Bitconnect is famous for being the image we all associate with a scam in the crypto community. After being among the most important cryptocurrencies in the global marketcap, the project collapsed, leading many investors to bankruptcy. However, a recent message on Crypto Twitter shows that Bitconnect refuses to die, announcing that a new version of the platform will be released on July 1st, 2019.
The website provides absolutely no information about its whitepaper, its features, organizers or legal compliance aspects. Of course, this secrecy has not helped to improve the image of the project in the community.
How Did Bitconnect Became So Famous?
Bitconnect was born in 2016 as a crypto lending platform. Its referral system and its promise of an annual 120% ROI caused the token to trade above 440 USD by the end of 2017, yielding significant returns for many investors.
In fact, its aggressive advertising campaign made the project famous outside the crypto community. Carlos Matos, an entertainer (?) who participated in one of the company’s promotional events, became a meme after an effusive (and perhaps exaggerated) presentation.
However, precisely because of these characteristics, Bitconnect received numerous criticisms and accusations of being a scam and a Ponzi scheme in which the company’s promises of risk-free returns could only be sustained by the addition of new members.
The Fall of The Giant
In early 2018, BCC crashed nearly 90% after cease-and-desist orders from the Texas State Securities Board and North Carolina Secretary of State Securities Division were issued. These legal problems, in addition to a DDoS attack, marked the beginning of the end of the company.
Slowly, each of the exchanges that listed the token began to withdraw their support until finally, on September 10, 2018, TradeSatoshi (the last Exchange that supported it) marked the project’s death by delisting it forever.
The Bitconnect 2.0 announcement generated a negative response from the community. While some believed it was a joke, other users recriminated this move by reminding the world that the original Bitconnect caused heavy monetary losses for investors. However, others took it with humor and sarcasm, demonstrating that nothing is too surprising in the world of crypto.