Bitconnect coins were named among the world’s top 20 most successful cryptocurrency tokens at the end of 2017 before its cost dramatically collapsed. Several lawsuits were filed against Bitconnect founders and litigations are still ongoing. With all that, many people have been asking what will Bitconnect coin become in the future?
What is Bitconnect
Bitconnect (BCC) was conceived as an open-source cryptocurrency based on Bitconnect.co, a highly productive investment software. This program was designed to enable users to earn crypto coins and make a profit at every stage of participation in this project. Bitconnect was created as a financial self-regulatory blockchain system in which profit was distributed among all its participants.
Also, it allowed users to get a profit just for storing these coins in wallets. The system was designed in a way to create incentives for users to keep and store their virtual currency in electronic wallets. So, the future of Bitconnect coin seemed to be promising.
The History of Bitconnect Coin
The Bitconnect company was registered in 2016 in the UK. First, Bitconnect was positioned as a community created for promoting Bitcoin. The Bitconnect ICO was presented at the end of 2016. The first desktop version of the BCC wallet appeared in January 2017. Its primary purpose was to make it possible to exchange Bitconnect to Bitcoin and vice versa.
Bitconnect was used mainly by a community of like-minded enthusiasts. These virtual coins were difficult to exchange since a relatively small number of platforms supported them. Bitconnect was announced as a long-term investment or loan facility to be used in an autonomous and decentralized way. The use of BCC for market speculations or investment in the coin appreciation was a rare phenomenon.
In December 2017, the Bitconnect coin price popped up more than 500 times in a short period. The capitalization of this altcoin reached $2.77 billion. A month later the cap collapsed to $20 million. If the project had been successful so far, it would have been fifth in terms of capitalization at present. Now, the future of the Bitconnect coin is clouded.
What Happened to Bitconnect
Suspicion was caused by the promises of Bitconnect founders that any amount of this cryptocurrency will bring 120% per annum to its holders. Also, the creators of this currency promoted in commercials information that Bitconnect had its own trading bots for making transactions on the BCC internal exchange. These trading bots were one of the most controversial pieces of the Bitconnect.co system.
However, the Bitconnect pyramid began to crumble at the beginning of 2018. The confidence of many people who initially believed in this virtual coin success felt lost. After the announcement of the credit platform closure, the Bitconnect coin price dropped below $1 from a previous high of nearly $500 in a moment. Some community members have already called Bitconnect 2.0 a scam inside another scam. The BCC drop in value became one of the most massive collapses in the history of all crypto coins.
Then, the coin managers ceased their business activity due to claims by Texas and North Carolina regulators. These state bodies accused them of having distributed unregistered securities under the guise of tokens. In January 2018, the U.S. District Court of the Kentucky State issued a decision to freeze Bitconnect assets and identify victims who had lost their money because of the Bitconnect scam. A short time later the FBI joined the investigation when many collective claims were filed against this project, and the future of Bitconnect coin waded into dangerous territory.
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What Is the Future of Bitconnect Coin
Bitconnect has not been removed from the CoinMarketCap list of cryptocurrencies at present. Currently, there are rumors that the scandalous project of the Bitconnect scam is preparing to re-enter the market in the near future. This is evidenced by the appearance of a new Twitter account named Bitconnect 2.0 a couple of months ago. Twitter also reported that potential investors could purchase these tokens on Binance, one of the leading cryptocurrency exchanges. So, is the future of Bitconnect coin still possible?
The cryptocurrency market development from a point of view can only state that investors need to be extremely careful to deal with doubtful virtual projects. It would be better to focus on day trading on stock exchanges because this type of business activity is absolutely legal and controlled by relevant state authorities. It is vital to take into account every possible risk associated with new crypto projects. At the same time, stocks intraday trading is a better and much more reliable solution for both day traders and investors who want to make money without excessive risks.