He's provided what he's provided. Why you getting your panties in a bunch? Why should it bother you, newbiewhosignedupjusttopostaboutthis?

How long is a "while" ago, ponzi expert? What's the time limit for not-being-a-ponzi?




Paying old investors with new investors money has no relevance to what the business looks like from the outside, or how many tours they organize. But you know that.


If you mean Interpol, then the way it works is that local police must investigate first, if they think there's prima facie case to answer and  international involvement they then refer it to the National Police headquarters. They have an International Police Cooperation Bureau who deal with Interpol.
Unless an embezzled investor makes a formal complaint to the police, the first point of entry would probably be an OCCP Investigation.

That BitClub Network has collected a large amount of money, there is no doubt.
Unverified, self released claims of numbers of subscribers should be treated with the utmost skepticism (the OneCoin pyramid is laughably claimed to be currently over 2 million and rising exponentially), but it's fair to say that the MLM pitch of "getting involved in the Next Big Thing" and "passive income" has attracted a large number of get rich quick merchants, as well as professional pimps shilling for their affiliate commissions.
The combination of these lures + remorseless and built in encouragement to reinvest profit, makes BCN a Cash Cow.

Who's milking it?
Where does the cash go?
The vast majority percolates ever upward thru the pyramid to the elite level, the "Founders". These are serial MLM scheme promoters with a past of failed "opportunities" and a present of globe trotting activity, reflecting the lifestyle that the bottom of the pyramid aspires to.

Some of the raised funds go into the Front business, to show that "We are a real company, with a real product" when challenged.
BitClub Network has two mining pools, one in BTC and one in ETH, which do mine the respective coins. Shares in these activities are sold (illegally in the U.S. as an unregistered security, hence their official lack of activity there) and stats are available of the gross income.
This in itself, proves nothing about the ability of BCN to provide "passive income" in large enough amounts to satisfy investors from their only real income mining, but the large cash mountain they have built up can be used to top that up.
This is called a Ponzi Scheme if new investors money is being used, even partially, to repay commitments and returns to earlier subscribers.

Human nature being what it is, the Founder level affiliates will want to maximize the percentage of income that goes to them, and minimize the investment in the Front.

THE FRONT

BitClubPool is the front.
It mines, or has access to mining, at a healthy level of around 45 Ph/s atm and is discovering blocks at the rate of around 4 per day, giving a top line gross income of 50BTC.
This is obviously ~50% down on the pre halving gross, but even then investors were moaning about dust payments and belatedly realizing that moaning is all they could do, as there were no contractual terms whatsoever specifying a fixed return (just massive implied figures used in the hard sell) and no exit strategy apart from receiving the actual (obsolete) mining equipment based solely on BCN's valuation.
BitClub Network has no Terms and Conditions stated anywhere. Unusual practice for even a scam business.

Anyway I digress.
Where does the BitClubPool mining equipment come from?
There are two ways to gain access to any productive asset, purchase it or rent it.
For an asset holder, leasing out is very attractive because it offers a fixed income + probable upfront key money cash payment, as well as a pledgable security against finance to purchase further assets, which can be leased out and so on.
One such asset which would be idea for this would be a Bitcoin mining farm, essentially the theory behind cloud mining on a macro level.

So, when an MLM operation has had a successful launch and the capital is flowing in, the one thing Founders will want to do is Keep It.
They need to make the Front believable, but instead of setting up their own mining operation (a complex field in which none of them has any prior experience and draining the funds which they want to spend on Bentleys and toys), what would they do?
Rent it from an existing supplier.....
This becomes more likely when you look at the terminology in a recent BCN news update


These are rental terms, not capital.

So, the MLMer's go looking for a potential supplier, an existing tech savvy operation with a good reputation.

That existing tech savvy operation (hereafter TSO) would welcome a cash injection plus ongoing payments, enabling them to build their own business further.
The MLMers would be happy, no large capital outflow or overhead, just fixed payments serviced by new investor income.
As OneCoin pimps say, "Don't worry about the technicals, just keep selling."
 
Part of this deal would be that the TSO takes care of everything, including setting up a new mining pool and pointing the rented gear at it.
Job done.

This was pure speculation on my behalf, but as I read about Joby Weeks and Russ Medlin (BCN Founders) making wild claims about how BCN was going to expand and invest in cutting edge equipment, I thought it was strange for them to be making specific promises and claims which were easily disproved.
Part of the MO of MLM is to make claims believable, based on an indeterminate time frame and vague promises. But here they were, claiming specific mining upgrades which didn't happen.
I thought, "What if they're just passing on bullshit, optimistic claims from their suppliers of hashrate?"
BCN investors are hurting, no doubt not continuing downlines and minmizing re-investment because their "passive income" has reduced to virtually nothing, and they are having grave doubts.
BCN are saying to the TSO, "WTF happened to our %'s, our return custom and referrals are flatlining?"
What if the TSO is keeping the Founders happy, bullshitting  and promising 16nm gear because it may be coming to them and BCN are doing the same with their customers?

