I have come across this investment site amfeixportal.com, they provide me with a wallet and I have tested that with a small amount. So far they have deposited logical interest rates to my account, but how can I make sure that the money I invest in a cryptocurrency fund is safe and they are not scams?

I always have the fear that if they close their website, how might I access my funds anyway. I would like to know, can blockchains solve this trust problem? so that if the website is closed or the fund managers disappear, investors get their money back some how?

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    The rule of thumb is that if you have to ask if it's a scam, it's a scam. I don't have any knowledge of this particular site, but having a website is a pretty low investment for getting people to give you their money. – Rupert Morrish Mar 1 at 20:01
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    Have you tried withdrawing the money you've already put in? – JB Chouinard Mar 2 at 18:38
  • @JBChouinard Yes, a couple of times, It worked. – Ali Nadalizadeh Mar 3 at 18:45

I personally don't participate or even put any credence in cryptocurrencies. My understanding of the received wisdom of the folks that do participate is that

The number one rule to storing bitcoin is this: if you don’t hold the private keys, you don’t actually own the assets. There are many historical examples of loss due to custodial wallets: Bitcoinica, Silk Road, Bitfloor, MTGOX, Sheep Marketplace, BTC-e, Bitstamp, Bitfinex, Bithumb, Cryptsy, Bter, Mintpal and many more

While Bitcoin ownership may be protected by the blockchain, your relationship with the investment company is not. If you allow a company to hold your private keys, it's really their Bitcoin. If they steal from you, or they simply go broke, your only recourse will be the legal system, and if you intend to pursue a lawsuit across international borders, you'd better have a lot of money and a ton of lawyers.

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DO NOT put money on any investment scheme if you have no idea about the hidden risks.

I will stay far away from this scheme, if it is my friend doing it, I will ask them to withdrawl the BTC before it went bust..

  • You didn't own any BTC because you don't own the key
  • There is no regulator to confirm you hold the BTC
  • the withdrawal is BTC, the cost of convertign BTC to cash is damn high.
  • Like most BTC exchange and scheme, it is flooded with SEO on all cryptocurrency spam news website and no solid case confirmed whether the "investment" is sound or not.

Bear in mind that, Madoff does play a similar stunts before, where the investor cash is never safeguard in any account.

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