IS BITCOIN A SCAM?

Short answer: YES

Learn more on r/Buttcoin

Why Bitcoin Is Considered a Scam

Bitcoin and many cryptocurrencies show characteristics of fraudulent investment schemes. Unlike traditional currencies backed by governments or commodities with intrinsic value, Bitcoin relies on new investors buying in to maintain its price.

Market Manipulation Extreme Pump and dump schemes and wash trading are common in cryptocurrency markets
Ponzi Structure Confirmed Early investors profit only when new investors buy in at higher prices
Scam Rating 100% Multiple regulatory agencies worldwide have issued warnings about cryptocurrency risks
Value Lost In Hacks Billions of Dollars Major exchanges like Mt. Gox and countless others have been hacked, with investors losing everything
Criminal Activity Primary Use Case Bitcoin is the currency of choice for ransomware, dark web markets, and money laundering
Transaction Fees Unpredictably High During high demand periods, transaction fees can exceed $50, making small payments impractical
Energy Wasted Exceeds Most Countries Bitcoin mining consumes more electricity than entire countries like Argentina or the Netherlands
CO₂ Emissions Similar to New Zealand Bitcoin's carbon footprint is massive and growing, contributing significantly to climate change

Frequently Asked Questions About Cryptocurrency Scams

What makes Bitcoin a Ponzi scheme?

Like classic Ponzi schemes, Bitcoin relies on attracting new investors to pay returns to earlier investors. The primary way to profit is by selling to someone else at a higher price, not through productive economic activity.

Is cryptocurrency mining environmentally harmful?

Yes. Bitcoin mining alone consumes as much electricity as some countries. This massive energy consumption contributes to climate change, especially when powered by fossil fuels.

Are cryptocurrency exchanges safe?

No. Numerous exchanges have been hacked, gone bankrupt, or engaged in fraudulent activities. Users frequently lose all their funds with no recourse or consumer protection.