Why Is Tidex Allowing Users to Trade a Potential Ponzi Currency?

TheMerkle Tidex Monspace Ponzi

Cryptocurrency scams have been rather easy to come by over the past few years. For every legitimate project or currency out there, at least a handful of scam projects exist. Over on BitcoinTalk, there is a lot of debate regarding the Tidex exchange’s decision to list a notorious Ponzi coin. Scam accusations are flying back and forth, even though there seems to be some compelling evidence to back up the claims right now.

The Tidex Exchange Controversy

A lot of people have come across the Tidex exchange in their search for altcoin trading platforms. Although the company is not one of the bigger players in the game by any means, Tidex is a well-known name in the world of cryptocurrency these days. With very little publicly-known information about this exchange and some dubious coin listings, it is only normal that people would start to question its legitimacy. So far, things are not looking all that great for Tidex right now.

That being said, there are some interesting points raised in the relevant BitcoinTalk thread. For instance, the Tidex platform looks perfectly legitimate at first, as it has some interesting trading markets and plenty of trading volume to back them up. Its interface also looks relatively professional, considering the company’s small size. Moreover, the Waves team is involved in this exchange, which lends it some degree of credibility in the long run.

At the same time, one has to take the good with the bad. The bad comes in the form of listing MSD, a currency which is considered to be an MLM currency on the same level as OneCoin. MSD refers to Monspace, a currency lacking a wallet, source code, a block explorer, and seemingly a GitHub repository. All of this begs the question as to why this currency exists in the first place, let alone why it is valued at US$0.02 right now.

While it is understandable that smaller exchanges must list some lesser-known coins to gain trading volume, MSD may prove to be a rather bad decision by the Tidex team. The desire for more information regarding this currency led us to the BitcoinTalk thread which contains some video and information from Quora. However, this seems to confirm that there is only one person behind this currency right now, and even he may be a straw man of sorts.

Neither of these sources of information gives MSD any form of legitimacy, mind you, and only serves to raise even more questions as we speak. Several scam warnings regarding this currency have been posted across other sites as well. It is evident a lot of people are genuinely concerned about Monspace and the threat it may pose to the cryptocurrency industry as a whole.

So far, it seems Tidex fully supports BND, although it is unclear why they would do so in the first place. There is an SEC warning about Monspace in the Philippines, which only confirms this currency is far less legitimate than some people may want to make it look. Without a known coin supply or any indication as to what the specifics are regarding this  currency, any platform openly trading it deserves to be scrutinized. It is possible that the Tidex team is unaware of the issues regarding MSD.

Publication date: 
10/12/2017 - 20:00
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