Cryptocurrency trading can be complicated. It’s possible to generate income from the cryptocurrency market by simple investing in and holding high value cryptos, mining, or investing in promising initial coin offerings. These methods are relatively simply, but high frequency or high volume trading can deliver faster, higher returns.
Many crypto investors are aware of this, and invest a significant amount of time and effort into learning how to identify promising trade opportunities. Successfully generating profit from the crypto trade requires at least a basic understanding of charting, technical analysis, fundamental analysis, and a number of other factors that can’t simply be learned in an afternoon of browsing crypto blogs.
While this may seem self-evident, the easily accessible nature of crypto investing combined with the massive amount of hype surrounding the high value of digital currencies such as Bitcoin has created an environment in which newer investors seek “magic bullet” solutions or methods of generating significant profits in a short amount of time.
As a result, there are now many crypto scams that attempt to convince unsuspecting investors into investing their capital into get-rich-quick schemes or crypto-based Ponzi schemes. The most common schemes on the crypto market at this point in time are automated trading bots and trading software scams, which typically claim to possess a “superintelligent trading algorithm” or similar that delivers guaranteed returns.
In this article, we’ll take a look at the Bitcoin Challenge, a fairly standard variation of the trading bot scam. We’ll highlight the most obvious factors that identify this platform as a scam to help you avoid similar scams in future.
What Is The Bitcoin Challenge?
The Bitcoin Challenge is a new Bitcoin trading program platform that promises investors the opportunity to generate profits of up to $1,000 per hour, or $720,000 per month, based on an advanced trading algorithm. The Bitcoin Challenge, like most trading bot scams, promises to provide the “secret formula” to achieving these returns absolutely free.
Common sense dictates that the Bitcoin Challenge is a scam from a simple glance. If it was possible to generate tens of millions of dollars annually from Bitcoin with very little effort, wouldn’t everybody be doing it? Nevertheless, we’ll proceed to highlight the most obvious red flags that identify Bitcoin Challenge as a scam.
- Fake testimonials: The Bitcoin Challenge uses stock images that are commonly found on a range of other scam websites to represent “satisfied users” that are currently generating profit with the Bitcoin Challenge system
- Obscured domain: Whois data from the Bitcoin Challenge domain is protected, which is a key sign that the platform owners don’t want to be found out
- Scam software: Users that actually attempt to download and run the Bitcoin Challenge software will find that it uses the same application as many other scams, such as Blazing Speed Trader, MTsoft, or Desert Millionaire. This software is absolute trash, and trades based on false signals that will quickly lose a large amount of capital
How The Bitcoin Challenge Really Works
The Bitcoin Challenge platform exists solely to guide unsuspecting investors into depositing at least $250 with unregulated brokers. While it’s not clear which unregulated broker the Bitcoin Challenge platform aims to guide investors towards, it’s highly likely that they are not able to deliver on the $1,000 hourly profits Bitcoin Challenge promises.
The Bitcoin Challenge creators aren’t behind brokers they attempt to guide investors toward- they simply earn affiliate bonuses on passing investors through.
The Bitcoin Challenge Summary
Bitcoin Challenge is an obvious scam that should be avoided. As a general rule, if you see a cryptocurrency investment program that promises massive returns for little to no effort, it’s almost certainly a scam.