Bitcoin and other cryptocurrencies have become the in-thing as far as investments are concerned. There are many that are thinking of how to enter the coin market so many businesses and websites are promising them opportunities to partake in the industry through mining and trading.
Bitclub Network is one of the businesses that promise investors they could earn bitcoins if they invest on the site. This is remarkable because Bitclub Network is not just another obscure site soliciting for retain mining investment.
The company has been in operation since 2014 and is among the top 10 mining pools. It is not surprising that Bitclub Network is interested in retail investment in Bitcoin mining. The company asking investors to purchase mining plans may be a result of need to source for funds when bitcoin mining was still profitable.
If you’re knowledgeable about bitcoin mining, you’ll know that with the present mining difficulty of the cryptocurrency, there is no basis for any company to open its doors asking investors to purchase mining hardware to be mined for the way Bitclub Network is doing.
The reason is that mining is not as profitable as it was years ago. This is why many analysts suspect that Bitclub Network’s referral program which has made the company popular for the wrong reason could be a Ponzi scam.
What Mining Plans Are Available At Bitclub Network?
The site has three plans that require the investor to activate with $99. Then there is the $500, $1000 and $2000 mining plans. According to the site, these plans entitle the owner to 50%, 60% and 70% of the profit respectively.
Interestingly, joining the Bitclub Network is through referral and the new investor must activate by making the $99 payment before they can even purchase the plans.
It is likely that for anyone to make money through the site, they must be committed to the referral program and recruit people since the 1000 day mining contract would not readily generate quick returns for the investor.
According to the site,
“Once you join BitClub Network, you’re in for 1,000 days. There are no additional fees to support mining or to upgrade equipment. You can choose what percentage of your mining proceeds will be used to buy additional shares of the pool and how much will be paid out each day.”
Bitclub is the only mining pool known to be involved in this sort of recruitment drive for affiliates. Even though this project may not be called a scam, it is sure to crash whenever the inflow of new members stops since the payments cannot be sustained through the advertised mining of bitcoins.
Who is Behind Bitclub Network?
The owners of the site are not known unlike bigger mining pools. The site stated that it was set up by blockchain experts that wanted to create an avenue for unprecedented mining access to investors.
“Our mission is to help everyone cash in on the crypto currency opportunity provided by emerging blockchain technology.
We’re one of the world’s top 10 Bitcoin mining pools, and have also helped our members increase their digital holdings of Ethereum, DASH, Monero, and Zcash.”
These are facts that are incontrovertible but the fact remains that Bitclub Network cannot realistically claim that it could pay its members substantial amounts through mining contracts. This is the reason it emphasizes recruiting new member just like any MLM or even a Ponzi would do.
A Transparent Company?
Bitclub Network claims that it is a transparent company and attempts to show its members figures of its mining activities and result. The company which has mining farm in five continents according to site report said that investors in its mining plan get some of the cheapest deals since it purchases hardware cheaply.
Some of the accomplishments of the company that may make investors consider it as a source of coin extraction is that it has been in operations for five years and mined Over 70,000 bitcoins and counting.
Is Bitclub Network A Scam?
The company cannot be described a scam since its antecedents as a genuine bitcoin mining pool is well-known.
However, with its growing number of participants, competition involved in bitcoin mining and other factors such as the increase in mining difficulty of Bitcoin and lower price, it is obvious that the affiliate recruitment program is a scheme designed to cover up for lower profits the company may incur.
It could also be that the owners were not satisfied with mining profit and hoped to make more gains through a Ponzi-like system.
In conclusion, it is clear that anyone making remarkable profit from Bitclubnetwork.com does so through its referral program since we are aware that mining of cryptocurrencies is no longer a path to getting rich quickly.
Solution to Bitcoin Investment
If you’re determined to increase your cryptocurrency holding, there are better sites where you could invest your coin with higher possibilities of making profit. This is the sort of site that you should consider for investment since we have realized that mining is not a good investment at this time.
If you would like to share your experience with Bitclub Network, please use the comment box below.