SwachhCoin Scam | Cleaning your Money ? Avoid Trading/Investing


I will try to keep it short, but since we did cover about Swachhcoin, I thought it was necessary to provide an update to the users. Last year we were contacted by Swachhcoin marketing Team for creating content around Swachhcoin, so more users are aware of the new project. Since the project was from India and looked legit, we did create a video and articles around it, and for the effort, we were given SCX or Swachhcoin tokens. We usually charge ETH/BTC in case of promoting new products but since in the case of ICOs companies are trying to raise funds, so we accepted the tokens.

Everything was going well, and I won’t deny I just kept a minor check on the coin, what are the updates and how is it going. I was not involved much but kept reading how their sales were amazing, but they still kept extending sales. Sale after sale after sale, the process never stopped, made me wonder what’s going on but then again it might be a team working hard to raise more funds since the market went through a terrible time and most small currencies entirely wiped out from the market.

So after growth phase, pre-ICO, ICO, executive, Diwali bonus, HODL bonus, Navriti Bonus, Referral bonus sales and few others finally it was announced they are getting listed.  They were supposed to be listed on Latoken, I wonder what happened to that but a new exchange Partner DobiTrade was announced, and Dobi confirmed the same on their twitter handle.

I won’t deny,  I was excited since its been like 8 months since we worked with the Swachhcoin Team to promote the coin so that a new ICO from India can be successful. But now starts the tricky part, first, the team announced KYC process which was not mentioned earlier and even in their telegram group and bitcointalk the team stated KYC is not needed.

I could see a lot of unhappy investors in the telegram group but one by one it seems they were banned from the group or no one responded to some tough questions being raised. Also, unlike professional teams where KYC is done on the site and users can see the status of KYC, it was done via Google forms and it was announced that in case KYC fails users will get an email. A good way of gathering data and documents of users.

Again I felt, I should do the KYC since I had tokens from the company in return of promoting them on our site and channels. I submitted the documents thinking everything should be fine though I was reluctant and a lot of users were angry in the group. 1 of the users by the name @mmmjohn is filing a court case against malpractice being done by the company regarding the KYC process.

The admin deleted all the messages sent by him or any other person who was angry, and everybody was banned without explanation. It seems that the company is too sensitive if someone calls them a scam or ask a legit question.

Not sure about the legal process or consequences here if a company promises no KYC and suddenly ask them. Anyways KYC was ok, but then I observed the fact that they said they had started the token distribution for bounty users. I went on the https://etherscan.io/ site to see the transfers but I was surprised to see 2 SCX contracts on the platform. Strange isn’t it?

I thought anyone could create a similar token name contract so 1 might be fake, but it wasn’t the case. All initial token distribution to us and many other users were done from Contract 1 i.e : 0x3afe47a46289b8ee2597ef8d8ce7bebf0f64172e. And last transfer on this contract was like 6 months ago and suddenly the company created a new contract i.e 0x75189bb6accb9732079e768a6202dc2dd84b63d2 and started new transfers on it.

The transfers on this new contract started just after the transactions were stopped on the previous one. You might ask, there might be an issue with contract, maybe it was compromised? Who knows but a public announcement should have been done, right? Wrong, no such announcement was made and they silently shifted to a new contract without any public update on their medium blog.

I asked the questions in the telegram group and yes I pointed out this seems to be a scam and shady practice and was banned immediately. No one wants to answer the question. I again wonder why. Take the example of TradeToken, TIO which announced multiple times when they were forking from TIO to TIOx due to compromise and hacks.

But this was not the case with Swachhcoin, they thought no one would notice, but well someone did notice. I wonder what happened to all other other investors and promoters who got the coins on the old contract which are useless.

Now I decided to check further; the initial documentation said that 5 million USD soft cap and it was mentioned that they were able to reach that, but if you look at the new contract it hardly seems that they have sold even half of the soft cap amount to other investors.

Then I decided to make an official tweet about the project on my personal twitter handle where I did call them a scam and guess what I got a reply from their marketing team after the tweet was published. Understandably they were not happy and the Person who is their marketing head called me an Idiot and jerk.

I guess they were angry, and they should be either I am ruining their scam or affecting a genuine project — genuine, wink wink. So I mentioned I would publicly apologize and accept my mistake if they can share a URL of announcement where they mentioned they are changing their contract and the reason. Also, if they updated users that old ones will get new tokens.

They say they did but still waiting for proof, well I guess they are writing the announcement right now and will share it, who knows but I checked their Medium blog no such announcement and the reason for the change in the contract was published. We waited for a few hours which was enough to find the URL if any but as I said there was no announcement.

They are even using their team twitter handles to abuse me. Those handles were active only in June for Swachhcoin promotion and now are again active just replying to me. HaHa, Funny tactics. Their team member even said: “We would snatch away all your tokens and no tokens will be awarded to you” Like I care now when I know its a shady project. Oh and yes, when you guys created a new contract old one was anyways inactive, learn Blockchain !! Or were you planning to use 2 contracts? one to fool users and one to fool exchanges to get listed and get more money.

They had 100k telegram users but it fell to a much lower number as telegram removed bot accounts. So here is a summary of what I have learned and why this project looks like a scam to me:

  1. Arrogant Team Members who will ban you, call you jerk and idiot if you have a tough question for them or if you ask why they are doing something wrong.
  2. Change in the contract without any public notice.
  3. Even with 1 day left for the listing they won’t distribute coins to many users and I don’t think they have many investors, all I see in the telegram group is complaints. What they might do is just dump their coins on new users if anyone tries to buy and just enjoy more cash.
  4. Fake telegram users and using bots to inflate number on the telegram
  5. Endless sales with no clear indication of the number of tokens sold. Maybe no one is buying and just sold few, who knows.
  6. Zero or No Transparency

PS: Yes, we did charge them for promotion (their tokens) as it looked a legit project. It was a marketing move, its like buying ads on the site. We might have received the tokens on the new contract too if we just told them to give us tokens again but we chose not to do that as we don’t need money if it is coming from the pockets of the normal users who will get burned due to price crash later when the company dumps their coin.

Now it’s up to you if you still want to invest or trade a shady coin.

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