Bitcoin trading fund Xmas Promo is showing exit scam
The scams in the cryptocurrency market are increasing day by day. It seems that this is not a peaceful Christmas season for investors who have put their trust in the Bitcoin trading fund called Xmas Promo. This is a Bitcoin fund run by LÉON, aka @hitsXBT.
Again the promise of “terrible” interest rates
Scammers from the Bitcoin Xmas Promo trading fund continually promised “huge” interest rates to investors. However, the social media accounts of Bitcoin Xmas Promo no longer exist. Therefore, there is no way to get back the original investments, let alone the promised profits.
Twitter user Stealth Bomber10 exposed this exit-scam scam shortly after the oligarchs went missing.
ATTENTION@hitsXBT, formerly known as LÈON, has exit scammed his Bitmex $BTC fund.
He had promised to send out his fund’s “Xmas promo” profits by 15:30 UTC today.
No profits were sent. He has deleted all his TG secret chats and changed his account to this as a parting joke. pic.twitter.com/478I8dmPxQ
— stealthbomber10 (@stealthbomber21) December 22, 2019
How Xmas Promo works is simple. LÉON requires investors to send him Bitcoin, after which he will lock that BTC in his wallet for a specified period. He promises investors that he will trade with their Bitcoin and return them profits according to the agreed time. In return, LÉON will receive commissions from those transactions.
Not only that, LÉON also lured small investors by promising them to return 300% of profits immediately after they sent him Bitcoin. According to LEON, the gains he made came from significantly reducing the whale deposits and redistributing the amount among those with low deposits. Anyone who sends 5 BTC or more is classified as a whale.
There have been many warnings about Bitcoin trading fund Xmas Promo
Several observant users have warned investors that the program has enough features of an exit scam. Moreover, LÉON, who claims to be a millionaire with a large amount of Bitcoin, is not reliable. And the evidence is that he has made his Twitter account private, perhaps to avoid any public conversation likely to discourage some of his clients/victims.
@hitsXBT “Multimillionaire” contacted me for an advertising job, I was thinking his “trading fund” and that was already a red flag, but wanted to play fool and see where he wanted to go and if he was legit or no. Telling me to speak in a private chat was the 2nd red flag pic.twitter.com/Epo847YA3C
— Walter Wyckoff (@walter_wyckoff) December 12, 2019
As it turned out, despite signs of possible fraud, a large number of investors were successfully lured into Xmas Promo.
The exact number of victims has not been announced. However, LÉON may have been able to obtain enough Bitcoin to reach a total value of several hundred thousand dollars. From the time LÉON started doing this scam so far, Xmas Promo has received hundreds of BTC deposits.
The screenshots are in the chat history I uploaded to the dropbox link in the thread.
I personally know one victim who lost 100 btc alone.
— stealthbomber10 (@stealthbomber21) December 23, 2019
Meanwhile, a Telegram group has been set up so that the victims of the scam work together and coordinate to cause a campaign to get back their deposit.
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