Altcoins and their centralization

[Oshosondy]

I am referring to Floki this time.

The Hong Kong Securities and Futures Commission (SFC) has warned users about Floki staking program, saying 30 to 100% annual profit seem to good to be true.

Floki has banned Hong Kong-based users from joining its staking program.

https://cointelegraph.com/news/floki-memcoin-blocks-hong-kong-users-staking-sfc-regulator

I am disappointed to here something like this. Most coins are centralized in one way or the other. Probably interested users may be able to use VPN or TOR but I do not know.

[Husires]

Without warning the government, saying 30 to 100% annual profit seems to be good to be true, and if this does not raise your red flag, it is better to stay away from investing in staking projects.
Government intervention would be bad, but they cannot close DEXs, so if the project works on any DEX, you will be able to exchange it easily.

[Don Pedro Dinero]

Without warning the government, saying 30 to 100% annual profit seems to be good to be true, and if this does not raise your red flag, it is better to stay away from investing in staking projects.

Above all, that the promoters make the promise of this profitability beforehand. The profitability of bitcoin since its creation is higher, but nobody promised that those who invested would obtain that profitability and could make a fortune out of it. That maybe some staking programme can get the lower end of that return, maybe, but in most cases it will end up like FTX Terra Luna and other fiascos.

[Husires]

Above all, that the promoters make the promise of this profitability beforehand. The profitability of bitcoin since its creation is higher, but nobody promised that those who invested would obtain that profitability and could make a fortune out of it. That maybe some staking programme can get the lower end of that return, maybe, but in most cases it will end up like FTX Terra Luna and other fiascos.

They can give you 30% to 100% APY in tokens not BTC or USD. Where I can tell you to invest $100 and buy Husires token and you will get 50% of the tokens monthly, and after a month you will have 150 Husires token. However, if you decide to sell, you will find that the price of the token is $0.5, so when selling, you will achieve $75 from an investment of $100, i.e. a 25% loss even though the token gave you 50%.

[Aanuoluwatofunmi]

I am referring to Floki this time.

The Hong Kong Securities and Futures Commission (SFC) has warned users about Floki staking program, saying 30 to 100% annual profit seem to good to be true.

Floki has banned Hong Kong-based users from joining its staking program.

https://cointelegraph.com/news/floki-memcoin-blocks-hong-kong-users-staking-sfc-regulator

I am disappointed to here something like this. Most coins are centralized in one way or the other. Probably interested users may be able to use VPN or TOR but I do not know.

we have to make our proper research concerning any cryptocurrency and not even when we are dealing with newly introduced altcoins, information's like this could sounds a warning in general to all potential investors of floki, but we still have to understand the opportunity that may lies in everything that is undergoing human attack, some are making profit while investing on it just as we took same risk on other altcoins for an investment.

[Z-tight]

The warning is accurate and people who don't want to lose their money should take it seriously, i don't recommend staking, especially when the returns is too good to be true like this one, an annual return of 30%-100% is very suspicious, though i know that greedy people would jump on it and complain of being scammed later.

Altcoins are centralized, many of them can censor and ban users as we can see it happening here, if you don't want to be censored or see your coins frozen, use a censorship resistant and permissionless coin like BTC.

[TomPluz]

The Hong Kong Securities and Futures Commission (SFC) has warned users about Floki staking program, saying 30 to 100% annual profit seem to good to be true. Floki has banned Hong Kong-based users from joining its staking program.

I understand why you maybe disappointed that you can never participate with Floki's staking program since the government of Hong Kong made a pronouncement warning people against it...and Floki has no choice but to respond to it by blocking people of that territory. In other words, there is nothing you can do or maybe use a VPN service and circumvent SFC which means you  can be in a more risky situation but since it is your money then you decide. In the world that we live in, we have to face the reality that the government and its minions are here to stay and whether their decisions on something can be right or wrong we have no choice but to abide. I am sure that there can be other staking program options that you can analyze and see if they can fit your taste and situation. Actually, I understand that staking can be a good path towards passive income but we must always be careful with the people behind the program as there are always risks involved.

[Yamane_Keto]

The warning is accurate and people who don't want to lose their money should take it seriously, i don't recommend staking, especially when the returns is too good to be true like this one, an annual return of 30%-100% is very suspicious, though i know that greedy people would jump on it and complain of being scammed later.

Since there is no way for them to get more than 30%-100%, they will mostly use the customers’ money, the new customers pay the profits of the old ones, and so on until they get large profits, and suddenly everything disappears and everyone loses.