Thread: CoinGeneration.com OPPORTUNITY or Scam?

This DG project is shady to say the least. I was curious after one of my mates went nuts and told me about it. Well, I read about the general idea and right away there is a major flaw, maths major or not:
For a 50$ investment you get roughly 6.3:1 for your money a year. Anybody who goes to work, goes shopping, pays for the petrol at a station understands that nothing pays out so much, nothing except a lottery where there is a 10^-99999999999999 % chance to hit something that really pays out. The CG, on paper, pays out 100% of the time AND 6.3:1 to boot.
Okay, so where does this money come from? What kind of a business wants to stastically operate purely in an ever perpetuating debt? But wait there's more..
The project lets everybody use a trial thread, which is active for a month and will net you 30$ if you are online 24/7.

Let's start thinking about this whole scheme - Where does the money come from .. or is there any money on their side in the first place?
The program itself doesn't use ANY significant processing power so perhaps that's just a smoke screen when you connect it to the internet and it starts showing you your earnings and starts changing the earnings INSTANTLY following a strict growth pace and exactly 24.000000000 hours, down to a microsecond, from the starting point you will have earned 1$.
So where does the money come from? Good question, indeed. I was searching for a reference point, googling "Selling computing power", in terms of payout ratios. This is something I found. Gomez PEER pay rates | Gomez PEER Zone. Average earnings are roughly 2.5*10^-4 $ per minute which through constant use leads to 36 cents a day, 10.8$ a month, 129.6$ a year. Well that seems more realistic for whatever *legal? service. To be honest, it still seems utopia to me.

* I'm not too familiar with the Selling-process scheme, is it legitimate, what exactly is your processing power used for?

So what's left? The only explanation I have is a rather radical one, but in my opinion makes the most sense. I am talking about identity theft. This project is a means to fund a select few, making the entire project a big fat scam. The profits are generated by trade of personal details, car registration details even, addresses AND since everybody so willingly does so - their phone numbers. Stolen Credit Card information is an amethyst of quartz, information in abundance - all snatched away by this one cleverly designed program.

I tested this program for myself with a phone number I bought from a local kiosk for a few euro and a laptop computer I intended to do to a full format on anyways and I used a mobile broadband connection, which is a pain in the backside to trace. I verified succesfully, but had to tell them to activate my trial thread, since it didn't activate by itself, contrary to what is advertised on the website. I idled the program for a month making 29.8xxx something dollars. Time to cash in. Trying to select a wallet - I chose Perfect Money, trying to set it up in DG profile - nothing happens. I was ALmost surprised, actually. Another thing is, they don't support either PayPal or Skrill, I believe Skrill being the better of the two, but that's regional I guess. They deal with less known e-wallets, but my biggest question do they deal with them at all? I don't think the wallet companies themselves are fraudulent since all of them operated way before the days of DG.

All the ill I speak of DG is just presumptuous, I have no proof of any of it, but I just don't see this project work in any legal way. Best scenario they are dealing with money laundering using homeusers to do the cleansing for them, without even realising it.

I strongly advise Anyone against using this - there is a saying "There are no free meals".

Originally Posted by cloudchecker

You don't need to follow me but this is how I started:

CPUsage Massive Scale Computing in the Cloud | CPUsage My proposal was rejected about 6 months ago but it maybe because they demand multiple computing nodes.

Hi, Jeff from CPUsage here. Unfortunately, we've discontinued our parter program. It has a lot of potential, but we struggled to make the technology work on the demand side of the equation.

Thanks for your interest and for mentioning us here. Best.

Jeff

I started with CoinGeneration two month ago , I purchased only one thread and invested 20% for give it a try.
I never has been able to withdraw also half of dollars , instead there is not problem if I want buy a thread , so no trouble for put money but a lot for withdraw.
Some guy report that them can withdraw , I think CG allow at some people to do it so that the people still believe in the project.
By some report seem also that CG allow to withdraw only at people that have little thread , in this way the company don't have to pay a lot.
This project smell of scam more and more every day.
I assumed it because I did some count , if CG have 400,000 members and every members can reach 100 thread and 36,500 $ of earning at year , how this company could pay this huge amount of dollars ?
It's impossibile , neither Bill Gates could do it.

I have used coingeneration for free, no thread bought. I earned 15$ and was able to withdraw them through my payza account to use them at lrapshop.com (there I had problem). The problem is that they don't use paypal, which is widely used.

It is a scam!
It is a ponzi scheme with a little twist (using software)
but generally it is a ponzi scheme and it will not last longer.

Originally Posted by n0buddy

It is a scam!
It is a ponzi scheme with a little twist (using software)
but generally it is a ponzi scheme and it will not last longer.

The signs are already there:

Today there is another comunicate from DG , it say tha the payment will be avaible the next week , it say that since 3 months , so I don't trust anymore.

Another one bites the dust
Another one bites the dust
And another one gone, and another one gone
Another one bites the dust

CoinGeneration thread, MMG HYIP ponzi forum