Who could the TSO be?
Who could be renting out their Icelandic Mining operation to BCN, allowing, as part of the deal, BCN banners to be draped over their racking and videos to be made, even visits for interested Pro/Master Builders (MLMspeak)?

The GENESIS MINING CONNEXION

Genesis Mining publically claim to have an Icelandic mining farm, amongst others. Both Genesis and BCN reference the Verne Global setup.
Genesis Mining give no details of their mining pools.
Genesis Mining, since Spondoolies bit the dust, give no details of what mining equipment they use.
Genesis Mining are getting heavy criticism for reducing cloudmining payments to dust.

Where and to whom would Genesis go to replace their Spondoolies scrap?
There aren't many choices of miner manufacturer, especially if you are seen as a competitor to operations controlled by the same company. Think Hashnest/Bitmain.
But there's Bitfury....the same Bitfury that Weeks claimed to be supplying BCN, the same Bitfury that may have been intending to market 16nm gear more widely until the TSMC chip manufacturing delay threw everything out the window. The same Bitfury that was promising Genesis first call on the new gear.....possibly?

What pool would they mine to?
They may split their hashrate, they may avoid Chinese pools because of vulnerability, they may set up a pool in third party's name..

Pure speculation of course, There's no public link between BitClub Network and Genesis Mining.
Or is there?



This screenshot comes from a Staged video, voiced over by an Irish MLM pimp Paul McCarthy, an erstwhile Banners Broker scam promoter.
It is on J Ryan Conley's channel. Conley is the serial MLM pimp of serial MLM pimps.
His auspicious MLM history includes:

Isagenix, Viewtrakr, Staged, Buzztrakr, Kannaway, Brain Abundance, Ingreso Cybernetico, Wake Up Now, YOBSN, Jeunesse, IQKonnect, TSU, Elevate Solar, Solavei, OneCoin, MMM Global, BitClub Network and Future Net.
Plus Steemit, just started.


You don't just walk up to an existing company and say "Hey, got any good trading bots I can promote and pay you $millions for out of my downline's money?"
You would most likely have an existing relationship, like that with the TSO mentioned above. Money is the pure motivator here, and each company gets what they want.
Genesis get regular income plus upfront lump sum for their hashrate and BitClub Network get a plausible Front at low capital cost.
Same with this bot project.
As usual, BitClub Network investors pick up the tab, providing capital with no protection or guaranteed returns; that small % of the capital that doesn't get swallowed up by the parasitical Pyramid commission structure.

Marco Kron is Chief Finance Officer of Genesis Mining.
Marco Kron is quite happy to chat with Conley on YT about his bot brainchild. The CFO of a supposedly respectable operation doesn't just go on camera with some stranger.



Anyway, I'll have a look at this "Arbitrage" front running trading bot proposal later, with its $25k "passive income" opportunity (offering, but not guaranteeing 10% a month, remind you of anything?), but for the moment I'd say that all indications are that Genesis and BitClub Network are old pals.
From the mining industry.

Note: I could hammer various references herein with relevant proof/links, but wanted to give an overview. Also many links come from scammer's websites and I don't want to give them extra traffic. Anyone requiring context, please ask.

Minor edits for gramma.

 






 

My last post about this nonsense.
I see that this Lara scam enables auto reinvest of your "profits", meaning that the wonderful world of compound interest is at your finger tips.

100 dollars "invested" at 3% return per day and "reinvested", over two years, will give you


 

And of course there's Futurenet  

Anarcho capitalist.....shit businessman with an attitude problem.

I think he's got the Limited Edition White one 

Those 1703 immigrants are fucking busy fucking.

No it isn't, it's a hybrid pyramid/ponzi.
Have some negative trust.
How much did you spend on buying this account? It wasn't worth it.

Should be in "Investor Games" section Trashcan.

There's already a thread about this https://bitcointalk.org/index.php?topic=1185909.0 .

As you aren't exactly bringing anything to the party in the way of new information, you may want to post your revelation there.


There are a zillion threads about this too. All you'll get is sig spammers talking out of their ass and the occasional scammer pushing some shit.

Try using "Search" before posting.

Am I reading that right?
If you send a faulty item back and they confirm it doesn't work, then it doesn't come under warranty?
Wut

    

That depends on how reliable you want the information that you post in this thread to be.
And yeah, I'll excuse you this time.

There's no need for that, nor does it look good on you for obviously deflecting from answering a reasonable, if slightly rhetorical, question.
If you want to gain trust enough to lock investors' money up for a fixed period, stating
 

and then moving them within a month without notification, isn't a particularly smart move.

