The name of this video is Qanon and Bitconnect and while I think most of you are familiar with Qanon you might not know what Bitconnect is or was so I’m going to explain that quickly first.
Many of you watching this remember the crypto craze from late last year and early this year and some of the spectacular bubbles that popped during that time. One of the most notorious crypto-currencies to go belly up was Bitconnect. For those of you who don’t know what Bitconnect was or maybe even what i’m talking about at all, let me briefly explain.
Bitconnect was essentially a pyramid scheme that promised impossibly high returns on investor money. Like all pyramid schemes, the money that new people deposited was used to pay the people at the top which meant like all pyramid schemes it had to keep growing and it would eventually have to fail. The way they kept getting people to give them their money was by telling them they had a mysterious trading bot that would make perfect bitcoin trades. All you had to do was give them your bitcoin, trust the trading bot and not to ask for proof but instead, to share this magical money machine with as many people as possible. Tell all your friends about this miracle money machine. They wanted Bitconnect to go mainstream.
And people believed in it. There was after all some supporting evidence that seemed to back up what the Bitconnect people were saying. Bitcoin prices were going through the roof, in fact nearly every crypto currency was. It was easy to make money in that market, but because it was volatile it was also easy to lose money. It was difficult to setup an account with an exchange and deal with the aspects of 24 hour trading and an ever growing list of coins.
So people who heard that crypto currency was making people rich but didn’t want to have to learn about all the ins and out of how it worked or all the different kinds of currencies or what a smart contract was, they would watch the videos that had popped up all over YouTube from these normal everyday people that said they were going to let you in on the secret. Just trust the Bitconnect trading bot. Invest all your money into Bitconnect, and you could get rich like them. You don’t have to worry about all this technical stuff, Bitconnect would handle all that, all you were encouraged to do was to maybe make your own YouTube videos and get more people into Bitconnect, after all, Bitconnect needed to go mainstream.
While all this was happening, many of the people who understood crypto currency grew increasingly suspicious of Bitconnect and eventually began warning people that they could lose all their money if they just trusted some bot that nobody was allowed to see or even talk about. Armies of Bitconnect defenders would call these people shills and I suspect many of these people probably worked for Bitconnect and were trying to keep the scam going as long as possible. But some of them weren’t they genuinely thought someone was trying to hide the magic of Bitconnect from people.
People even made videos explaining to people that crypto was not a scam and you could indeed make money with crypto but that Bitconnect was a scam and that when it failed as all pyramid schemes do it would give crypto a bad name and turn a lot of investors off. They weren’t trying to keep people from making money but quite the opposite, they wanted to keep people from losing all their money. And every time the comment sections would be filled with rabid Bitconnect defenders accusing them of being shills for other crypto currencies and that they were just afraid of Bitconnects rising dominance in the market. And again, some of these people very well might have believed this, others might have needed to believe this because they had their life savings invested in Bitconnect and if what these people were saying was true, they were not the financial geniuses they had been telling their friends that they were. And their friends, how many of their friends had they convinced to buy Bitconnect? How many of these friends or maybe even family members had gone against their better judgement and had also invested their life savings. If Bitconnect was a scam, this would be an extremely messy situation for a lot of people.
But of course it was a scam. Bitconnect had rode into town on the rising popularity of crypto currency, preyed on the hopes of people who desperately needed hope and saw Bitconnect as an unexpected life preserver tossed to them in the raging storm, convinced people to trust them in their time of need by exploiting their dreams. And then just like that, in less than a day the value of Bitconnect went to zero.
At the time this was happening I was day trading crypto and had been one of those voices warning people not to trust Bitconnect. When I saw the news I decided to the Bitconnect subreddit to watch the reaction in real-time. I will admit that when I decided to do this it was to laugh at their pain. It was to watch these people who had been calling me a shill or worse all for trying to help them out get their just deserts. But i never got the satisfaction I was hoping for. Instead all I saw was a mix of devastation and denial. People saying they had lost everything they had saved for retirement who now couldn’t afford to pay their mortgage. But there were also the people that continued to deny that Bitconnect was a scam. They said it was all disinfo and that now they were going to buy even MORE of the now completely worthless tokens.
Needless to say I did not find the satisfaction I was looking for. It was just sad. Sad because of the human devastation that had been dealt to people who just wanted to have hope. It takes a certain kind of evil to use a persons trust and hope in humanity against them.
But not only were there the human casualties, but what would this mean for the future of crypto? How many of these people who had been ruined by the Bitconnect scam would ever invest in crypto again? There really was no silver lining. And that was the story of Bitconnect, and now I guess I should talk about Qanon. Oh wait, i think i just did.