Bitconnect BCC Network Marketing Cryptocurrency Ponzi Shutdown

In a dramatic turn of events, Bitconnect has issued a statement today saying that they will be permanently closing down their Bitconnect lending and exchange platform. As a result of this, any outstanding loans as well active loans will be released to the users Bitconnect Wallet (at a rate of 363.63 USD). According to the official statement released by the company, this rate is based on a ‘15 day average’ of the close price of the currency as per CoinMarketCap.

In addition to this, the statement also outlines that all of the aforementioned shutdowns will take full effect within a period of 5 days. After this, the website will continue to serve as a platform for educational purposes, sharing of news and as a digital wallet.

What Are The Reasons For This Sudden Closure?

Three primary reasons that have been listed for this sudden halt include:

• Bad Press: according to the official company statement, there has been tremendous bad press surrounding Bitconnect in the past couple of months that has led to a severe dip in investor confidence.
• Legal Notices: company representatives have said that they have been hit with two successive “cease and desist” orders that have been issued by the Texas State Securities Board and the North Carolina Secretary of State Securities Division. Due to these legal notices, it is no longer viable for the company to continue further dealings in a safe and transparent manner.
• Third Party Attacks: another reason cited by Bitconnect in regards to its closure, is the number of DDOS attacks that they have had to face in the past couple of weeks. These third party miscreants have also made it clear that they would continue such interferences unless the platform shuts down. Due to these incessant attacks, the system has become unstable and many users have withdrawn their funds (causing a complete destabilization of the platform).

So What's To Come Now?

After the closure of the lending platform, company representatives say that they will continue to support the circulation of BitConnect Coin. Closing the lending platform will result in the token being circulated by other verified “third party exchanges “(thereby leading to an increase in trading opportunities for currency holders).

Other Important Details

• BitConnect Coin will remain available for use by merchants and traders. The statement says that the company will promote its API so that it can become more widely usable.
• The BitConnect ICO will continue to remain functional.
• The company is aiming to construct an all new exchange on the BitCOnnect X website. As a result of this, native tokens can be transferred onto this new system and used as before.

For other details and queries regarding this closure, company representatives can be contacted on support@bitconnect.co.