All posts by Thomas_Prendergast

46% of ICOs Launched Without a Business Plan

46% of ICOs Launched Without a Business Plan

ICO market research report for Q1 2018 reveals some interesting statistics.

Market research on the initial coin offering

market in the first quarter of 2018 reveals that institutional investors are playing an increasing large part in funding blockchain projects despite many of them having no development before they are launched.The research was conducted by ICO Rating, an agency which (you guessed it) rates ICOs. According to its official website, its analysis team of more than 50 experts “specialize[s] narrowly in evaluating companies in the fields of blockchain, cryptocurrencies and ICOs/ITOs.” It has offices, in Amsterdam, New York, Singapore and St. Petersburg.

Findings

The report says that $3.3 billion dollars has been raised so far this year over 412 projects. This figure only counts money raised from completed ICOs (as opposed to pre-sales and unsuccessful/ongoing projects) and excludes the now-discontinued ICO of Telegram which was worth $1.7 billion alone. If these are counted the figure stands at over $6.3 billion.

The vast majority of ICO money in 2017 was the result of only a handful of projects; according to this research this trend continues this year, although to a lesser extent. It says that only half of completed projects in 2018 raised more than $100,000, while over $1 billion was raised by only 20 projects.

According to the report, only 9 percent of ICOs came from pre-existing businesses, while 46.6 percent of these fundraising projects amazingly “had no development before their ICO campaign[s]” – meaning that they raised their money on the strength of an idea only. ICO Rating CEO Sasha Kamshilov said: “Having a traditional business does not always rule out their use of blockchain with their products, however this can sometimes create some discord amongst the perceptions of entrepreneurs.”

Maturing industry?

One sign that the industry could be maturing is that the average time taken to raise the required funds has doubled – now it is two months. There were however projects which raised all of their money in one day; in the past some have been completed in minutes. 65 percent of tokens sold were for their respective company’s product/service (utility or hybrid tokens); only 3.8 percent were for cryptocurrencies. Perhaps this is for the best; according to Investing.com, there are currently 1,685 cryptocurrencies available for purchase in the market. Of fiat currencies there are 180.

Institutionalised

The report notes that “funding during public rounds has started to noticeably lag behind the infusion of institutional capital.” It adds: “Funds are ready to invest in ICOs but they are often deterred by teams’ negligence regarding organization of KYC and AML. These procedures need to be in place, and organized to a high standard, to reduce legal risks.” 25 percent of 2018’s ICOs were not legally registered, which sounds bad until you compare the equivalent figure for the previous year – 76 percent.

The report notes the increasing importance of cryptocurrency investment funds, which now hold $27.8 billion between 119 entities. However, a full 40 percent of these have not published the identity of their CEOs and 9 have already been closed down. The most popular industry by far for ICO projects is, perhaps unsurprisingly, financial services. ICOs related to this sector raised the most money too. The post-ICO value of tokens is fairly dire – median return on investment is 49.32 percent, a significant drop from the previous quarter. Of tokens traded on an exchange, only 17 percent traded above price at sale.

Geography

The country with the most registered ICOs was the US with 59, followed by Singapore with 34 and then the UK with 26. This does not strictly correlate with the amounts raised; the US ($583.9 million) and Singapore ($468.1 million) remain in the top two but the UK ($99.7 million) slides right down behind Switzerland (14 projects, $268.2 million), China (9 projects, $202.1 million), and Estonia (16 prjects, $122.6).

Interestingly two British territories raised more money than their motherland: the British Virgin Islands (5 projects, $158.5 million) and Gibraltar (6 projects, $133.7 million). Another notable point is that while Russia was home to only 13 projects, Russian nationals headed 45 of them – making Russians the busiest nationality ICO-wise, only they don’t do it at home. Overall, by far the most money was raised in Europe (46.6 percent).

This article is Shared by

Simon Golstein | News ( CryptoCurrency )
https://www.financemagnates.com/cryptocurrency/news/46-icos-launched-without-business-plan/

TP

What’s a Cryptocurrency Airdrop? A Beginner’s Guide

What’s a Cryptocurrency Airdrop?
A Beginner’s Guide

What’s an Airdrop?

Have you ever noticed an unexpected increase in your cryptocurrency wallet and didn’t know where the free coins came from? That, my friend, is most likely the result of an airdrop. Hoorah for free money! Airdrops can be delivered in a variety of ways, including forks (e.g. Bitcoin Cash, Bitcoin Diamond), ICO purchases (e.g.Raiden Network), and freebies (e.g. Binance gifting customers with 500 free TRX). Sometimes an airdrop will occur if a team behind the blockchain project decides to give away “free” tokens to the cryptocurrency community.

