Games are made – The NFT scams, scams and other scams are unfortunately all too common in the blockchain world. The ” Pharaoh you Bitcoin ” and others ” Baby Al Capone represent so many almost romantic facts that punctuate the news, often leaving many victims on the floor. This week, it’s the arrest of two casinos in the metaverse that is causing ink to flow. The latter hid his game almost well.
Poker stunt for the US regulator
We learned about it on October 20, 2022 in an official press release from the Texas authorities. The Texas securities regulator, together with Alabama and Kentucky, filing enforcement measures against Slotie NFT, a crypto project on the Ethereum blockchain. The project aims to establish casinos – suspected of fraud – in the metaverse.
The Flamingo Casino Club and the Sand Vegas Casino Club find themselves pinned down by American justice, confirming the thirst for crypto regulation of the international financial policeman:
“State securities regulators have taken the initiative to warn investors about emerging investment programs related to the metaverse. Although blockchain technology, digital assets and metaverses are attracting wide public interest, bad actors are now leveraging their interests to perpetrate fraudulent schemes.”
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NFT and crypto: Slotie takes his cards
From the outset, the project NFT Slotie didn’t bode well. Indeed, our crooks were already in the sights of American justice for sales of NFTs that did not meet the standards of applicable securities lawsthe famous securities. In other words, Slotie was breaking the rules of the game.
The sale of NFTs made it possible to raise funds for the construction de casino in the metaverse. Holding these NFTs allowed for daily passive returns, determined by the scarcity of the NFT. 10,000 NFT Sloties were sold.
All this little game does not stop there. Slotie varies the pleasures. Our brigands would also have issued WATTs, an ERC-721 token on the blockchain Ethereum. The game mechanism of our crooks then falls into place. An NFT Slotie allows you to obtain at least 10 WATT per day. In addition, it is possible to create a Slotie Junior NFT for 1,800 WATT and 2 NFT. Holding a Junior NFT doubles daily passive income and allows land in Slotie’s casino metaverse.
Fool’s game with US crypto regulation
Beyond the frequent litigation over the declaration of NFTs and other assets as securities, American justice seems to be looking into Slotie’s finances. Concealment of funds and lack of transparency are at the rendezvous of this project.
“State securities regulators have discovered that Slotie is illegally and fraudulently trading Slotie NFTs and Slotie Junior NFTs. For example, they accused Slotie of concealing its assets and liabilities, its anticipated use of capital, the identities of partner casinos, and key metaverse casino risks. They also said Slotie violated state registration laws.. These are important laws designed to protect investors.”
A casino that looks like a Ponzi pyramid
Fraud, bad publicity, concealment of funds, identity of partners, misinformation about risks are all ingredients that are supposed to remind us all that it is essential to remain cautious in our still fledgling ecosystem.
So, when we look at even Slotie’s website, a few clues can show us that the land is mined:
- On the LinkedIn profile of CMO Tas Nicolaou the link to its website indicates a non-existent domain name;
- The company developer’s LikedIn page is empty. It has exactly the same text as that of the CMO Tas Nicolaou ;
- More than half of the team don’t mention Slotie on their social media;
- There are no partners despite the existence of a tab on the project website.
And the list continues…
It will not be a question here of peeling all the quirks of this opaque project, but rather of underlining the importance of doing your own research.
Crypto regulators from all countries and even the G20 seem to unite in an effort to regulate cryptocurrencies. Of One Coin at Kim Kardashian, scams, crypto scams and other Ponzi schemes are common. In fact, the metaverse offers a perfect playground for 3.0 scammers. Interpol announced also this night again the opening of its offices in a metaverse criticized, and criticizable. Nothing is going anymore.
Stay away from spammers and scammers. Avoid too-good-to-be-true offers like the plague. On the other hand, also learn to place reasonable trust in respectable and recognized players in the ecosystem. The FTX platform falls without a shadow of a doubt into this second category. Come acquire and trade your first bitcoins and other cryptocurrencies. Register on FTX. You will benefit from a lifetime discount on your transaction fees (commercial link).
