VerdureCoin is a discount version of the old Davorcoin ponzi scheme from 2017 and I expect the same outcome.
- Possible to make gains if you get in early
- No whitepaper
- Unknown team
- No proof of a trading bot
- Possible PONZI SCAM!
As expected VerdureCoin pulled an exit scam after just 19 days. They have a bullshit story about what went wrong, but in reality it was just a scam from day 1. I’m happy that report that no followers of this site signed up for the project.
What Is VerdureCoin?
VerdureCoin initially started out at Ethgrow which should have been the first lending platform running on a smart contract on the ethereum blockchain. This project was scrapped before their ICO launch and was rebranded into VerdureCoin. VerdureCoin didn’t have an ICO phase and does not work as a smart contact anymore just to make that crystal clear. VerdureCoin is now an arbitrage platform and you use their coin to load money into their trading bot system.
There is not much information about the platform on their website and they have not written a whitepaper explaining any details either.
How Does VerdureCoin Make Money?
VerdureCoin claims to have an arbitrage bot which is able to trade on the price differences of bitcoin on various exchanges. But when they explain how they make money on their website, the very first sentence is.
We trade our coin against BTC volatility.
This makes no sense since this is not arbitrage trading. This is pretty much what every first generation lending platform claimed to have, but none of them did. It is also not possible to find any information about their bot, they only list their daily gains.
The VerdureCoin Lending Platform
Just like Arbitraging there are no set lending tiers with VerdureCoin and your money is not locked in for a set period of time. It should be possible to load money into the arbitrage trading bot and withdraw at any time you like. You can only buy VerdureCoin (VER) on their website by sending bitcoins to the platform to buy from their internal exchange. With your VerdureCoins you can now take advantage of their trading bot.
It doesn’t seem like there is a minimum amount you have to load in to the bot in order to activate your package and they claim you can earn up to 2% a day. In the short time I have been following this platform, the daily returns have been close to 1% or a bit above that.
The VerdureCoin Staking Program
You can also stake your VerdureCoins which can be done through their online staking pool. If you choose to stake then your VER will be locked for 10 days and you can expect to earn about 10% new VER coins per month.
A QT wallet will also be released soon, but I’m not sure if this will also grant 10% a month.
The Team Behind VerdureCoin?
The team behind VerdureCoin is anonymous, all that is known is that their are from Florence Italy and they claim to have the best developers. This is of course to the taken with a grain of salt since every platform thinks they are the best.
But lets look at their domains and hosting situation, I will look into both ethgrow.io and verdurecoin.io for good measure. Ethgrow.io was registered on the 12th of June 2017 for only 1 year and is hosted on a shared server. Verdurecoin.io was registered 28th of June for just for 1 year and is also hosted on a shared server solution. As always having your site on a shared server solution and on top of that only buying a 1 year domain registration is a huge red flag in my book.
The Bottom Line
There are a lot of things to cover with this platform, but the first thing that sprung to mind was the website. This is a poor reskin of the davorcoin lending platform and they haven’t given a single fuck trying to make it look good. It looks like it was made in a hurry plus the grammar and spelling errors on the site is pretty mind blowing. The entire platform should allegedly work with arbitraging, but they have somehow found a way to misspell that word 3 different ways. The team clearly goes for the amateur approach and it’s quite a feat how they have managed to make it look like a 12 year old is running the platform.
Another problem with the platform is the missing whitepaper and it seems like the team is just winging this entire platform and making changes as they see fit. The team is very active in the news section and it seems like they are constantly implementing and changing things all the time at amazing timeframes. I mentioned in the beginning of the review that VerdureCoin actually started as Ethgrow which was a smart lending platform on the ethereum blockchain. But somehow they pivoted into an arbitrage trading bot with a scrypt code system for their new coin within a half a month. This seems highly unlikely in my opinion and I really have my doubts about the performance of the bot.
There is also no proof of VerdureCoin is actually having a working trading bot, we just have to go on blind faith. And how does the bot actually work? On the website they claim to be arbitrage trading, but they also claim to be trading against the bitcoin volatility in the first section of the Q&A. Volatility and arbitrage trading isn’t the same, but anyone who has done a little trading should know that. Surely if you have a platform dedicated to arbitraging, then you should know what it is and at least try to spell it correctly.
VerdureCoin skipped their ICO phase and you had to buy their coins using their internal exchange. The problem is that you can’t set the price for the coins, you can only buy and sell for the current value of the coin, which means there is no order book. I can only assume that it’s VerdureCoin who has been setting the price since it’s not the investors, on their website they have claimed the following:
The price of VER automatically moves up and down as people buy and sell.
But how does this work, what amount of coins trigger a rise and a drop in value? How do they decide the % change in the value? It’s all made to seem easy for the investors, but it’s really just a way to keep control of the price. Looking at the recently added price chart it does seems like the price of the VER coin is only going up in value, it doesn’t seem like it’s organic at all. Also they don’t have a real time indicator on the chart X-axis, it’s just a counter from 0 and upwards which is totally useless.
Every platform needs an ICO phase to get their platform going and if you do arbitrage trading you need a large amount of liquid capital on some exchanges in order to take advantage of the price differences. How VerdureCoin was able to just press the start button with only their own capital seems quite strange to me. Just recently I made a review of Platonius which didn’t reach their soft cap for the ICO and they had to close down. Another arbitrage trading platform Arbitao needs 20 million to reach their soft cap in order to perform. But somehow VerdureCoin is just working from day 1, doesn’t that seem a bit unlikely?
Another problem with VerdureCoin is the unknown team plus a poor hosting solution and a domain name with just a 1 year registration period. This will always be a red flag in my book when it comes to long term sustainability of a platform. This coupled with the lack of transparency makes this a very risky investment which is too rich for my blood. With these platforms you can make a lot of money if you get in early, but you really need to know when to pull out.
The biggest turn off for me is that VerdureCoin is a discount copycat version of Davorcoin. They have the same skin for the website, only done really poorly plus Davorcoin also claimed to have an arbitrage trading bot, which they didn’t. It was a flat out ponzi scheme just like Bitconnect. VerdureCoin has a lot to prove before I’m ready to invest in this platform.