BARCOIN (BAR), which was pretty unknown until a few days ago, has suddenly appeared on the highest-valued cryptocurrency list. At the time of writing, BAR is trading at $2.61 – which has brought it to 21st place. Just ahead of it, in 20th place, is RaiBlocks (XRB). Behind it is OmiseGo (OMG), in 22nd place.
But where did this coin come from? It was trading close to $0.00 about ten days ago, and has since gained more than 100,000,000% – seriously. What is BARCOIN (BAR) all about?
Introducing BARCOIN (BAR)
This currency only began trading in October, so it’s still a new kid on the block. But, until its meteoric rise over the past week or so, it hasn’t really been on our radars. That’s probably because of the type of operation that this company is running. It’s essentially a cryptocurrency lending program, similar to BitConnect (BCC).
Similar to how the BitConnect coin used to work (they shut down their lending program recently), BARCOIN (BAR) is a way for users to “store and invest their wealth.” People essentially buy BAR in exchange for Bitcoin (BTC), and that’s how they “lend.” While their money is locked away in a cold wallet, they earn interest.
But, much like BitConnect (BCC), people are pretty much treating BARCOIN (BAR) as a scam. That’s one of the main reasons that BitConnect’s lending program was discontinued. Now, Bitconnect is just a lonely, regular crypto coin that doesn’t help its owners earn interest.
How It Works
Users agree to let BARCOIN stash away their currency, which in turn powers other transactions on the network. With a minimum investment of $10 (and in multiples of $10), you can buy BAR coins on the company’s dashboard.
After the lending contract is over, they get receive the amount back in USD, which is dispersed into their lending wallet. While their coins are locked up, they receive daily interest payments.
Here is how BARCOIN (BAR) holders can earn money with this lending program:
- Lending: The company pays you profits every day as a thank you for locking money away into the platform. Each day, you can get 0.1% or 0.2% payments, on top of about 40% ROI for the whole month. At the end of the term, the capital is returned in USD to the users’ wallets.
- Staking: BARCOIN will fork over 120% ROI annually by staking the BAR you invest, meaning that they stay in your wallet and facilitate transaction processing on the BAR blockchain.
- Mining: Miners can participate in this platform to create new BARCOINS. Mining can be done with CPU or GPU.
- Referral Program: This is another red flag for a scam. BARCOIN has a multilevel commission scheme where you can earn 7% profits from your referrals. The Ponzi-scheme elements to this part of the platform don’t sit too well with some people.
Is It Safe?
Anyone thinking of investing in a lending program like this, which has a referral commission scheme, should be wary. You should also be prepared to lose all your money – but that’s true with any cryptocurrency investment.
On BARCOIN’s site, it claims that it is secure and private – but, at the end of the day, the BAR coin is only good for the lending program. Sure, it’s growing in value. But BitConnect just had to halt their lending system, so its currency is now just a regular coin. Could that happen to BARCOIN? Certainly.
Maybe in the short term, people can make a quick buck with this program. But as a long-term wealth builder, there are definitely more reliable cryptocurrency options out there.
Disclaimer: This article should not be taken as, and is not intended to provide, investment advice. Please conduct your own thorough research before investing in any cryptocurrency.