Bitclub Network SCAMMED People Out of $722 Million

by birtanpublished on September 13, 2020

So something very bad has just happened to cryptocurrency guys I don't like talking about this stuff but we have to basically the bit Club Network just got verified as a Ponzi scheme and now they're arresting the owners and co-creators of this network okay so

We're basically going to be talking about the bit Club network in this video and how this is going to affect the short-term price of Bitcoin keep watching what's going on everybody Alex back with another cryptocurrency video

And today we're gonna be talking about the bit Club network and how they scam people out of millions of dollars typically I do not like making these videos but I believe that it's gonna be very fundamental and bitcoins short term

Price so I'm gonna be talking about how it can affect you know the Bitcoin and cryptocurrency market in a negative way okay obviously I'm gonna be going into detail about the big Club network as well as some other ponzi schemes but

Before we get started guys if you have already subscribed to my channel my name is Alex I talk about everything cryptocurrency and entrepreneurial you're looking to make money on the internet this is definitely the channel

For you all you have to do is hit that subscribe button as well as the push notification bill so you can get videos like this all the time I try to keep it down to earth no showboat and just simply giving you guys you know facts

That you can apply to your life like today okay so being that this is you know one huge fact here right five charged with alleged 72 you know seven hundred twenty two million cryptocurrency Ponzi scheme now this is

Really bad for obviously the people that were involved I had money involved in it and in the book club network but what's worse in my opinion is the fact that in this headline on you know nbcnews.com cryptocurrency and Ponzi scheme are

Right next to each other of course people are gonna correlate this to you know Bitcoin in the actual various coins we know that's not the case we know that this was a centralized party and taking advantage of people that don't know

Anything about blockchain technology you know being that this is an area where you have to be technically technically savvy to understand it you know people are rude into you know riches and there's a lot of

Ponzi schemes up that you know pop up and cryptocurrency for that reason because people don't understand it they just don't understand it so they can take advantage of him right so you know I hate that cryptocurrency is tied to it

But it just as a this is just a fact and they'd from what I understand back in the day you know bit Club Network was actually a seriously you know they were actually good you know they did basically cryptocurrency mining they

Were legitimate and you know a legitimate company basically you can buy shares to a mining pool and they will allocate allocate you a certain hash power and then you can make a return on your investment which is a thing now

Like people can do that now it's called cloud mining and it's legitimate there's a lot of legitimate companies that remain profitable doing this but for some reason these guys decided to go the negative route go the ponzi-scheme route

Which they were basically accepting people's money and taking you know taking the the money that they were supposed to allocate the the network hash power to and they were not buying new miners they were not mining any more

Than that what they already were and scamming the heck out of people so this right here is basically the district of New Jersey talking about it I'm not gonna go until you guys can read it for yourself but basically these guys right

Here have been charged with conspiracy to engage in wire fraud in connection with their roles at the bit Club Network the co-owners and creators are getting you know arrested they're being taken down this fraudulent scheme solicited

Money for the investors in exchange for the shirt you know purported cryptocurrency mining pools and rewarded investors for recruiting new investors into the scheme basic Ponzi scheme how they work is you go over there and you

Recruit somebody new they put up money and you get paid on their money and that's where your money comes from so basically how Ponzi scheme work I'm not gonna dive into it is when you stop recruiting new people the whole scheme

Falls right so this was very similar in that sense they were not buying new hashing power they were simply allocating the money that they made before from other people to the new the new people it's as simple as that

And how this affects Bitcoin it's going to be in a very negative way obviously so if we come over here to the price of Bitcoin when I was at $20,000 as you can see there the the peak of Bitcoin which was

Around like January 2017 December to January 2017 you know this is when people are going crazy there's a couple of reasons obviously it's not this not the only reason why Bitcoin lost its value but one reason for sure is one

Coin which was another Ponzi scheme they used basically education or trading material to kind of do it I believe they had their own fake coin and basically you could not withdraw or change this coin for any other cryptocurrency unless

You use their exchange so they only had one exchange that is red flags of a Ponzi scheme and at one point you know the exchange went down nobody can sell their their coins their one coins and right here approximately four billion

Dollars worldwide were siphoned from these unsuspected people that know nothing about blockchain technology and you know kind of basically robbed they were robbed this was a Ponzi scheme it went bust right and as you could look

Here and this is very important to understand the exchange was shut down without notice of January 2017 okay so in January 2017 exchange was shut down and it basically went crazy you know and nobody in the Western world really knew

About this because this was Asian countries invested into this it was one of those type of scams so if we come here I'm losing track if we come here you can see that Bitcoin right there we just said it guys January 2017 and

Ever since then it's been going down right four billion dollars will have an effect on you know the price of Bitcoin that's a fact it could make people scared of you know how cryptocurrency works right you know when you get

Headlines like this five charged with you know an alleged 7220 that's crazy that's a crazy amount of money that has been stolen and cryptocurrency is named right next to it that doesn't mean that Bitcoin was hacked right that doesn't

Mean aetherium was hacked and exploited that just means that somebody used a name to get unsuspecting people into it so they can fraud them right so this is negative news for Bitcoin as a whole for a fact so you know person

Obviously you guys know on my channel I'm not looking in the short-term price of Bitcoin at all all of my investments is over you know a two to five year term so currently it's not like I'm selling all of my Bitcoin or anything I'm simply

Just you know I'm actually happy I know it sounds crazy guys but the best advice I can give you is to do the exact opposite of what normal people are doing so you know when the price drops which it most likely will and I knew this was

Gonna happen if you're in my private group I basically thought I was talking about how most likely Bitcoin can come back go down to like the 5000 level which in my opinion is a really good thing my goal is to get and collect

Cheap Bitcoin that's always been my goal so you know when Bitcoin goes up of course I'm happy that I made money but I'm also sad in the fact that I missed out on future potential to buy cheaper Bitcoin okay you know think about a

Cashew collector right they're not gonna be happy to pay five hundred dollars for a pair of Jordans they're probably gonna be happy to get it for retail at 175 alright and that's how I feel about Bitcoin so you know if you've got bills

To pay I never told you know this is not financial advice but I always stray away from people having all of their money and cryptocurrency so if you do have all of your money and cryptocurrency maybe you should think

About selling a little bit to pay the bills or you know whatever you have to pay make moves accordingly because this is not good news and this is 722 million dollars it's not close to four billion but this is very bad news for

Cryptocurrency even though I had nothing really to do it did have to do a cryptocurrency but it wasn't the coins itself that if they did proper you know research if they understood blockchain technology they would have understand it

Would have looked at the the block Explorer and saw that the the transactions coming in from these you know fake mining pools were fraudulent they would have known that these people are not buying hashing power but they're

Probably just sending some old money to them right people don't want to do their due diligence they just want to make money for free without doing any work but we know on this channel that's not the case

But that's it for this video guys I do believe it's gonna negative negatively affect Bitcoin in the short term but you know I'm bullish on this coin in the long you know that the block happening is

Going to take this to new heights what we've seen with Bitcoin in the past decade has been Trump's any stock in the world by far if we took you know Amazon or Apple and we take their parabolic trend

Up and compare it to the price of Bitcoin going up it would be a joke okay and you guys know I'm always gonna be long-term bullish on Bitcoin but that's it for this video guys if you like the quality of content hit like if you don't

Leave some constructive criticism below subscribe for more video updates and like I always say if you don't get with this technology you will get left behind thanks for watching this video guys catch you in the next one

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