Davorcoin, a shady lending platform very similar to Bitconnect, received a cease-and-desist order from the Texas State Securities Board. As a community, we must act in order to stop these fraudulent schemes before its too late, for Bitcoin's good!

Davorcoin claims itself to be the most ambitious cryptocurrency projects (I'm not joking, check the website). It basically offers a mining, staking and lending platform where you can buy their token (called DAV) with Bitcoin and then lend these tokens to a trading robot to receive a daily profit.

Sounds familiar?

Like the Bitconnect Coin, the DavorCoin (DAV) is a hybrid Proof-of-Work/Proof-of-Stake cryptocurrency (I strongly believe its creators don't even know what Pow and PoS mean) that aims to become the best alternative to current popular coins such as Bitcoin and Ethereum (again, I'm not joking, that's what you can read on the website).

"Alternative to current popular coins", I don't think so!

The emergency cease-and-desist order

Exactly like what happened with Bitconnect, the Texas State Securities Board (TSSB) issued a cease-and-desist order for the DavorCoin project. According to the agency, DavorCoin has been issuing unregistered securities with fraudulent and misleading information to lure investors. By providing a lending platform that gives its investors significant returns, the DavorCoin project falls under the definition of unregistered securities.

“At approximately 5:30 p.m. CST on Jan. 26, 2018, it [DavorCoin] represented that an investor lending $30,000 in DavorCoin who elects a 'Locking period' of 120 days may earn $513 per day, $3591 per seven days, $15,390 per 30 days and $107,217 as of the 'capital release day' of August 23, 2018”

Moreover, according to the TSSB, DavorCoin is an investment fraud because its hiding informations about the business, such as locations as well as, basically, where the money come from.

Source: CoinDesk

How DAV is going?

It takes only one look at DAV data on CoinMarketCap to realize that this is something we should ran away from. It is traded only on one exchange with a very low volume (that makes price manipulation quite easier) and no information about the circulating supply.

Only one exchange is trading the DAV token

No information about the circulating supply

We need to act before it's too late

As a community of HODLers, cryptocurrency enthusiasts and investors, we must act and educate people about these fraudulent schemes. We need to spread the word, we need to let these scammers starve to death (in a metaphorical way, of course).

We must act before it's too late, before governments and regulators will ban Bitcoin and legit cryptocurrency-related projects. We must act for Bitcoin's good!

Upvote and resteem to support me if you like what I have to say, thanks!

BTC: 1FeDe3xo64eDgCnmj8gBjQTtuQjMkuBSbD

LTC: LfedeUR3BjkMz5VNoQn4yMSxGrUxa52XGA

DOGE: DFedeVfDReZkwzAJjK4EGEpo7FuUkNiMx3

Buy a hardware wallet to securely store your Bitcoins and other cryptocurrencies from Trezor or LedgerWallet.

Buy Bitcoin, Bcash, Litecoin and Ethereum with your credit or debit card on Coinbase.

Join Earn.com and get paid to answer emails.

You can also read my works on: