Is cryptocurrency a scam?

[CasioPasio]

Before I tell this story I must say I have 0 clue about any investing, so if I get something wrong, I'm sorry.

Now to the story...

So I recently went to a mate's house who said how he 'regrets' not buying Bitcoin in 2010/11 when it was dirt cheap and how it is now $4k a single coin. However, now he has found a company called OneLife (sub company OneCoin) that is set to go Public in around 8 months with their new currency.

He said that I should invest! I said it sounded like a scam, and I think it does.

But I would genuinely like to hear from the financial wizards on PH on this. What is your take on this?

Link to their websites (even the website looks homemade):

https://www.onelife.eu/en/

https://www.onecoin.eu/en/

PS: Their company is registered in Bulgaria and does not have any offices in England (for Tax reasons as he says)

Looking forward to hearing why you have to say....

[Behemoth]

Many recently launched or launching cryptocurrencies are scams or at the best very very high risk speculations on very young developer team's technical ideas. I have no idea about this one. The original, Bitcoin, along with a handful of others are not scams.

Edit: https://en.wikipedia.org/wiki/OneCoin

'nuff said. Assume any new crypto is a scam unless you have convincing proof otherwise and that you understand the technology behind it. Many criminals and snake oil merchants are jumping on the bandwagon.

Edited by Behemoth on Monday 21st August 19:29

[bloomen]

Onecoin is not a cryptocurrency.

Onecoin is absolutely categorically a scam.

Even the opening sentence in the Wikipedia article refers to it as a Ponzi scheme. It's had legal action against it all over the world.

[CasioPasio]

Thank you, both for replying.

The sad fact is that I know someone who invested £50k into this.

I feel very sorry for them.

[Jimmy Recard]

Ouch. I don't think I could even consider putting £50 into something like this without some decent checking on it

[CasioPasio]

Jimmy Recard said:

Ouch. I don't think I could even consider putting £50 into something like this without some decent checking on it

Yeah. I was buying a shower head (~ £10) and I spent 2 days researching.

I think it was the element trust that was abused between them.

[Behemoth]

CasioPasio said:

The sad fact is that I know someone who invested £50k into this

Didn't they even bother using Google?