Smart Contract Scams
There are so many smart contract scams now.
Most of these are simply just smart contract matrix cyclers or straight up pyramid schemes with no product.
They will use a smart contract thats handled on the Ethereum or Tron blockchain, which does NOT make it legit.
They are disguised and marketed as decentralized crowdfunding donation platforms.
In reality, they are recruitment based, cash gifting MLM’s with no real product or service. You must buy spots in a matrix in order to receive payments when you recruit others in the scam.
Now, crowdfunding is not illegal. Giving and receiving cash gifts without the giver expecting something in return is legal.
However, Participating in a cash-gifting matrix system where you pay someone in order to qualify to be paid by other people is illegal.
Payments are all peer to peer via cryptocurrency only. This means no refunds or recourse once payment is made.
Buying a spot in a matrix does not mean that you will automatically get a payment back or get spillover. Payments or “donations” made to you, are based on you recruiting other people into the pyramid scheme.
Smart contract cyclers are not passive. ROI is completely based on recruting new members only.
Once recruitment slows down, people stop getting paid.
All matrix cyclers fail. Cyclers are one of the worst MLM models to use, as 95% of people can not recruit.
Smart Contract MLM matrix cyclers are complete garbage.
Here is a list of smart contract scams to avoid:
Smart Contract Scams List
- Lionsshare Tron
- Power of 2
This smart contract scams list will be updated weekly.