Demystifying BitClout🚀

Bitclout is a bit confusing🤷🏻‍♂️

There were two opinions about Bitclout from start.

A.) The future of productizing people, and listing them on a stock exchange

B.) Just a marketplace of Shitcoins probably turning out to be a scam.

Let’s unwrap a few things here.

For those who don’t know, Bitclout is a blockchain-based social media platform that ranks users based on their following and reputation. The people behind the project are still unknown, going by the pseudonym ‘Diamondhands.’ A few mentioned @nadertheory to be the one behind.

Now, since its launch on 24th March, Bitclout got a lot of attention from crypto geeks and VCs and has managed to raise hundreds of millions in funding from some of the most prominent venture capital firms.

There’s an old saying, “Bet on the jockey, not the horse”. You must know few people whom you’re willing to invest in and Bitclout just does that for you. The content people create is just a result of them being great leaders, thinkers, storytellers, and entrepreneurs.

Creator Coins — BitClout

So where do we see a problem?

BitClout has a native token, BTCLT, which users can only buy from the developers through BTC. Once a user acquires the BTCLT, he’s stuck with them. This is because there’s no market to sell them off or a way to swap them back for BTC.

Okay, but what’s the problem if users are willing to use the platform anyways?

BitClout has created accounts for celebrities. From Elon Musk, and Naval to Donald Trump and Barack Obama, these renowned figures all have an account WITHOUT THEIR CONSENT.

Not just this, consider if these deemed influencers never get over the platform then what happens to the money invested in them. After all these concerns, people were still willing to invest. What comes ahead then?

Following up on the BTC deposits by those seeking to purchase BTCLT tokens revealed that they end up at one BTC address. This address has received 3,531 BTC, worth $186 million at current prices.

Aside from the exchanges, the only other address BitClout sent funds to has been receiving money from Hydra, a darknet market. But that’s just another mystery. Let’s talk about the first opinion people want to hear!

Diamondhands has refuted such claims, stating that his team is working on this and there will be a cash-out feature soon. Despite the controversy, BitClout has managed to attract funding from almost every other major digital currency VC firm.

While some people have criticized Bitclout, many have already started to build their social profiles over there. My prediction is that this will work in the coming days as eventually, it’s trying to develop human capital. If not Bitclout, someone else!

What do you think?🚀