Cloud 2.0 Wallet Review… Is it a Scam??? (Eg: Ponzi Scheme Like Bitconnect, USI Tech, Plus Token)


so this is it this is the scam right
here so after my video on Ponzi schemes
a few people asked me to have a look
some different projects that they’re
wondering about and the one I’ll be
looking at today is called cloud token
and if you haven’t really done so hit
subscribe that’ll help you to stay in
the look that future content I make that
helps you to find your way in the crazy
and often hostile environment that is
cryptocurrency so I’ll start off with
the website and we’ll go from there so
just on their website and let’s have a
look after having a read of this thing
they call their business proposal it’s
clear to me that it really is targeted
at people who have no idea about
cryptocurrency but also people who don’t
really have any clue about investing
either and the kinds of documentation
that you tend to get along with an
investment this paragraph right here to
me is a massive red flag you know
they’ve just dropped as many impressive
sounding buzzwords as they possibly can
especially things to make it sound like
you know Bitcoin and Ethereum and
everything else obsolete and this is the
next thing
risk free arbitrage there you go high
frequency hedge it’s very interesting to
me in this website it doesn’t really
talk at all about affiliate programs or
rewards or returns or anything else like
that like the really really obvious
Ponzi stuff so let’s have a look at
their wallet cloud technology and
investments 2000 reviews hundred
thousand downloads 4.4 stars good grief
cloud token create account I gotta say
this is not inspiring confidence let’s
see if we can proceed with that one
nope so I couldn’t get any further in
the app at all without a referral code
so I punched this cloud token wallet
into Google and this website came up
with one of the first results and man it
is a corker this website does not hold
back talking about gains and referral
codes and everything else like that so
let’s just have a look at this because
this this shows you everything you need
to know
so crypto currency what that pays there
you go key business points profit
sharing from day one eight to twelve
percent returns per month little Asterix
eight to twelve percent per month that
is insane that is a huge red flag I love
this credibility cloud
token app is listed on the Apple and
Google store that doesn’t make you
credible really real people real
technology real business plan I’ve read
the business plan I’m not convinced it’s
real oh man look at this lucrative
rewards program there’s 21 levels deep
let’s view this compensation plan shall
we really hit the jackpot with this
compensation plan page and you can see
that the multi-level marketing of this
just makes even bit connect look like
amateur hour
and you know it helps make a lot of
sense now as to why you want to had a
quick look on YouTube there was a whole
bunch of videos of people wanting to
sign up others using their codes and
convince people this isn’t a scam when
seriously this is a massive red flag
this has got to be the best bit yet so
testimonials and documentation cloud
tokens Australian business registration
there he go they’re registered here go
Australia it doesn’t look as though
they’re actually licensed to offer
anything at all in terms of financial
services if you look at any Australian
based investment business you know like
bata shares for example almost always
include information about their
Australian Financial Services license
number and they’ll offer things like a
financial services guide that helps you
to understand more about what they offer
you know if this cloud token actually is
some sort of Australian business and is
offering some kind of financial services
it really makes you wonder why the
detail on the actual website is so
sparse so let’s have a look at the app
so I’ve got my scammy referral code
let’s go login password wonderful let me
have password ah payment password there
is no short mark of quality software
than something unless you use the word
password as a password and suddenly lets
you use one two three four five six as a
pin well it’s very least its spitting
out 12 words that are in fact a valid
bip39 wallet so let’s have a look and
see how we go this is very interesting
so I’ve hit receive in the wallet and
it’s giving me some addresses that they
are not the bip39 addresses that they
should be not a Bitcoin
nope does not match for ethereum
either I don’t actually believe this app
is running
like a lot at all so I reckon if we
disconnect the network it’s gonna stop
working deadness tracks so see litecoin
receive please check your internet
connection there you go you can’t
receive at all click send
please check your internet connection
receive please check your internet
connection anything please check your
internet connection so this is it this
is the scam right here so basically this
is a fully custodial wallet as we saw
earlier the mnemonic phrase they’re
giving doesn’t really seem to match the
addresses that is generating even though
it’s a valid bit 39 mnemonic the thing is
that any non-custodial crypto wallet
actually generates all of its receive
addresses locally on the device they
don’t need an internet connection to
work out and to derive what all the
addresses are going to be this cloud
token while it isn’t real it’s
essentially just a front-end to some
website that’s basically giving you a
bunch of receive addresses that really
have nothing to do with the mnemonic
phrase that they’ve given you in my
previous video where I look at hostile
wallets you know one of the things that
I offer there is to say that you know
really any new wallet is something you
should avoid and you know this has only
been out there for a few months it
really really looks as though it’s
actually not a legitimate wallet at all
even though the design of it is strange
it has still been designed to look and
behave like you would expect a crypto
wall to behave how this exit scam is
gonna work is basically what’s going to
happen is at some point in the future
maybe tomorrow maybe in a week’s time
maybe in six months this cloud token
wallet is gonna have some weird hack
where all the users suddenly lose all
their funds and the people who made the
software who’ve been running this scam
we’re gonna throw their hands up in here
and go oh it was hackers we don’t know
what happened what a surprise what a
shame it’s clearly not our fault the key
con here is tricking users into thinking
they are holding their own private keys
when in reality I’m pretty sure they’re
not I’m calling it to me this is an
obvious Ponzi and yeah anyone
using this as their wallet needs to get
their funds out now when it comes to
cryptocurrency your wallet is not
something you muck around with and
simply put any service at all any
service that offers a wallet that tries
to masquerade as a non custodial wallet
one where you control the private keys
but really is fully dependent on their
servers to show you just about
everything any wallet that provides you
with a mnemonic phrase that you can’t
verify and validate in other tools
itself you know run as fast as you can
this wallet is gonna exit scam it’s only
a matter of time and that’s how this
Ponzi scheme is gonna come crashing down
even without the dodgy wallet there’s
enough red flags for the cloud token
wallet to be something you should steer
well clear off it’s an obvious Ponzi
scheme and only a matter of time until
it comes crashing down depending on how
long this thing drags out and how big it
gets it may end up being the biggest
wallet exit scam crypto has seen yet if
you know people who are getting sucked
into this scheme they may be thinking
it’s real because they’re getting paid
actual rewards but the fact the matter
is that’s how all Ponzi schemes work
it’s only a matter of time until the
whole thing crashes down and the people
do a runner with everyone’s money thanks
for watching I hope that was helpful
hit like if you think that other people
would find this video useful and hit
subscribe if you’d like to be kept in
the loop about future content I make
that helps people stay safe in the
crypto space and to recover if they get
into trouble if you have any questions
about this video or a topic that you’d
like me to cover just leave a reply

17 Comments

Add a Comment

Your email address will not be published. Required fields are marked *