One of the most well-known examples of an airdrop is when a hard fork of Bitcoin, Bitcoin Cash, gave current Bitcoin holders an equivalent amount of Bitcoin Cash. At the time of the airdrop, if you were holding 0.4 Bitcoin, you were one of the many lucky receivers of 0.4 Bitcoin Cash. With Bitcoin Cash currently valued at $2,469.36 USD, that sounds like a pretty sweet deal!

Why do Airdrops Occur?

However, a big question still remains. Why does this happen, and why would a team decide to give away valuable tokens? Think about it this way. When you’re walking down the aisle of your favorite grocery store and employees are offering you samples of food to try, you may take a quick peek to analyze what the food is to decide if you want to try it. You take a bite, and it sure is delicious. The employee offering you the free sample then says “if you like it, you can find it in aisle 5 on the left-hand side”. From that single nibble, you may just go and buy the product.

In marketing, awareness is often one of the initial steps in a buyer’s journey. As with the grocery store example, psychology plays a crucial role in the aspects of an airdrop, as a buyer is much more likely to purchase a product they are familiar with than a product they know nothing about. Therefore, those in charge of distributing the tokens see an airdrop as a key opportunity to give you a taste of their tokens. Compared to alternate forms of costly advertising (such as Facebook Ads), airdrops are often a more effective approach to showcasing coins.

How Can I Inform Myself About an Upcoming Airdrop?

Many sites and online groups are dedicated to informing users of upcoming, past, and active airdrops. Icodrops and Airdropalert, for example, show a list of upcoming airdrops. They also advise you on how many days are left before they take place and what currency you need to hold at the time of each one to receive the coins. Another way to inform yourself of an airdrop is to simply keep up to date with the various social media accounts of each project.

That being said, often times, airdrops are surprises (unless you work with the project’s team). In other circumstances, an airdrop will be announced ahead of time and will have a different set of rules for receiving the tokens. The rules designated to an airdrop are decided on by the project’s team. This explains the differences in airdrop strategies. As of now, there are no standard implementation rules on how airdrops need to be designed. We may see official regulation on how they can occur if the government steps in.

A token airdrop currently underway is one from the ShipChain project. Their strategy is a bit more complicated than just holding a certain currency in your wallet and receiving free tokens. According to their website, “eligible” airdrop receivers will get the tokens in their respective wallets around March, as long as they follow these guidelines:

  1. Be an “active member of our Telegram group. An ‘active member’ means anyone that is a member of our Telegram community before the airdrop signup process is complete, which is two weeks from the Jan 15th start date.”
  2. “Pass KYC/AML (Know Your Customer/Anti-Money Laundering). This is a simple form we will have you fill out, it will be emailed to you within 1-3 weeks of completing this registration.”
  3. “Have a valid ERC20 non-exchange wallet.”

What Wallets Do I Need?

Usually, airdrops occur on the Ethereum or Bitcoin blockchain and all you need is an account on an exchange. However, those in charge of the airdrop will sometimes state a specific wallet that’s needed such as an “ERC20 non-exchange wallet”. If you’re new to cryptocurrency, you may not know what this exactly means and that’s ok, we’re here to help.

What ShipChain means by a non-exchange wallet is simply a wallet that isn’t located on exchange sites such Binance or Coinbase. Reputable non-exchange wallets include Exodus and Jaxx. For a detailed list of wallets, feel free to visit our Bitcoin Wallet guide. The article also includes ways to safely store your tokens and the advantages/disadvantages of using different types of wallets.

An ERC-20 wallet simply means any wallet that supports the Ethereum blockchain system. Some tokens follow Bitcoin protocol, some follow Ethereum, etc. Therefore, it’s important to have a wallet that allows you to store ERC-20 tokens if that’s what the airdrop guidelines call for. MyEtherWallet (MEW) is a popular ERC-20 wallet.

Final Recommendations

Most importantly, make sure you are visiting the official site of the project when researching airdrops. A good way to filter out scam sites is to visit the official social media pages and find a post which links you back to their website.  As stated before, the cryptocurrency market is currently unregulated and the potential for fraud and coin theft is high. Reputable blockchain projects will not ask you for private wallet information beyond your wallet’s public address. Never give out your private keys to ICOs who claim to “need it” for your airdrop to be delivered. Identity theft and hacking attempts are prevalent in the cryptocurrency community, and you do not want to be a victim when proper measures can be taken.

Presented By
Erin Gorsline

 
Erin is a Brooklyn based cryptocurrency enthusiast & freelance writer. Nomad at heart, you can often find her at the airport heading to her next adventure.

TP

Colorado Cracks Down On Two Companies For Illegal ICO Promotion

Colorado Cracks Down On Two Companies For Illegal ICO Promotion

The Colorado Department of Regulatory Agencies (DORA)

announced its investigation of two companies for promoting unlawful Initial Coin Offerings (ICOs) to Colorado residents, the Denver Post reported May 3. The Colorado Securities Commissioner said that California-based Linda Healthcare Corp. and Washington-based Broad Investments LLC could potentially be violating Colorado securities law by promoting ICOs.

