Bitconnect is dead

Platincoin scam? That's why experts warn

The Bitcoin hype is making investors look at other cryptocurrencies as well. One is particularly advertised: Platincoin. t-online explains why you should be careful with this coin.

Cryptocurrencies are becoming more and more popular. While Bitcoin or Ether Years ago they were ridiculed as a playful system for technology nerds, now payment service providers such as Mastercard or Paypal want their business model for Cryptocurrencies to open. Big investors like Blackrock plan to invest money in the cryptocurrency.

But such Success stories and the attentiveness associated with it also attracts Scammers at. Many cryptocurrencies have evolved over the past few years. Many new coins will not establish themselves, some are simply trying to make some quick money inexperienced investors close.

One of these new currencies is Platinum coin - and it divides the network. Lots of institutions like that Bafin or the Stiftung Warentest warn against it because Platincoin, among other things, does not have permission to provide financial services. In response to a t-online request, the Bafin announced: "Our financial supervisory investigations in this context are ongoing." At the same time, allegedly satisfied investors advertise and refer to the coinPrice growth. t-online therefore takes a closer look at the coin and shows you how to use a serious Recognize cryptocurrency.

What is a scam?

"Scam" is the English word for fraud. There have been more fraudulent scams in cryptocurrencies in the past. In recent years, for example, private investors have lost with the fraudulent currencies Bitconnect and Onecoin high sums - the fraudsters stole around a billion dollars in the Bitconnect case, according to expert estimates.

At Onecoin The criminals are said to have collected over 2 billion euros from investors by 2016, and in 2017 the founder Ruja Ignatova suddenly went underground. She left investors alone - chances of a payout? There wasn't. Platinum coin reminds in some of its properties of the past Scam currencies.

What is Platincoin?

Platincoin is a cryptocurrency that is suspected of being a scam. According to the official website, the operator is a company called "Platin Genesis Asia Limited" based in Hong Kong. However, the imprint containsno managing director or another responsible person.

This is the idea behind Platincoin

The concept behind Platincoin: Investors can use a special app to buy coins "minten". That is what is meant by that Create new platinum coins - in the Crypto scene it actually means mine and not "minten". The operators of the cryptocurrency promise their investors to use the app every year 30 percent return in platinum coins.

But the founders of Platincoin use a different term from the industry standard for a reason: In order to create new Platincoins as a customer, you have to use the "Special software Powerminter" work. With regular mining, for example Bitcoin or Ether, all you need is a powerful computer, no special software.

How do platincoins work?

This is not clear to laypeople at first glance. According to the Platincoin website, the special smartphone app "PLC Farm" generates new coins from the Platincoins that the customer has previously purchased with a "Powerminter". Who made the promise of suchPassive income believes, so must first pay money - and in part not too scarce: the so-called "Minting packages"there are 7 levels, of which the most expensive is accordingly10.000 Euro costs.

As the"PLC Farm" app converting a simple smartphone into a platinum coin factory, however, does not explain the website. For comparison: At Bitcoins As the number of coins grows, so do the numbers technical demandsto generate a bitcoin. Nowadays there are real ones for bitcoins "Mining farms" with high-performance computers.

Platinum coin On its website, on the other hand, only speaks of an "innovative construction" that works through the "interaction of different systems and subsystems of blockchain and apps".

In general, Platincoin does not stand out transparency off - that's one of the main features of the Crypto industry. Platincoin only writes the core features of its blockchain on the website. A comprehensive oneWhitepaperthat describes the technical details of the currency does not exist.

Platincoin only offers a tech paper that only has no cover sheet a page is long - printed with sometimes very large letters. For comparison: the largest cryptocurrency Bitcoin includes the actual white paper nine pages with numerous technical details. Other currencies like the second largest cryptocurrencyEthereumhave complex white papers that are more than 35 pages long are.

Is platincoin legitimate?

No - at least not if you believe the warnings from consumer advocates, crypto experts and the banking regulator Bafin. Already in 2018 shared the Bafin on their website that the Platinum Genesis no permission to conduct banking or financial services.

There is still a corresponding note on the Bafin website that the process is ongoing, they say. The Stiftung Warentest Since 2018, Platincoin has also been on their "investment warning list".

What are the dangers of Platincoin?