Crosspost from Scam Accusations

One thing that MLM schemes scams love is Social Media. They plaster it with inspirational memes about self belief and being confident in a bright new fututre, in order to draw potential victims into a relationship, on which they can build and extract money from the gullible.
Facebook facilitates this as part of its business model.
Don't under estimate the power of this. To most people who have a clue about how this stuff works, it's laughable. But what FB does well is lowest common denominator. It is full of so much trivial garbage that, in comparison, this aspirational stuff can look quite believable.

Have a look at https://www.facebook.com/PowerHashing/ , it's full of nonsense like this







Facebook also has a product review system, where clients of a business can leave their view of a companies performance and service.
Abusing this is standard operating procedure for scammers. Usually they buy Facebook accounts and at least make an attempt at diguising their fraud. (this is fraud, making a misleading statement knowingly to encourage a third party to take a certain course of action).

Powerhashing aren't that subtle/professional in their scamming. They just leave themselves 5* reviews in their own names lol.



Sleaze.

One thing that MLM schemes scams love is Social Media. They plaster it with inspirational memes about self belief and being confident in a bright new fututre, in order to draw potential victims into a relationship, on which they can build and extract money from the gullible.
Facebook facilitates this as part of its business model.
Don't under estimate the power of this. To most people who have a clue about how this stuff works, it's laughable. But what FB does well is lowest common denominator. It is full of so much trivial garbage that, in comparison, this aspirational stuff can look quite believable.

Have a look at https://www.facebook.com/PowerHashing/ , it's full of nonsense like this







Facebook also has a product review system, where clients of a business can leave their view of a companies performance and service.
Abusing this is standard operating procedure for scammers. Usually they buy Facebook accounts and at least make an attempt at diguising their fraud. (this is fraud, making a misleading statement knowingly to encourage a third party to take a certain course of action).

Powerhashing aren't that subtle/professional in their scamming. They just leave themselves 5* reviews in their own names lol.



Sleaze.

And who the fuck are dragonmining?

That shitty website with its pictures of skyscrapers and Fiverrr video says one thing: and it's not "Give these people money".

Your "Data Office" is in one of the most expensive parts of Central London. Your only contact is a mobile phone.


If I had a BTC for every time I've read that sort of bullshit I'd be as rich as Bill fucking Gates.

I see where you are coming from with regard to "in house" BCT scammers and accusations, but my interest is in the wider picture of Bitcoin investment generally.
If I see a Bitcoin scheme in the wild which I think could do with a closer look and I find something of interest, then I will post about it here because this forum reaches a wide BTC audience, in the hope that when people see the bigger picture behind the scheme, including the principals' history, it will inform their judgement about whether or not to invest in it.
This one for example, which I posted in the local sub forum most likely to reach people with interest in it.
It is not a scam accusation, but contextualizes the scheme on offer and its prime mover's history. It would be meaningless without identifying the actors involved. Also, further useful input may be contributed by others who see a name, picture or other "dox" type detail and recognise it from the past.
To relate the current scheme on offer to past ones operated by them, "doxxing" the people involved is an essential step, not because there is any benefit per se in exposing their meatspace identities, but because it is the link between the two and establishes a pattern of behaviour.

How will the new regime affect this sort of post?   

Theymos
Say there is a thread in "Service Announcements" promoting a scheme which appears suspicious, posted by username XYZ.
A bit of research done perfectly legally by searching publically available data linked to XYZ and his scheme on company names, addresses and other info provided in that thread shows that in real life XYZ is John Doe, with an MO of questionable practices/outright scams/failed enterprises.
Will this new initiative prevent posts in that thread linking XYZ to John Doe and asking whether or not this is him and his history?
Instead, should I post a new thread in "Investigations" and crosslinks in the two threads? Will this be acceptable?

As you have currently set it up, "Investigations" is buried as a Child board of a Child board in a Sub Forum.
Is this an indication of your personal view of the (lack of) importance and desirability of these type of posts?

IRL, I conduct due dilligence and background checks daily as work. In order to be of some assistance (in my view, maybe not yours or scammers) to the Bitcoin community I post background data from time to time about what appear to be questionable schemes floated on BCT and other places, and the people behind them. I believe that this has been of some help to newbies in avoiding being scammed.
I am confused about whether you are signalling now that this sort of posting is unwelcome. You appear to be sending out mixed messages at a time when scamming is as rife as ever.
Please advise.

You don't know that herusdcosta isn't just scamming personally on his own, using his position at multiwebpay (MWP) to help him get away with it.
The fact is that MWP and PayCash are associated/joint companies and they can only trade with a payment provider licence.
An operation like that won't be in the business of stealing a couple of grand's worth of software.
You can make a complaint to the FCA Ombudsman which would threaten that licence, but he won't listen to you unless you go thru certain steps first, i.e. try to resolve it directly with the company.
You need to make sure who the scammer is, is it heruscosta on his own or what?
There is also a regulatory body in Luxembourg which has licenced PC, the CSSF.
The threat of these two being contacted might get results.
Good luck.