In this AWS Mining review, we are going to look at this project to understand if it is worth investing in or not. I’m sure that someone pitched the possibility of earning bitcoins through AWS Mining so you want to know what you are getting involved with if you signed up for this program.
If you’ve come across this crypto mining project, you probably did through one of the affiliates that are promoting the scheme. If you’ve been in crypto for an extended period of time, this project would strike you as one of the many crypto based scams that have flooded the industry since the 2017 rise in the value of Bitcoin.
Bitcoin Scam Investments Threaten Industry
Every experienced Bitcoin enthusiast knows that ponzi scams are among the greatest threat to the cryptocurrency ecosystem because investors who lose their money through shady crypto scams wouldn’t be interested in future investment.
Also, the industry especially at its low times needs institutional funds to boost the value of Bitcoin as a digital asset as well as a token for transfer of value. Institutional investors would not be forward in putting their funds in the industry unless they are certain that the funds are safe.
Incidents of frauds and shady investment schemes do not augur well for the industry. This is the essence of reviews to discourage investors from patronizing scam projects where their funds are stolen.
AWS Mining Services
AWS Mining is a company that claims that they have been involved in bitcoin mining since 2015. It has an Australian office which Cryptoinfowatch found to be a virtual office. AWS also stated on its site that it has invested in bitcoin mining hardware prior to officially registering the company.
The site claims that it has mining operations has a global spread in places like China, Paraguay and Russia but a closer investigation shows that there is no evidence that AWS is actually involved in any sort of mining activities. Rather, the company has all the features of Ponzi scams that depend on recruiting new affiliates for sustenance.
The AWS site is selling what it indicated as CMP or mining plans. The cheapest 0.1 CMP costs $40 while 1 CMP and 10 CMP cost $400 and $4000 respectively.
The company is offering its affiliates 10 percent commission on all deposits their recruits make when they buy any of the plans.
Is AWS Actually Mining Any Cryptocurrencies?
Even though the company claims to own mining farms where it mines bitcoins, investigations have shown the contrary. One recurring factor about scammers is that they always try to prove legitimacy to investors so use all imaginable evidence even if it borders on the melodramatic.
When I first visited the AWS Mining website, I was quite surprised to see actual mining rigs displayed with pictures of a staff wearing shirts with “AWS Mining” written on them. This was most unexpected since I was certain that all the features of the projects points to a Ponzi scam.
A Determined Ponzi Team
However, further investigations revealed that the people behind the AWS Mining are expert scammers that go to any lengths to convince investors that they are what they claimed to be.
Reverse image engineering showed that the mining farm that AWS claims as theirs actually belongs to HAOBTC, a China-based bitcoin mining company. Who knows how the AWS managed to get a staff put on AWS T-shirt in HAOBTC farm. One of the workers has been identified in a video made by HAOBTC.
Other claims that AWS made on its site in the bid to prove legitimacy:
“The client guarantees that he is familiar with the cryptographic currencies and Bitcoin in particular and that he understands that the output of mining may vary from time to time based on the bitcoin protocols that are adjusted, which determines the amount of computing power that Miners need to solve the next set of blocks. The above results are not a guarantee of future performance and tax laws may be subject to change.”
The above is just as if the client needs to understand cryptography to be an investor but it is just the scammer’s way of claiming expertise in mining of bitcoins even though they are clearly not mining any.
A strategy of AWS Mining is billing their mining plans in dollars, a rather odd move by a bitcoin mining company. All Bitcoin enthusiasts are aware that real miners make their calculations in BTC and rarely in USD.
In fact, any experienced bitcoin user would quickly notice that the site doesn’t belong to people that are fully involved with the BTC community but to crypto scammers taking advantage of the popularity of Bitcoin and people’s ignorance to enrich themselves.
Who Are Behind AWS Mining?
There are images of four men on the site. These men are known to be associated with Ponzi schemes in the past. These schemes are BBOM, MYCOINDEAL and INTERBBOM.
They are Ivan Alberton – facebook.com/ivan.alberton.98, Daniel Beduschi, Eric Mu, Alexandre Campos – facebook.com/alexandrecamposoficial and Tiago Kirsten. These men were mostly behind the defunct MYCOINDEAL scam.
When Reality Contradicts Claims
The company is presently using CNPJ 14,523,891/0001-75 a Brazilian company registration code as a front for AWS Mining even though the team claims that they are based in Australia.
Further analysis of the site traffic shows that most of the earliest traffic (33 percent) came from Brazil, a pointer that AWS is a scam operated from out of Brazil and not from Sydney Australia.
The names of the operators is another evidence that this is a Brazillian scam. These are certainly Latin Americans.
Furthermore, a whois search shows that the company was registered on April 8, 2017 and site content updated July 28, 2018.
Like all Ponzi scams, AWS Mining is not expected to last long, however the promoters and operators of the scheme would focus on more recruitment using every available strategy since they are aware that the so-called mining is a sham.
In fact, AWS pricing section cleverly didn’t specify how much investors should expect when they buy the mining plans but rather used a vague “Maximum Return Contract=200%” This means that if an investor didn’t recruit new affiliates, they could be paid 2 percent after the 90 day “Money Back” period. With assured 10 percent on new recruits, AWS is a classical Ponzi scam.
An Embarrassing Outing
In September last year, the AWS Mining Facebook page posted a photo-shopped image of their COO at the World Digital Mining Summit. BehindMLM called the faux a failed attempt to deceive.
Investors in the fake mining site should understand that they are being taken for a ride. Ponzi scammers know when to pull out – this usually happens when they see their profit has started going down. The losers would be the recruits that have just bought the fake mining plans.
The quest for money and greed is the driving force behind ponzi and pyramid schemes. It is morally reprehensible to promote these projects because the main beneficiaries always would be the scammers.
If you’re involved in this program, you may share your experience in the comment box below. However, for the cloudmining service I use, check this.