal details. You can complete the registration process in less than two minutes.
Direct Trading: Trade any cryptocurrency with members worldwide from one wallet to another.
No Cryptocurrency Storage: Sell, buy, or trade cryptocurrencies directly with other members one on one. Send cryptocurrencies direct from wallet to wallet without the use of an exchange.
Get Paid: You can get paid in cash or in the cryptocurrency of your choice. Bot Bird claims lenders can earn up to 50% monthly interest.
100% Protected: Bot Bird uses BotB tokens as escrow each time a member creates a sell, buy, or swap order. BotB escrow tokens will be released after the trade has successfully completed.
The BotBird ICO (BotB Token) Token Sale
The BotBird token (BotB) is an Ethereum-based ERC20 token. There’s a total max supply of 40 million BotB tokens, with 20,800,000 in circulation. Of the 40 million, 18 million tokens will be available during the ICO.
The ICO consists of 6 rounds, including a pre-ICO and five ICO rounds.
The token sale began with an early bird ICO on March 20, followed by a pre-sale ICO on March 30. The main ICO, meanwhile, is scheduled for April 20 to May 9.
Tokens are priced at $0.50 to $1 USD during the token sale.
Of the total supply, 37.5% is going to the main ICO, 7.5% to the pre-ICO, and 1.25% to an early bird sale. The remaining tokens will go towards a reserve fund (48%), an airdrop (0.5%), referral bonuses (4.5%), the team (0.625%) and advisors (0.125%).
BotBird claims their token will be worth $80 USD by December 2018 and $100 USD by January 2019. This seems a ridiculously ambitious valuation considering the tokens are being sold for $0.50 during the token sale.
Who’s Behind BotBird?
BotBird claims their team has been operating since 2012. Over the years, that team has “executed a series of projects and have closely observed the whole crypto market,” according to the whitepaper.
Unfortunately, the BotBird whitepaper and website don’t go into further detail about the team. We don’t know who’s running the company or what their background and experience may be.
BotBird ICO (BotB Token) Conclusion
BotBird is a P2P lending platform with several red flags telling us it may be a scam. The platform makes ridiculous claims about the earning potential of users. The creators of the platform provide no information about their identities or location. There’s no transparency regarding the lending procedures of the platform. And there’s an overall lack of information about how BotBird works.
There are also problematic ROI promises – like telling investors the BotB token will be worth $80 USD by December 2018 when the tokens are selling for $0.50 or less in April 2018. The platform also claims lenders can expect to earn returns of 30% per month. And despite the high-risk nature of cryptocurrency lending, these gains are purportedly 100% protected.
To learn more about BotBird’s P2P lending platform and decide for yourself if it’s worth an investment, visit online today at BotBird.io.