So I talk about Bitconnect a bit on Steemit for 2 reasons, one I have some money invested in it so I have a vested interest. And the second reason is because I enjoy Bitcoin and investing albeit in very risky schemes sometimes!
As you may know, Bitconnect talk about their trading bot which may or may not be true. It is indeed possible they could be using our BTC to trade on the exchanges of course.
I found another theory online and it goes something like this:
During the BCC launch, the owners/developers did a pre-mine of 4,800,000 coins. We don't know how many were kept and how many were sold but lets assume they kept around half of them so 2 million BCC.
As BCC is a POS (Proof of Stake) crypto, it means that just by having coins sitting in your wallet your would earn interest. Quite a lot as it turns out if you had them staked way back when launched around 10 months ago.
That would mean their 2 million coins would be something like 3.5 million coins now which is worth around $700 MILLION!!!
So when you invest in Bitconnect, you invest in BCC which increases the BCC price but you are paid out in USD which you then need to buy BCC with and then convert to BTC.
That means the value of the BCC will continue to rise but the owners of Bitconnect are only paying out in USD which means no matter how many more people sign up (or don't sign up) they have enough funds to keep paying out for years to come!
And as long as BCC keeps increasing like it is now, they will continue to increase their holdings while paying out the crazy rates of interest of around 1%.
Insane but also quite ingenious really.
So, I say let a bit of BTC ride and enjoy the ride at the same time. I have no regrets if I lose my investment because for me it's a bit of a hobby really.
Just be careful and do not continually re-invest please. I am here to help you be sensible. If you want to sign up you need to ask for my referral link as I dont go around spamming my link anymore. I dont like it how people expect investors to use their link then pocket all the money.
I will only give you my referral link if you ask and then I will also give you back 100% of the commission I get from your investment. After all, it's your money not mine!
The following screenshot was from my investment in the first few days, i've bumped it up to $2000 now and that's where it's going to stay for now!!