Is Hex A Scam?

Despite the positive agenda upon which cryptocurrency and digital money were established, many people have conducted scams that use cryptocurrency to deceive the less enlightened.

Is HEX the Most Salient Scam to be Reviewed?

The scam is one of the significant challenges and reasons why newbies in the crypto market haven’t made it so far in the cryptocurrency space, unlike veteran crypto traders and investors who possess sophisticated knowledge and understanding of how the system works and have a track record of success stories.

HEX is a cryptocurrency designed and launched on the Ethereum network on December 2, 2019. Being a cryptocurrency built on the Ethereum smart contract network, it has amassed many investors and traders into the system.

Founded by Richard Schueler, also called Richard Heart, the HEX token was initially known as BitcoinHex before its launch. It is a token integrated into the ERC-20 network to mimic and at the same time amplify the local financial institutions’ protocol which makes use of a certificate of deposit whereby investors make their gains by locking up and staking the HEX tokens for a particular duration.

Reasons why HEX Appears to be a Scam

HEX undoubtedly seems to look like a potentially filled project that holds its investors’ interest in high esteem. That is why the HEX token has been able to procure many new and veteran investors, and most people have failed to ascertain a few facts about the coin before diving into it.

Here are a few reasons why HEX appears to be the ultimate scam:

  • HEX is a Ponzi scheme
  • Richard Heart’s Skeptical history and lifestyle
  • No specific revenue generated through the Hex Token Supply and Distribution

HEX is a Ponzi Scheme

Technically, Richard Heart has been able to justify to investors that the HEX token is not a Ponzi scheme. The Ponzi scheme has been in existence for quite some time, as it can be dated to the 1920s, which works on the principle of paying out money generated from new investors to existing investors.

HEX claims to have control of its interest rate as it mints more tokens, but the truth is that the profits generated result from inflation, no more, no less. The HEX token makes no legitimate income, whereas it’s just an illusion that has successfully convinced investors about its legitimacy.

Richard Heart’s Skeptical History and Lifestyle

HEX founder Richard Heart was once found guilty of fraudulent acts back when he was involved in spamming courses on how to evade taxes which is a criminal offense under the constitution. Eventually, he became a multimillionaire at the age of 23 through spamming.

Like that wasn’t enough, he went further in his dubious act to spam Viagra and anti-aging pills (which he faced the wrath of the law in the early 2000s) and legal trouble in Panama.

Understandably, people can turn a new leaf but let’s not forget people do not change quickly. It won’t come as a surprise if history repeats itself and HEX is just another means to an end to empty investors’ funds out of their pocket because technically and logically, HEX appears to be a carbon copy of the Bitconnect Ponzi scheme that failed in 2017.

The Hex Token Supply and Distribution

Richard Heart has never been specific on how the HEX token is distributed; through careful observation and analysis, there isn’t any HEX ecosystem in which the token distribution revolves around.

It is more of camouflage and illusion than the actual reality as it creates the impression of a fake distribution, whereas it is just a highly centralized project.

Fortunately, a Redditor has been able to make an analysis on the distribution of wallet addresses. It has identified how a single address acts as the distributor of HEX to over 173,000 addresses in bulk.

Wrap Up

A cryptocurrency like HEX involves extreme caution because of its tricky nature. If you have second thoughts about getting bulk HEX tokens as part of your investment options, take note of the following compelling points.

  1. Richard Heart has too much sovereignty over the HEX controls a whopping 88% of the token, making him the only legitimate whale in the system.
  1. Bitcoin is nothing compared to HEX, so it is unrealistic and unwise to reach an independent coin to a dependent token. Bitcoin is very purposeful and has always been known for its scalability as it was designed to handle a growing amount of work by processing several transactions in milliseconds, unlike HEX which its primary purpose is self-enrichment.
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