Coinspace fraud or legal operation?

Following the diffusion of crypto currencies and the continuous introduction of new types of coins. The cases of fraud have increased too. Many people have invested into what they believed were real and genuine crypto currencies, and then end up disappointed. The Coinspace case seems to be the one of these.

Coinspace is a company that presents itself as a cloud mining method, according to the company’s own definition, makes available 20.000 hardware processors and a dedicated server for the investment into crypto currencies.

Every package sold by Coinspace allows to gain S-Coin points based upon this outline:

  • Minimum Mine – 30 S-Coins
  • Basic Mine – 100 S-Coins
  • Quarter Mine – 250 S-Coins
  • Half Mine – 500 S-Coins
  • Full Mine – 1000 S-Coins
  • Double Mine – 2000 S-Coins

The Coinspace method, how does it work?

Initially advertised as the most interesting crypto currencies company where to invest. It didn’t take too much time to create a long list of unsatisfied customers that have accused the company of fraud.
Its business model is based upon two elements:

  • Crypto currency mining
  • Introduction of other customers to the platform

The mining service in fact has not fully started therefore the only way to begin the operations in the system is to introduce other people that will pay an entry sum. An element that easily qualifies it like a pyramidal system.
The only possible way to profit with Coinspace s based on a  Ponzi scheme: the entry sums paid by the new investors are used to pay the profits of those that have previously joined.

The  pyramidal system business models are prohibited by the Italian and European laws.

Learn more about Virtual Coins.

A system that is illegal for CONSOB

On February 2017 the advertising activity for Coinspace crypto currencies packages extraction was blocked by CONSOB for 90 days, as a precautionary measure. At that time, the company was selling its services through the website
Coinspace was never registered at the CONSOB, not having gained any authorization from CySEC nor it is acting based upon the Midfield convention in Europe: these are all the details that should have soon alerted those that were considering investing through such system.

Coinspace biz, Coinspace eu and Coinspace login: all the various faces of fraud

Following the wave of the very first scandals and blocks, Coinspace reappeared then with differently named websites in order to confuse the users. At the moment we are writing this article, it is still possible to access its website, a domain that appears to have been registered on 11 march 2015.

There are also various videos on YouTube and dedicated forums that explain how the Coinspace login affiliate system works promising investments with very high yields: a quick search in the industry forums shows in reality that the fraud lies behind the corner and that getting back refunds from Coinspace is very complicated.

In order to invest and profit in all safety with crypto currencies, it is critical to select the right trading platform: before choosing one, you should carefully get informed and  follow the experts advice.