Created by unknown people, Cryptolux is an online financial platform which claims to be based on blockchain technology. According to the people who are behind this invention, this coin can be used to make payments worldwide. They say that its benefits include lower fees for transactions and faster processing of payments.
To establish whether Cryptolux is a genuine payment network or not, we performed a detailed research. Our findings reveal that it is a self-regulated network which could be extremely risky for people.
We have shared further details of our analysis in this review. Continue reading and know the truth about Cryptolux and its operational process.
What is Cryptolux All About?
The online financial systems which are currently available for making payments over the internet tend to be slow and attract high transaction fees. The developers of Cryptolux claim that they their coin is designed to simplify the process, make it cheaper and more convenient for people in all countries. They say that anyone can use their service and still be in control of their activities.
Aside from the fact that they offer a payment system, they also offer trading opportunities for investors who are looking to enhance their returns from investments in cryptocurrencies. They say that Cryptolux is the perfect altcoin that is based on decentralized technology and it gives users the freedom to make payments while remaining completely anonymous.
But, the problem is that there are more than one thousand cryptocurrencies already existing on the market. When they couldn’t solve the problem of faster payments and lower transaction costs, then we highly doubt Cryptolux is capable of doing it. This altcoin is extremely new and therefore it can be risky to use for making online payments.
How Does Their Investment Plan Work?
Trading opportunities are also available with Cryptolux. During March 2018, Cryptolux was open for a Pre-ICO and ICO in which people were offered the chance to buy as many coins as they wanted. During the Pre-ICO the total number of coins available was 1M and during the ICO, the amount the company was looking to sell was $5.25M.
They have limited the total number of CLX to 42 million. With their investment plan, investors can buy CLX at lower price and sell them at a higher price for a gain. Investors can also trade CLX with a monthly return of up to 45%. Furthermore, investors can also stake their coins to earn an interest.
Cryptolux has a referral program where investors can refer others and earn commission on the amount they deposit. Daily interest can also be earned by making use of their cold storage. Lastly, through their gaming portal, investors can round up their profits by playing games like Pots and Lots.
The earning opportunities they have presented are vast, but do they really have the potential? We don’t think so. We really think that Cryptolux is operating some kind of Ponzi scheme. This is not a genuine investment opportunity because such schemes are likely to vanish into thin air without leaving any trace behind. Their only aim is to get referrals and depositors so they can fill their pockets. When they are not able to pay their users and run into danger of getting caught, they will shut down their operation.
Cold storage offers enhanced security for digital coins because they are offline as opposed to hot wallets which can only be used online. But the disadvantage of cold storage is that they are expensive to buy and they are not suitable for quick transactions.
Cryptolux: Scam Elements
We conducted a scam analysis and we have managed to dig some shocking facts about Cryptolux. We have no idea about invented this altcoin. There are no details available about their company and their location. They have showcased lack of transparency which makes them risky to deal with.
The kind of returns they are promising sounds impossible because so far, CLX doesn’t have much value. The coin is being sold at approximately $0.50 and they say that after the ICO they will increase its value to $4 per token. This is ridiculous because even at that low price, anyone is hardly showing interest in it.
They have also mentioned that they are not afraid of hacking because the technology they are using is extremely secure. No matter how advanced the technology is, hacking can still take place. Millions of dollars’ worth of coins has been lost in hacking attempts over the years. So their claims are absurd and fake.
Cryptolux is not a viable investment opportunity because they have failed to prove their legitimacy. We believe that they are running an illegal operation and they will close down as soon as they have met their targeted number of depositors.
We don’t recommend this program and we encourage our readers to stay away from it.