GoldCoin: The Scam

Today I’ll take a look at goldcoin, one of the more interesting coins out there, if only for the fact that it was given a second lease on life to come back and scam the community for a second time. As some of you may remember, goldcoin (GLD) was originally launched back in the middle of may, and had one of the most disproportionate reward structures in cryptocurrency to date.


Take a look:

1 – 200 Block @ 10000 GLD

201 – 2200 Blocks @ 1000 GLD

2201 – 26200 Blocks @ 500 GLD

26201 – 48700 Blocks @ 400 GLD

48700 – 173700 Blocks @ 200 GLD

173701 – 673700 Blocks @ 100 GLD

Of course, this coin was launched with the bare minimum difficulty, so all the 10k and 1k blocks were mined instantly, undoubtedly by the developer and other insiders. It’s also worth pointing out that this coin was launched in the depths of the newbie forum, instead of the altcoin forum. This gave the insiders plenty of time to mine lots of super high value blocks at the beginning. All told, about 8 million coins were generated in the first 24 hours. The effects of this reward structure were pretty damning, check out the first month of the supply chart:

This was the first instamining of such proportions that the altcoin community had witnessed – one that put even feathercoin to shame. Some people bought into GLD and lost money, but the damage was fairly minimal. It was generally regarded as a scamcoin, and rightly ignored. The coin died soon thereafter. And it stayed that way, for quite some time. Being a dead coin, one could acquire lots of GLD for very cheap. It was the perfect oppurtunity for a con man to come along.

Enter Microguy. He proceeded to stockpile all this cheap GLD and then decided that he was going to “relaunch” the coin, trying to bury all information about it’s history. He preys on newcomers, telling them absurd lies with such sincerity that you have to wonder about his mental state.

Later, Microguy forked the client to reduce the reward down even further (to 50), as to further increase the value of his holdings. And now, he sits comfortably upon his piles of GLD, telling lie after lie to the community in an attempt to pump the coin, with the ultimate goal of dumping onto those poor individuals who buy into his rhetoric.

Goldcoin represents everything that is bad about the world of alternate cryptocurrency. It is spearheaded by an individual who cares about nothing other than lining his own pockets. There is not one redeeming factor about this coin; it’s the purest example of a scamcoin to date.

Guugll Search

http://www.guugll.eu/goldcoin-the-scam/