DORA discovered that Linda Healthcare is promoting a “LindaHealthCoin” token on its website, which ostensibly can be used to purchase Linda Healthcare’s insurance. According to the website, the token can buy telemedical coverage “through an artificial intelligence chat service that creates medical solutions through use of blockchain technology.”

According to DORA, Linda Healthcare offers no warnings that ICOs constitute a security in the state of Colorado. “The Linda Health Insurance network is, to date, not in operation,” officials reported. A March 19 tweet from the firm directs potential customers to consult its white paper.

As Denver Post reports, Broad Investments firm is allegedly promoting cryptocurrency using a token that is described on its website as “an equity coin that represents shares of the company, like company stocks.” The token would ostensibly give holders a right to a share in returns from Broad Investments’ strategy, which builds stock portfolios with an algorithm. Officials say that the “math-oriented value system” on the website was not operational.

DORA representatives reported that both companies did not provide any information on the risks of investing in crypto or ICOs on their websites. Colorado Securities Commissioner Gerald Rome commented that investments in ICO tokens should be done carefully: “Investment opportunities being sold through ICOs over the internet need to be approached with the same level of caution as for any highly risky investment venture.”

The firms must now prove why the should not be sanctioned under the Colorado Securities Act, according to which the firms will receive cease and desist orders. Earlier in March, the Massachusetts Securities ‎Division issued consent orders requiring the permanent suspension of five firms’ unregistered ICO sales, citing that the companies were selling unregistered securities.

Article Presented By
Helen Partz

Helen is passionate about learning languages, cultures and the Internet. She has years of experience working at international online advertising projects. Growing interested in Bitcoin and cryptocurrencies in late 2017, she joined Cointelegraph as a writer.

https://cointelegraph.com/news/colorado-cracks-down-on-two-companies-for-illegal-ico-promotion

TP

TAAS: Transportation as a Service

I found this great article written by Graham Rapier and published on businessinsider.com, outlining how the future of transportation is providing a subscription service.  Transportation as a Service…that could make JUST ONE company alone $1 BILLION…

GUESS WHAT??!!

Markethive's incubator The Electric Universe is piloting this right now in Costa Rica…

Markethive will be the renewable energy source behind this (and more)!

Find out more on Sunday, May 6, 2018 @ 8am Central Time

TP

The NEW Oil is Electric

What makes something valuable?  What's behind it?

What makes a dollar valuable? 

 

Let's discuss; a)  A US dollar is tradable for goods and services b) It's back by the good faith of the United States and their Gross Domestic Product (GDP)…

Gross Domestic Product (GDP) measures the total value of final goods and services produced within a given country's borders. It is the most popular method of measuring an economy's output and is therefore considered a measure of the size of an economy.

Besides the US workforce what else gives "VALUE" to the GDP?  OIl & Gas really drives the GDP of the United States.  They are involved in all aspects of generating the goods and services within the boundaries of the United States.  Something strange happens between oil and the US dollar. Historically, there's been a pretty consistent correlation between the commodity's price and the currency. Whenever the dollar strengthened, oil prices would fall and vice versa.  So we can say OIL & GAS are at the core of deriving the value of the US currency and the its GDP.

THIS IS ABOUT TO CHANGE…

Markethive is changing this – Markethive is launching its Markethive coin this next quarter and 5 Billion coins will be GIVEN AWAY over the next 5 years.  This coin will be available to trade for goods and services in the digital world, which has no boundaries.  This coin will be backed by the output of entrepreneurs across the complete digital world.  This coin's GDP (GDP – Gross Digital Products) will not have boundaries AND will also be backed by what powers our world for the next 100+ years – smart renewable energy.  Not only is Markethive the driving force behind the output of today's and tomorrow's entrepreneurs, but Markethive is NOW the driving force behind the REAL SMART GRID and the RENEWABLE energy and energy distribution that will power the Gross Digital Products of the world.  

This is accomplished through the incubator that Markethive has created called: The Electric Universe Ltd. and the proprietary technologies it holds.

Come listen to the Chief Visionary / Evangelist of The Electric Universe, Andrew Greig, this Sunday, May 6, 2018 @ 8:00am Central time (check Markethive's Calendar).  Andrew is an “out of the box” thinker who melds an infectious enthusiasm for our planet and all of its inhabitants. Previous positions held by Andrew include CEO & Founder of Vizzeco, the first Android developer-phone in the market; Founder & CEO of Google Global reseller cloud computing; and Founder & CEO of Koolu, named as one of the top 10 green companies to watch by IDC.  Here are a couple of articles that have been written about Andrew; Jo Lee Talks To Andrew Greig: Mr. Intrigue!; The Limits of SpongeBob SquarePants;

Markethive powers today's and tomorrow's entrepreneurs; their homes, transportation and business.


