Warning Over New Cloud Mining Scam

Reading Time: 3 minutes

• A new cloud mining scam has been pushing its wares on an unsuspecting public
• BlockchainCloudMining.com claims to offer mining of XRP, SOL, ETH, USDT, and USDC
• None of these coins are mineable, while the advertised returns of “up to $9,777 per day” are clearly fatuous

A newly advertised cloud mining platform, BlockchainCloudMining.com, has proven that crypto mining scams are far from over, advertising returns of almost $10,000 per day through the mining of XRP, among other cryptocurrencies. Of course, those with knowledge of the blockchain space will recognize two rather large red flags regarding such claims, but this scam is obviously aimed at those fresh to the space. The company put out a press release yesterday advertising their ‘services,’ promising that “Passive income is no longer a dream for XRP holders” as well as advertising the mining of several other coins that cannot be mined.

Attention-Grabbing Claims

In its press release, published on Sunday, BlockchainCloudMining.com advertised between 100% and 800% annual returns, supposedly generated through “automated, smart mining contracts.” This, of course, throws up the first red flag: XRP isn’t a mineable cryptocurrency. Unlike Bitcoin or Ethereum, all XRP tokens were pre-mined at launch, meaning there’s no way to generate new XRP through mining, although newcomers to the space may, of course, be unaware of that fact.

Then there’s the fantastic earning potential (and the grandiose language):

Such sky-high fees are obviously nonsense, but the inclusion of “as much as” seemingly allows the company to get away with paying out a pittance, if anything gets paid out at all. The company promises “High profit level and daily dividends” as well as “McAfee security” and “Cloudflare security,” which is about as vague as you can get, given that these two companies will have nothing to do with protecting the mining process.

Speaking of the mining process, aside from XRP, the company says it mines eight cryptocurrencies, including ETH, SOL, USDC, and USDT; ETH and SOL are proof-of-stake and not proof-of-work, while USDT and USDC are issued by Tether and Circle, respectively, giving a grand total of five coins the mining outfit offers that can’t be mined.

Trustpilot Abuse Adds to Legitimate Air

BlockchainCloudMining.com has issued multiple press releases advertising its business on a regular basis in the past two weeks, with one carrying the headline “Veteran Trader Earns $9,777 a Day with Blockchain Cloud Mining,” without once referencing such a trader in the article.

Digging into the company, we find more issues. In April 2024, the company filed ‘accounts for a dormant company’, suggesting that it is no longer in business. The entire operation is run by one person, Sharon Henley, with no other employees registered, while the company address listed on its website is that of a company formation agent.

BlockchainCloudMining.com also seems to have gone on a PR binge, with Trustpilot showing a score of 4.8/5 from 77 reviews. This seems good on the surface, but they have all come between April and the past few days, despite the company having supposedly been in business since 2018. What has it been doing for the past seven years? Barely a day has gone by since the first review in April without someone leaving a 5-star review of the company, typically with two or three such reviews left per day. Four were left on July 11 alone.

Anyone with any knowledge of the crypto space can see that BlockchainCloudMining.com is a scam, and we offer the same advice to anyone considering investing in any cloud mining platform: don’t.

The post Warning Over New Cloud Mining Scam appeared first on FullyCrypto.