Is Bitcoin Profit a Scam? Bitcoin Profit Trading Platform
Crypto trading platforms are becoming more popular as they make it easier for people to invest in bitcoin. The downside is that some of these platforms are scams, so you have to be cautious before investing your money with them. Here are few facts that will help you decide whether or not the platform is legit. To grab more insight into this matter, you may also have a look at https://www.bitconnect.co/bitcoin-profit/.
- Scam crypto trading platforms are unregulated
If the platform is an exchange, it should be regulated by a governing body. That doesn’t mean that all regulations are reasonable, so you have to read them thoroughly before choosing which ones to follow. An example of this would be Bittrex’s terms and conditions page. It specifies what rules users need to abide by for their accounts not to get banned or frozen.
- Fake trading volume
One of the most common signals that a platform is a scam is fake trading volume. This means it claims to have more activity than it actually does and thus has higher liquidity (meaning you can trade the coins faster). If you see this, stay away from them, as they are probably trying to lure in new users with their false promises.
- Low-quality website
Legitimate crypto platforms have a comprehensive and informative website, so it’s worth checking this before you invest in anything. Poor grammar or spelling mistakes on the site are a sign that they may not be legitimate because of how important communication with users is to ensure their business stays afloat.
Another aspect that can give an idea about their legitimacy is whether they accept fiat currencies. This shows that they are trying to make things easier for all types of investors instead of just focusing on one particular group (in this case, only those who already own cryptocurrencies). After all, there has been massive demand from people wanting to get into crypto coins but don’t know where to start yet.
- The reviews are overwhelmingly positive
If you see that there are no bad reviews at all, be cautious. This means either the website has only been around for a few days, so not enough time to gather feedback, or they have paid people to write fake reviews about them (which is unethical and illegal). Either way, it’s something worth looking into. Also, if any of those “positive” comments seem like generic responses which could apply to any platform, then this further proves the point as scam platforms don’t usually invest much effort in customer service.
- The fees are too low
Scam platforms usually offer very cheap trading fees to attract more customers. Usually, this is because they plan on making money back from their users once they invest and then lose it all! This can be done by setting an arbitrary price for every trade so when you sell your coins at a lower rate than what was specified (which often happens during volatile markets), they get some of that profit. Unethical right? Just stay away from them and find another open platform about its rates or has no transaction fee at all.
- No mobile app
Legitimate platforms usually have a mobile app, so if you find one which doesn’t, this is something to watch out for. It could mean that they are not trying hard enough to attract new customers, or even worse, it means they don’t care about their users and want them only as long as the money keeps flowing in
So, these are just some of the things you need to look out for when deciding whether a particular website is legitimate or not. It’s worth it to spend time researching each platform before signing up so that your investment isn’t wasted.