Excerpt about the proprietary technology that Markethive's incubator is bringing to the world (first pilot has already started);  

The Typical Home uses an average of 1.7 kW 
It has 100 amp service which equals 24 kW 
So what are we designing, 
a system for 1.7 kW houses or one for 24 kW houses? 

A block of 100 houses needs 170 kW average. 
It has a possible peak of 2.4 MW.
Typical load varies between 
100 kW and 270 kW.

Imagine a world where the houses 
used a flat 1.7 kW with no dynamics.  
Imagine a world where Renewable Energy 
 was integrated into every home 
driving the grid load to a flat 1.2 kW 
still with no dynamics. 
This is the REAL SMART GRID.

 

 

TP

South Korean Lawmakers Introduce Bill To Legalize New ICOs

South Korean Lawmakers Introduce Bill To Legalize New ICOs

A group of South Korean lawmakers

is working on a bill to legalize the launch of new initial coin offerings (ICOs) and digital currencies, local news outlet The Korea Times reported May 2. Rep. Hong Eui-rak of the ruling Democratic Party of Korea is leading the move along with 10 other legislators to back the bill and have it endorsed this year.

During his speech at a forum devoted to ICOs and blockchain technology at the National Assembly on Wednesday, Hong said that "the bill is aimed at legalizing ICOs under the government's supervision." He also said that the bill was based on collaborative research conducted by his office and the Korea International Trade Association (KITA).

Hong added:

"The primary goal (of the legislation) is helping remove uncertainties facing blockchain-related businesses."

According to the bill, ICOs initiated by public organizations and research centers will be subject to strict supervision by the Financial Services Commission and the Ministry of Science and ICT.

Chung Sye-kyun, a speaker from the National Assembly, underlined the role of lawmakers to eliminate political uncertainties surrounding digital currencies and

blockchain technology:

"Blockchain and cryptos can be used in various public sectors for good causes. Given their potential, we need to work to help reduce political uncertainties they face."

The move is the first parliamentary challenge to the government's ban on the opening of new ICOs, which was introduced late last year to fight speculative investments in cryptocurrencies. In March, 2018 rumors surfaced that certain entities within the South Korean government were considering to release the ban on ICOs, so long as new offerings adhered to strict government standards.

Written By
Ana Alexandre

Total change in her career took Anastasia into the world of analytics and business information as a researcher and translator in 2010. Some time later she got into FinTech, a dynamically developing segment at the intersection of the financial services and technology. Ana joined Cointelegraph in September 2017.

https://cointelegraph.com/news/south-korean-lawmakers-introduce-bill-to-legalize-new-icos

TP

Markethive’s Initial Loan Procurement (ILP)

Markethive's Initial Loan Procurement (ILP)

Markethive is currently expanding and has completed its whitepaper detailing the complete plan for the next 3 years.  It's a very exciting time for all of us here at Markethive.  Not only is a Markethive Coin being created which will be given away over time, but Markethive has released its first batch of ILPs – 125 of them.  Markethive’s Initial Loan Procurement (MILP) is a legally binding digitized loan agreement managed through the Blockchain that will create access to Markethive's Net Profit. The goal of releasing this first batch is to fund the expansion of Markethive.

One of the attributes of Markethive's ILP is that they are paid back first and then will to continue to share in the net profit for all the future.  Plus, each holder of an ILP will receive a private airdrop of Markethive Coins and some other very special bonuses. 

There are only 10,000 Markethive ILPs allocated – EVER – BUT the net profit will only be shared with the active ILPs.  If only 100 out of 10,000 are active then, profit will be shared amongst the 100 ILPs only.  These ILP will also be transferable and can be exchanged on Markethive's exchange.  

Each of the 125 ILP's value is $10,000 (only accepting Bitcoin) and you can acquire more than one (for those that acquire more than 3 there is a very special bonus).  We also have a referral program that provides a match for those that refer others.

Please contact Douglas @ cto@markethive.net for more information.

PS. Here is a sneak peak at one of the bonuses for ILP holders;

 

 

 

 

 

TP

Bitclub the Amazing Bitcoin mining company that’s 100% legit!

Bitclub the Amazing Bitcoin mining company that's 100% legit!

It took 4 years for BitClub Network to reach over $100,000,000 per month in sales and 300,000 customers. BITCOIN was at a low of $330 in October 2014 and, in December 2017, reached a peak of $19,500. According to many Wall Street analysts and high-level banking, will soon reach $100,000. How many will you have in the next 3 to 5 years? There are two ways to earn BITCOIN with Bitclub Network:

1) Acquire mining pools with the largest leverage in the sector. Turn $3,500 into $150,000.

