Yet another thinly-veiled cryptocurrency-based high yield investment program (HYIP), Hextracoin bills itself as the newest Bitcoin-killer altcoin to hit the scene. The company encourages investors to buy mass quantities of this new coin in exchange for a variable ROI, and also awards those who recruit new investors heavily.
What Is Hextracoin?
It will come as no surprise to anyone that Hextracoin doesn’t tell you who they are or where they’re located as a company. While there’s some talk that Hextracoin headquarters is in Dubai, there’s nothing to verify this; in fact, the only information that we can verify is that the Hextracoin site was registered in September of 2017 through a private domain name registration service.
In other words, your guess is as good as ours when it comes to just who’s behind Hextracoin.
Hextracoin bills itself as an opportunity to buy into a brand-new digital asset with its initial coin offering (ICO) in order to secure a place as in early investor. This involves paying the company an existing digital currency, such as Bitcoin, for a commensurate amount of the Hextracoin digital token (HXT). The value of a single HXT is set exclusively by the company, and is as of this writing the equivalent of $1.05 USD.
Those who do purchase HXT can then “lend” it back into the company by making a deposit. Depending on how much money you spend, you gain access to different tiers of ROI:
- $100 to $1000 – up to 48% monthly ROI over 239 days
- $1001 to $5000 – up to 48% monthly ROI, plus 0.15% daily ROI, over 179 days
- $5001 to $10,000 – up to 48% monthly ROI, plus 0.25% daily ROI, over 120 days
- $10,010 to $100,000 – up to 48% monthly ROI, plus 0.3% daily ROI, over 99 days
The 48% monthly ROI is a so-called “volatility software interest” rate that is somehow tied to the fluctuations of the Bitcoin market, according to the distressingly vague website copy.
According to the hilariously carrtoonish “roadmap” for Hextracoin, the company expects HXT to be tradeable on all major exchanges by the end of 2018, when it will be valued at $150 per coin.
In addition to this, there is an “affiliate referral” program that will be offered to investors somewhere down the road, though when this will be implemented, and what its specifics will be, is not revealed.
HYIPs always revolve around you giving a company money on the promise of a stupidly high ROI. These companies never actually do any investment activities; instead they just take the money you gave them and use it to pay the ROI on someone else’s deposit. In turn, anyone who invests after you will have their deposit used to pay the ROI you’ve been promised in turn.
This is what Hextracoin is doing. It’s made worse that you’re paying in real digital coins and given nothing but a worthless token in return, one that can’t be traded back for a legitimate cryptocurrency. Avoid this one at all costs.