The Department of Finance (DOF) is advising all crypto traders to keep an eye out for a fraudulent get-rich-quick scheme known as “Bitcoin Lifestyle.”
Bitcoin Lifestyle: Is It Trying to Steal Your Crypto?
Bitcoin Lifestyle is largely being pushed in areas such as the Philippines. The scheme comes with a statement saying that current president Rodrigo Duterte is advising all people to learn more about cryptocurrency and get involved in crypto investments through Bitcoin Lifestyle.
The statement continues to say:
The government of the Philippines asserts that tax revenues [from Bitcoin Lifestyle] would be huge and would benefit all citizens, and most of it would go to the financing of the Philippines’ retirement and to counteract the crisis of learning support services.
Many financial experts are now emerging and asking investors to avoid the scheme on account that little is known about it. In addition, the Department of Finance has claimed that neither it, nor any governing body in the Philippines has issued such statements about Bitcoin Lifestyle, nor do they condone the investment practice on account that it is brand new.
Finance Assistant Secretary Antonio Joselito Lambino explained:
This is false. We categorically deny that there is such a move and warn the public against potentially harmful financial transactions with those behind the article. We urge the public to exercise caution in their investments and to keep their expectations of returns realistic.
One of the big problems associated with Bitcoin Lifestyle – according to organizations like the Securities and Exchange Commission (SEC) – is that it is offering considerably high returns. This is always a red flag with cryptocurrency investment schemes in that high returns cannot ever be guaranteed.
A major problem with digital currencies is that they tend to be extremely volatile. Bitcoin, for example, is about $5,000 higher than where it stood two months ago following massive losses thanks, in part, to the coronavirus pandemic. There is always a good chance that one can make a lot of money in crypto, but there is just as much chance at losing everything overnight. Thus, high returns are never something that can – or even should – be promised to investors, yet Bitcoin Lifestyle appears to be doing so.
Advisors Are Warning to Stay Away
Real estate mogul and former senator Manuel Villar says he has never pushed the crypto-investment scheme despite claims from Bitcoin Lifestyle that it has his support. He’s now warning investors to steer clear, explaining:
This is obviously a scam, and I ask members of the public to protect themselves from such an unscrupulous act.
Police authorities in the Philippines report that cybercrime has increased heavily over the last five years. They are now beginning to monitor specific individuals and groups that are suspected of working to lure victims into various crypto scams.