In addition to the Warnings Many institutions have many reasons not to invest in Platincoin, also from a technical point of view. For example, the cryptocurrency does not appear on any of the large crypto exchanges acted. Only smaller exchanges, some of which do not even have an imprint, have listed the coin, for example:

  • Bithum Global
  • Bitforex
  • Coinsbit

A look at the order book at Coinsbit quickly shows that anyone who wants to sell on this exchange can only do so to oneFixed price from 5 euros do. According to an analysis by the specialist portal "Cryptoticker", the sales orders already outweighed the sales orders by far in 2019 Prospective buyers. Thedemand after the platinum coins was therefore low even at weddings.

The "Cryptoticker" analysis also explains the rising prices: The Platincoin operators drove with them Tradingbots the trading volume artificially up, so there are hardly any real purchases. Platincoin denies this. The company informed t-online in writing: "The accusation that the Platincoin operators have artificially increased the trading volume with trading bots is wrong."

Who is behind Platincoin?

The founder of the currency is the Russian-German Alex Reinhardt, around whom the site "platincoin-events.com" is building a real personality cult. The company name behindPlatinum coin changed in the past few years. The company PLC Group AG, based in Switzerland, has been in Switzerland since December 28, 2016 commercial register registered.

Subsequently, Platincoin fell under the jurisdiction of the Platin Genesis DMCCDubai and meanwhile the Platin Genesis Asia Limited imimprint guided. HisCourse high pointhad the coin in theJune 2019 at a price of 48 euros, currently the coin is only worth 1.98 euros.

Reinhardt is said to have participated in one in the past dubious cryptocurrency have been involved. Reinhardt connects a site that specializes in combating multi-level marketing systems (MLM) with the Swisscoin - a failed crypto currency that Stiftung Warentest 2016 saw in the same breath Onecoin warned.

In fact, it is obvious that Platincoin is also in part emerging MLM systems financed. On their side, the operators call it "recommendation marketing". A small investor who advertises Platincoin on a private website, on the other hand, speaks of "sales structures in which you receive commissions through your own recommendations and those of your partners up to the 11th sales level."

With MLM systems, new customers finance the Existing customers - in the higher levels this goes up to the Million range. The lower levels, on the other hand, are dependent on new customers and thus fresh money follows. When there are no more new customers, the whole system collapses.

What happens to my money

This is not entirely clear to outsiders. Several Experts | and consumer advocates warn of high risks. In previous cases of fraud, such as Bitconnect and Onecoin, many investors faced a total loss.

The fact is, if you are in Platinum coin investing, it is very difficult to get your money back. Because next to the lack of demand On the stock exchanges, the platinum coin operators make it very difficult for investors to withdraw funds.

For example, the website does not describe how customers can withdraw their platinum coins - if you want more information about trading, you have to get in touch beforehand to register. How the payouts take place can only be determined from anonymous inside information.

  • Example: In this case, the investor only has 2.8 platinum coins available daily. If he would like to have this paid out, he must do so by e-mail apply for. A quick sell order, as is the case with established onesCryptocurrencies at established Exchanges possible is not an option here. It then takes days for the Email folder is executed and the platinum coins are transferred to your own wallet. From there, they must then be sent to the Stock exchange account be transferred at Coinsbit. Here the investor can buy his platinum coins for a fee of full 15 percent to sell. The sell order is not a sure-fire success because the demand is low.

in the Google Play Store Some investors who use the "Powerminter" on their smartphone complain that it only works properly at the beginning. It would keep coming back Disruptions and it is often not possible to put the money on the own wallet transferred to.

So it takes depending on the packageYearsto get the initial investment of the "Minting Package" to earn again. In addition, there is no guarantee that demand will not collapse completely and that investors will then fall on theirs worthless Coin stay seated. The case of Oncecoin also shows how quickly operators of dubious cryptocurrencies can go underground and leave investors with losses.

How do I recognize a dubious cryptocurrency?

There are several red flags to onedubiousRecognize cryptocurrency:

  • Promise of high annual returns
  • Commission payments for referred customers
  • Not a whitepaper
  • No listing on known stock exchanges
  • Missing or incomplete imprint
  • Compulsory purchase of additional software
  • Frequently changing seat in overseas locations

If there is a Cryptocurrency It is very different from others in its trading and construction, so caution is important. Unrealistic promise of return, Bonus payments for new customers or a lack of transparency in the technical backgrounds indicate dubious offers.

Important: As an investor, you are better advised to invest in cryptocurrencies based on the major trading platforms are listed and a detailed Whitepaper to have. There are also some so-called blacklists on the Internet that fraudulent currenciesList, providers and exchanges. Platincoin is not on this list.

Editor's note: After the operator of Platincoin turned to t-online, we subsequently added corresponding statements in the article.