2) Build a global marketing team of entrepreneurs with mining equipment and be paid daily in BITCOINS.

More than 300 people are already earning $1 million a year and referring others can earn thousands more in the coming years.


CHECK CURRENT GLOBAL BITCOIN LEGALITY HERE (Coin.Dance Site)


You can check the following links below to verify that Bitclub network is the real deal.


Recent blocks Found By BitClub Network

Hashrate Distribution Amongst the Largest Pools

Bitclub Blocks at depth 472167 in the bitcoin blockchain


Active Bitcoin Mining pool BitClub Network

Active Bitcoinity Bitcoin Network Hashrate

Active Bit.com Bitcoin Pool Distribution

Active Bitcoin Ticker Mining Pool Charts

Coin Dance Active Bitcoin Ticker Mining Pool Charts


Ethereum Top 25 Miners by Blocks

Etherchain.org Top Miners over the last 24hrs


https://themerkle.com/bitfury-and-bitclub-mining-pools-upgraded-to-new-bitcoin-core-version/

 

https://themerkle.com/top-6-bitcoin-mining-pools-signalling-segwit/

 

https://themerkle.com/top-6-companies-and-projects-supporting-both-segwit-and-bitcoin-unlimited/

 

https://themerkle.com/unknown-bitcoin-cash-miners-control-almost-97-of-the-networks-hashpower/

 

https://themerkle.com/3-largest-bitcoin-transaction-fees-ever-recorded/

 

https://themerkle.com/bitcoin-cash-mining-difficulty-adjustments-help-the-network-adjust-and-grow/

 

https://themerkle.com/bitfury-signaling-segwit-activation-brings-network-hashrate-support-to-28/

 

https://themerkle.com/bitcoin-cash-price-heads-toward-1000-as-trading-volume-outpaces-bitcoins/


https://www.ccn.com/first-8mb-bitcoin-cash-block-just-mined/

 

https://www.ccn.com/antpool-founder-shares-post-claiming-hardfork-issue-comes-money/

 

https://www.ccn.com/bitcoin-cash-price-makes-push-for-3000-as-wider-market-stumbles/

https://www.ccn.com/user-error-sees-bitcoin-mining-pool-earn-135000-fee/


https://cointelegraph.com/news/bitclub-is-accused-by-bitcoin-unlimited-suppor…

 

https://cointelegraph.com/news/durban-bitcoin-seminar-aims-at-educating-south-afri…

 

https://cointelegraph.com/news/bitcoin-mining-with-zero-fee-btccom-joins-mining-pool-race

 

https://cointelegraph.com/press-releases/saint-petersburg-will-host-a-crypto-industry…

 

https://cointelegraph.com/news/worlds-third-largest-bitcoin-mining-pool-s…

 

https://cointelegraph.com/news/blockchain-experts-mine-zcash-but-be-cautious

 

https://cointelegraph.com/news/watch-out-certain-android-mobile-devices-can-steal-your-bitcoin

 

https://cointelegraph.com/bitcoin-cash-for-beginners/how-to-mine-bitcoin-ca…

 

https://cointelegraph.com/news/malaysian-exchange-coinbit-people-are-looki…


https://www.nasdaq.com/article/the-curious-case-of-bitcoins-moby-dick-spa…

 

https://www.nasdaq.com/article/where-bitcoin-mining-pools-stand-on-segr…

 

https://www.nasdaq.com/article/russias-crypto-winter-shows-sig…

 

https://www.nasdaq.com/article/why-do-some-bitcoin-mining-pools-mine-e…


https://zycrypto.com/why-the-chain-split-might-no-longer-happen-on-august-1st/


https://www.coindesk.com/bitcoin-foundation-donation-mining-pool/

 

https://www.coindesk.com/accidental-136000-bitcoin-mining-pool/

 

https://www.coindesk.com/bitcoins-new-scaling-agreement-reaction/

 

https://media.coindesk.com/uploads/2017/08/shutterstock_240272434.jpg

 

https://www.coindesk.com/bip91-begins-bitcoins-miners-signal-segwit2x-scaling-proposal-early/

