8.7 million dollars in ETH, blocked for 15 years … in a scam?
Some users are not cold-eyed – An internet user has invested $ 8.7 million in ETH on the HEX platform, an amount that will be blocked for 15 years. Between precursor and pigeon, there is only one step.
HEX: the blocked crypto savings account
The HEX project was launched on December 2, 2019, by Richard Heart, on the Ethereum blockchain.
This project aims to create a crypto version deposit account. Thus, users have the possibility to deposit funds there , which will be blocked for a defined period of time , and to receive interest on these assets.
20,000 ETH blocked over 15 years
During the last week, an anonymous Internet user deposited the equivalent of 20,000 ETH on the Bitcoin Bank platform through 7 separate transactions .
So far, nothing particularly alluring. However, the story is spiced up when we take a look at the time during which the funds will be blocked: 15 years .
Thus, the user has deposited 20,000 ETH, or approximately $ 8.7 million, which will be blocked on the HEX platform for the next 15 years , namely until 2034.
As one of the internet users on reddit put it so well: “We found the biggest balls in crypto”.
Precursor or finished pigeon?
However, several snags are inserted in this story.
At first, it is extremely risky to deliberately lock up such a large amount of money in such a “recent” smart contract for a period longer than the existence of the cryptocurrencies themselves.
The second problem lies in the legitimacy of HEX. Indeed, the platform offers returns on the assets deposited, that is, many completely legitimate platforms do the same.
However, when we take a closer look at the HEX site, all indicators suggest that this platform is not legitimate .
First astonishing point, HEX has a loyalty program that allows sponsors to earn more earnings per sponsored affiliate. Already there, it sounds like a scam. However it goes further, on the official site, HEX explains without complex that “using your own referral link, you will get 32% more HEX per ETH” .
More than doubtful advice …
On top of that, the site is full of more than questionable comparison between the past performance of Bitcoin and Ethereum prices, presenting HEX as a “safe” way to obtain superior returns.
“HEX is designed to outperform ETH, which has seen its price increase 10,000 times over in 2.5 years. It works ! So far, HEX’s dollar price has increased 115-fold in 129 days. HEX is safer, faster, cheaper, better for the environment, has more features, and caters to a larger market than Bitcoin. So far, the price of HEX has increased 92 times the price of Bitcoin. ” , explains the site.
Although the project has not been officially stamped with a scam by the crypto community, it is still extremely questionable. Cryptocurrency projects ensuring wealth and prosperity to their users are rarely the most honest.