XBT News Trader is a new set-up with a cheap-looking website and a low-budget trailer video. The products it purports to offer potential clients can be summed up as “analysis of news”. In the video, accompanied by cheesy music, a narrator explains how vital news are for trading. Through signing up with XBT you will be up to date with all the latest information on crypto, as well as new crypto-currencies. The video goes on about the importance of being among the first-in-line investors in a new crypto in order to reap big profits. We do not get a full picture of the precise product we are being offered, but it goes along the lines of “expert” news analysis. The website even shows all the media outlets it follows:
No name, no address, no number
After thorough research on our part we discover worrisome and nerve-wracking details about the whole operation. It turns out that XBT News Trader is part of a scam that is done in a specific manner. Precisely through a website that offers a new and engaging product, traders are convinced to register and give away their address, phone number and email. Minutes later that same personal data is sent to brokers as “leads” and the registered trader begin getting phone calls with brokers urging them to invest. The point of the website is to get cheap traffic with the nicely laid out promises for fast money.
Furthermore, XBT claims to be endorsed by major media outlets such as CNBC and CoinDesk. However, we can be certain that the information is divorced from reality, because this scam software has not been recommended or endorsed by any media outlet.
No track record
Even if we choose to believe XBT News Trader about it’s new product – which is not advised – there are still problems. To put it bluntly – we have no track record proving the results. In trading there are platforms such as the Zulutrade where you may search through the profiles of different traders and see how much they are winning or losing through tracking every deal he has made and even seeing all the rest of his followers. In such a way you may be certain with what you are involving yourself. Where as with websites such as XBT you are hopelessly shooting in the dark.
No regulatory guarantee
Furthermore, there is absolutely no regulatory guarantee about the whole product. The people behind the website are not overseen by any regulatory agency and you will have no authority for grievances in case you are scammed.
Last, but not least – the mere way in which such operations look for funds should raise major security concerns. If XBT truly did offer an exciting and legitimate product, it would have found an alternative way of financing itself, instead of relying on cheap traffic through a cheesy bait-clicking commercial about itself. They could apply for a credit at the bank or raise money through crowd-funding. Although, in order to do that successfully, they have to be legitimate – which they most likely are not. Another disturbing thing we found was that XBT News Traders claims to be endorsed by popular news channels such as CNBC and CoinDesk. This information is not correct because this scam software has neither received any endorsements, nor recommendations from these media outlets.
All in all, XBT looks like a classic scam operation – the likes of which we have seen a lot – and we advise those interested not to risk it.