 


https://news.bitcoin.com/mining-pool-bitclub-network-mines-first-bitcoin-un…

https://news.bitcoin.com/mining-pool-bitclub-network-mines-first-bitcoin-unlimited-block/

https://news.bitcoin.com/mining-pool-btc-com-80-btc-fee-refund/

https://news.bitcoin.com/bitcoin-cash-flips-mining-profitability-which-may-entice-more-miners/

https://news.bitcoin.com/bitcoin-scaling-countdown-miners-segwit2x-software/

https://news.bitcoin.com/bither-ceo-bitclub-performing-segwit-related-attack-network/

https://news.bitcoin.com/six-months-later-bitcoin-cash-support-continues-to-grow/

https://news.bitcoin.com/bitcoin-cash-8mb-block-479469-clears-over-37000-transactions/

https://news.bitcoin.com/chandler-guo-mining-pool-jump-bitcoin-unlimited/

https://news.bitcoin.com/bitcoin-cash-mining-difficulty-drops-significantly-sp…

https://news.bitcoin.com/calvin-ayre-launching-bitcoin-cash-mining-operations/

https://news.bitcoin.com/blockchain-data-reveals-someone-is-trying-to-slow-down-bitcoin-cash/


https://bitcoinmagazine.com/articles/russias-crypto-winter-shows-signs-thaw-saint-p…

https://bitcoinmagazine.com/articles/curious-case-bitcoins-moby-dick-spam-and-mi…

https://bitcoinmagazine.com/articles/why-do-some-bitcoin-mining-pools-mine-e…

https://bitcoinmagazine.com/articles/alt-convention-conference-invites-blockchain-fintech-bitc..

https://bitcoinmagazine.com/articles/greenaddress-is-first-bitcoin-wallet-to-launch-rep..

https://bitcoinmagazine.com/articles/where-bitcoin-mining-pools-stand-on-segre…


http://www.businessinsider.com/bitcoin-pools-miners-ranked-2015-7

http://www.businessinsider.com/bitcoin-pools-miners-ranked-2016-6

http://bitcoinist.com/bitclub-network-mines-colossal-fee/

http://bitcoinist.com/bitcoin-unlimited-overtakes-segwit/


There is the dark side of Bitclub too. Accusations the owners are criminals, Accusations that Bitclub is a Ponzi, so we need to address these claims and issues.

Let’s talk about the criminal accusations. There are three owners of the Bitclub DAO (soon to incorporate as of this writing) I know two of them.

  1. Russ Medlan (I know him, shared a drink or two with him, did some development work for him and his friend Corey Citron and know his temperament, his demeanour and social behaviours from the late 90s in San Diego). He was not a criminal; he was a car salesmen type of MLMer and he partied a lot. His run in with the law occurred when he met a woman at a strip club who worked there as a stripper and started dating her. She claimed and carried a fake ID showing she was 18 years old. He got accused of statutory rape by the mother, and despite he believed she was an adult the fact was she was 17 years old. He got arrested and he plea bargained and avoided the felony charge but was classified as a sexual offender. That is it.
     
  2. Joe Frank (I have known of Joe for many years) and met him last year in his home in Southern California. I originally flew out there to pitch investing in my company, to discuss the natures of Bitcoin mining and the market of Bitcoin in general. This is when I discovered he was a founder of Bitclub (I had heard of them) and he spent the good part of the day educating me about the company, it’s visions, his part in it, our friend Russ and I came away from that meeting impressed with what they had built in a little less than 4 years at that time. Joe is a philanthropist, visionary and solid person. He is a brilliant business man and you will find nothing but positive reviews of him in his history.
     
  3. Joby Weeks (I have only heard about Joby never meeting him), surrounded with controversy and at logger heads with Bitcoin Jesus (Roger Ver), nothing new in that regards.

Joby Weeks LinkedIn Account:https://www.linkedin.com/in/jobyweeks/

Excerpts from Networking Times – July/August 2004 Edition (Volume 3, Issue 5)

A remarkable man any age, Joby Weeks at 21 speaks with the wisdom of an elder, attains goals with the tenacity of seasoned CEO, and plays life hard and fast like the youth he is.

Joby took one giant step further from the lineage when, just weeks before starting college (with textbooks purchased, a place to live and student loans applied for), Joby's mom gave him a copy of Rich Dad Poor Dad.Young Joby's entrepreneurial spirit ignited and he walked away from the education his family had expected of him.

At 18, when Joby told his grandfather that he was deferring college to try a network marketing business for a year, his grandfather was so upset, they didn't speak for three months.By the time he was 19, he had earned the distinction of being his company's youngest Presidential Director.

At an age when his friends were out partying, Joby stayed focused on achieving his first financial goal of $10,000 per month.Joby's passion for making a difference in people's lives shows up in his business, his philosophy, and his philanthropy."If you're going to live life, why not make a huge impact?You're going to put the time in any way, so why not build an asset?If I worked a job really hard ten, or 15 years, I can't even sell it when I want to quit.Why not build a business that's going to pay me for the rest of my life, and then give my kids the comfort they deserve?"

Huge success and enterprise notwithstanding, Joby still finds ample time to play.An avid snowboarder, he can be found spending as much as 50 days a year with his buddies, riding the Colorado Rockies.Recently he carried a snowboard to the summit of Mt. Elbrus in Chechnya, the tallest mountain in Europe, and cruised all the way down!

