After Bitcoin – a cryptocurrency was created in 2008 and increasingly attracted the attention of financial investors, individuals and organizations began to take advantage of this to uncover scams through virtual money (cryptocurrencies). They mainly aim at people who do not know much about virtual money but are eager to “get rich” and want to invest. The result has led to many people being cheated and governments in many countries blaming Bitcoin.
You must be no stranger to the fact that OneCoin is one of the most “famous” of all rogue coins. So it’s no wonder I mentioned OneCoin first. But what exactly is Onecoin, and how does its scam system work? OneCoin is a Ponzi (multi-level) scam coin running on a separate Blockchain managed by Gibralta-based Onecoin Company. The company earned more than $50 million in just one year due to illegal product sales, thanks to a strong Facebook promotion strategy.
The main products of Onecoin are the trading materials or packages that cost between 100 Euros and 118,000 Euros, including Tokens for mining Onecoin in Bulgaria and Hong Kong. We can see that this company doesn’t sell digital currency, and it only sells document packages. Italy and China were the first to expose OneCoin’s deceptive nature.
2. LCF Coin
LCF Coin is currently raining and cooling in China. The LCF Coins virtual currency is in prelaunch but has no websites or social networks. On the contrary, they advertise through Google and have sold more than 600,000 products. Why were LCF Coins viewed as scams? LCF Coins’ financial consulting firm Rothschild & Co warned people not to trust the cryptocurrency:
“The plan aims to be an investment fund involving digital currencies and “many other things on the internet,” and they pay in installments based on the duration of the investor’s involvement. This shows that this fund is very similar to a Ponzi system.”
LCF Coins’ financial advisory firm spoke up for no reason without questioning the currency.
3. Centurion Coin
Centurion Coin (CNT) is the third place. Thanks to the Italian website Truffacoin, the Centurion Coin cryptocurrency is a Ponzi program. A little similar to OneCoin, Centurion Coin is the other thing they open a charity.
On the Centurion Coin website, you see the names of the development team members, but the real identities of these people are hidden behind a company in Dubai. This “charity” donated 5 million coins, but according to Centurion Coin’s block opener operators, there are now 50,000,086,400 pre-mined CNTs in the first round in December 2016.
Earthcoin (EAC) is also on this list even though it is the most seemingly legal currency in the top 5 rogue currencies. It is even listed on Coinmarketcap’s list. When searching for Earthcoin on coinmarketcap.com, around June 2017, Earthcoin’s market capitalization is about $935,000, and there are 9,346,468,332 EAC (currently, Earthcoin’s capitalization is $4,894,811 with 11,374,525,128 EAC), but it doesn’t seem very convincing.
The pre-exploited EAC coins, and even the bug fixes, show that the initial supply of this coin was generated automatically by the developers before the public launch. This means miners do not create supply over time, as we have often seen. In addition, they do not have a good website and do not provide any insight into Earthcoin itself and its volume. In the decentralized world of cryptocurrencies, this is too suspicious for investors.
S-Coin (Coinspace) is the latest scam cryptocurrency on this list. It works like Onecoin because the company offers unsustainable development plans. Coinspace has sold 12,000 token packages, but their value is not tied to any entity, and there are no supply and demand fundamentals. These are the signs that this is a suspicious currency that everyone should be aware of.
DISCLAIMER: The Information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.
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