Now Joby is teaching people to do exactly what he did in his MLM company, and now, a few years later, he has utilized a system which is allowing people to do what he did in a tenth of the time.

No criminals here.

Is Bitclub a Ponzi?

What makes a Ponzi a Ponzi and what are the indications. Ponzi’s make promises of a set return on a single or series of investments. The average lifespan of an Internet Bitcoin based Ponzi is never beyond a year.

Red Flags (From SEC.GOV)

  1. Guaranteed returns (Bitclub does not publish or offer, set or guarantee returns) Bitclub makes it clear the volatile nature of the industry, the increasing difficulty of mining set against the cloud funding and continued growth of their data centers (mining facilities)
     
  2. Overly consistent returns (Bitclub returns fluctuates dynamically up and down with the market) Bitclub will suggest assessing historical returns to determine the health and potential of future returns. To understand the cyclical nature of the markets and to compare the business to other mining options before making an educated decision. And to also recognize one person’s results never guarantee another’s results.
     
  3. Unregistered investments (Bitclub does not register because it is not an investment), it is the purchase of machines (hardware you buy and own) that converts electricity into Bitcoin and distributes the product equally among the mining machine owners.
     
  4. Secretive and/or complex strategies (Bitclub is 100% transparent) with mining data centers producing their own revenue directly from mining. Small commissions are paid on new mining purchased shares, but as of today Bitclub holds over $1.5 billion in equipment with 8 data centers and the most recent one about to open in Montana. All data centers are open for tours and there are 1000s of videos of people taking those tours.

    The Bitclub datacentre pools represent as 1 of the top 10 platforms or pools in the world in Bitcoin, Bitcoin cash, Ethereum and Monero.
     

  5. Difficulty receiving payments. (Bitclub has been in business for 4+ years) never has there been any reports of not being paid or payments delayed. In fact, Bitclub has extended the mining contracts from 600 days to 1000 days and made mandatory compounding (rebuying of equipment) optional.
     
  6. Must recruit new distributors to receive payments. (Bitclub’s primary income source is from mining) Yes, Bitclub does pay a small commission on pool shares (mining equipment purchases) but the bulk of revenue comes from mining results.

Bitcoin Ponzi’s have been around for about 4 years. Onecoin (more a pyramid scheme) being the most notorious, not even being a real crypto coin has been running from country to country like a Whac-A-Mole game. Begun in 2016 it has been able to survive from country to country leaving a trail of financial wreckage, government arrests and violations charged against Onecoin and owner Ruja Ignatova. One can easily confirm this being a highly illegal and corrupt operation from the 1000s of negative testimonies and accusations of people who have lost everything, and a list of 100s of countries declaring Onecoin illegal, a criminal operation with many arrests made.

Read more here: https://en.wikipedia.org/wiki/OneCoin

 

The vast majority of these Bitcoin Investment Scams (also known as Bitcoin Lending Programs) never last beyond a year. Like Gladiacoin, Ecoinplus, Jetcoin (Forbes Article), Laser.Online , Bitconnect (Lasted a whole year) and the granddaddy of Bitcoin fraudster Ponzi USI Tech, which has drawn the attention of all the news reporting blogs.

THE MERKLE
USI Tech Withdrawal Issues Leave Cryptocurrency Users Worried

https://themerkle.com/usi-tech-withdrawal-issues-leave-cryptocurrency-users-worried/

Is USI Tech Another Bitcoin MLM Scam?
https://themerkle.com/is-usi-tech-another-bitcoin-mlm-scam/

CCN
Bitcoin Ponzi Scheme Promises Return to North America

https://www.ccn.com/bitcoin-ponzi-scheme-promises-return-north-america/

Scam-Free: Binance CEO Officially Receives Twitter Verification
https://www.ccn.com/binance-ceo-officially-receives-twitter-verification/

COINTELEGRAPH
Texas Regulator Inspects 32 Crypto Promoters, Warns Of ‘Widespread Fraud’

https://cointelegraph.com/news/texas-regulator-inspects-32-crypto-promoters-warns-of-widespread-fraud

COINDESK
Texas Slaps Bitcoin Investment Firm With Cease-and-Desist

https://www.coindesk.com/texas-slaps-bitcoin-investment-firm-cease-desist/

Texas Takes Aim at Overseas ICO with Cease-and-Desist
https://www.coindesk.com/texas-takes-aim-at-overseas-ico-with-cease-and-desist/

BITCOIN.COM NEWS
USI Tech Ordered Not to Mess with Texas

https://news.bitcoin.com/bitconnect-slapped-with-securities-emergency-cease-and-desist-order/

USI Tech and Bitconnect Slapped with Securities Emergency Cease and Desist Order
https://news.bitcoin.com/bitconnect-slapped-with-securities-emergency-cease-and-desist-order/

BTCMANAGER
Texas State Securities Board Investigation Uncovers 32 Illegal Cryptocurrency Schemes

https://btcmanager.com/texas-state-securities-board-investigation-uncovers-32-illegal-cryptocurrency-schemes/

The PONZI Bitcoin lending is alive and thriving. This is the growing list of new Ponzi scams daily.
https://icoreview.site/


Bitclub has also been accused of being a Ponzi scam.

Spurious sites like BehindMLM , Steemit and Kipicommunity with claims like:

KIPICOMMUNITY.ORG
Bitclub Network Ponzi Scheme – Don’t Fall For It. (2016)

http://kipicommunity.org/bitclub-network-review/

The arguments against Bitclub are old (2016) weak and all of the claims have proven to be false as time has marched on 2 years later.

STEEMIT
Criminals behind Bitclub-Network Investment Scam

https://steemit.com/scam/@steeme/criminals-behind-bitclub-network-investment-scam

There is no factual accusations in this article and again it is over 2 years old. If you read it, make sure to read all the comments as well. Use your own best judgment.

BEHINDMLM
BitClub Network abandon US, on the run from regulators?

http://behindmlm.com/companies/bitclub-network/bitclub-network-abandon-us-on-the-run-from-regulators/

ETHAN VANDERBUILT
BitClub Network Scam? Yes It Is In My Opinion!

https://ethanvanderbuilt.com/2018/03/22/bitclub-network-scam-yes-opinion/

99BITCOINS
[Investment Warning] Bitclub Network Review and Analysis

https://99bitcoins.com/anatomy-bitcoin-scam-bitclub-network-analyzed/

All of these critical sites make claims from assumed opinions, fake news, false facts and old information. Do your own research with the facts I have presented here.

In my opinion, Bitclub is not a typical MLM and should be considered a crowd-funded mining operation with a solid ROI for just investing in the Mining offer. One does not need to recruit to make a good profit. The “optional” compounding for greater mining shares has the potential of returning a .05 Bitcoin earning per month to 3 times that in 1000 days to .15 Bitcoins per month into perpetuity when one options to continue the compounding.

By 2020 the vast majority of pundits agree that Bitcoin will be trading for more than $150,000 per coin and with a monthly projected return of .15 per month the expected income would be significant.

Bitclub is a legitimate business model and not a typical Hope and Dreams scheme like most MLM offers.

Written and published by
Thomas Prendergas
t

 

 

 

TP

Australia’s Securities Watchdog Moves to Halt ‘Deceptive’ ICOs

Australia's Securities Watchdog Moves to Halt 'Deceptive' ICOs

The Australian Securities and Investments Commission (ASIC)

said Tuesday that it is taking aim at fraud in the initial coin offering (ICO) market. In a statement published May 1, the agency said that it is "issuing inquiries to ICO issuers and their advisers where we identify conduct or statements that may be misleading or deceptive." Additionally, the securities watchdog suggested that it was moving to halt unlicensed activity as well. "As a result of our inquiries, some issuers have halted their ICO or have indicated the ICO structure will be modified," ASIC disclosed, though it didn't say how many token sales have been canceled or changed in light of the agency's actions.

ASIC commissioner John Price explained:

"If you are acting with someone else's money, or selling something to someone, you have obligations. Regardless of the structure of the ICO, there is one law that will always apply: you cannot make misleading or deceptive statements about the product. This is going to be a key focus for us as this sector develops."

As CoinDesk previously reported, the move was perhaps expected. Price spoke about token sales on April 27, declaring the agency's intention to focus on overseas-based ICOs that target would-be Australian investors. "I cannot stress enough that if you are doing business here and selling something to Australians – including issuing securities or tokens to Australian consumers – our laws here can apply," Price said at the time.

In Tuesday's statement, ASIC indicated that it would be scrutinizing a popular aspect of ICO marketing – the white paper – as it looks into whether those behind such sales are in compliance with Australian law. "In one recent example, ASIC took action to protect investors where we identified fundamental concerns with the structure of an ICO, the status of the offeror and the disclosure in its white paper," the agency explained. "In addition to potentially misleading statements in the white paper, the offer was an unregulated managed investment scheme."

Written By

Stan Higgins
stan@coindesk.com

A member of CoinDesk's full-time Editorial Staff since 2014, Stan has long been at the forefront of covering emerging developments in blockchain technology. Stan has previously contributed to financial websites, and is an avid reader of poetry. Email: stan@coindesk.com. Stan does not currently hold value in any digital currencies or projects.

https://www.coindesk.com/australias-securities-watchdog-moves-halt-deceptive-icos/

TP