The Betting Services and the Neosify Platform do not constitute an investment
opportunity of any kind and are not a collective investment scheme or trust or financial
product of any similar nature
It is not intended or represented that you will receive any form of compensation or
remuneration as a result of using the Neosify Platform or the Betting Services
-Neosify Terms of Use, 4.1.3 C & D, 25 March, 2023
Let's dispel any illusion that these widely-advertised, "safe" staking services are acting in good faith. If you have been around the internet for a while, you may remember a couple of high-profile schemes that started out as enticing investment opportunities. These have all ended as rug pulls do - those who run the website liquidate their assets, their contact channels go unanswered, and the website is left unattended until the domain expires.
In the interest of protecting consumer safety, the website TrustPilot exists as a crowdsourced review system for websites. Naturally, Neosify is represented on there as well - and very positively! At the time of writing, it enjoys a blistering 98% 5-star rating with over 1,700 reviews. Surely, this must be an opportunity worth looking into, right?
Well, no.
But to get to that, let's commit a little bit and log in.
Here is a part of the Dashboard, a simple yet visually pleasing interface with a simple-to-read list of cryptocurrencies to stake. Off-screen is an AI assistant that describes each page and links accompanying videos for how to utilize the services provided.
But we don't care about that - let's see how the staking works on their sign-up bonus, which is a site-exclusive point system that is apparently valued at a 1:1 basis with USD.
Note: Per the website's rules, NEOS is not an asset you can withdraw and is instead a point system which you can stake that gives withdraws in USDT.
As you may have noticed, there is a "Rewards" tab on the slider, which introduces you to a list of "Missions" which all pay out a certain amount of NEOS. This is where some of the oddities start to make sense.
Firstly, your sign-on bonus, which is typically only a fraction of the funds needed to complete a withdraw, is usually able to be applied instantly. This is done to increase the gambler's trust and confidence, but I won't get into how these services tend to work.
Instead, we will focus on what is being required of you up-front.
So, to be clear, within the first minute of signing up your account, you are expected to give a (generally) positive review of the service. Not only that, but you must include a facecam.
Even then, you may very fairly say that the website is under no obligation to just give anyone free money and that this is hardly any different than a common microtask on websites such as MechanicalTurk that would require you to leave a review of a product in exchange for some money. Regardless, it obviously seeks to gain traction on YouTube's algorithm by getting as many of its potential users as possible to talk about the service. Without stating this is good or bad, we will acknowledge it as such. Coincidentally, we will also consider the generous referral rewards that are advertised as well - up to 50%.
Besides this, the website has a very high TrustPilot score, which means it's trustworthy, right?
This is the, "The Voice of Reason" mission, which will net you 15 NEOS in return for a convincingly legitimate (100+ characters) 5-star review.
Neosify does not simply ask for you to shill for its platform, but requires it unless you are willing to immediately send cryptocurrency their way.
I leave it up to the individual to decide whether or not this is a moral and trustworthy business practice, and whether it constitutes a conflict of interest for a service to reward its users for explicitly positive reviews, only to then turn around and use said incentivized reviews as a hallmark of its trustworthiness.
But that's enough about its business practices. Lastly, I will dive into its Terms of Use and Privacy Policy to point out what makes me say - in my opinion - that Neosify is simply a bad casino. I will bold the relevant parts of the following information.
Issue 1: Neosify recognizes that you are not investing, but gambling.
4 SERVICES
BETTING SERVICES
4.1 Staking Services.
4.1.1 During the Operational Period, a Neosify Associate or we may, in our sole discretion,
operate a Staking Node on the applicable supported Staking Network to facilitate the
provision of Staking Services.
4.1.2 Subject to Section 4.1.1, if you want Neosify’s Staking Node to "bid" on your
Supported Digital Assets and to perform Staking Node functions on your behalf, you
a. create a User Account...
Issue 2: You have no right to get your staked currencies back.
4.1.6. If we decide to discontinue Neosify Staking on a Supported Stake Network:
we will notify you in writing of such termination;
You acknowledge and agree that you will not be entitled to receive any Betting Fees
from such Neosify Staking node from the date you receive the termination notice
accordance with Section 4.1.6(a) of these Terms (such date included);
you acknowledge and agree that you shall have no right, claim or cause of action of
any kind against any Neosify Associate (including the Company) in connection with such
termination
d. we or such Neosify Associate (whichever is applicable) will use reasonable efforts to do
everything else necessary to transfer such Supported Digital Assets and Betting Fees
to the appropriate user address(es) designated by you pursuant to clause 4.1.2, less
any deductions or fees (if any) provided for in these Terms.
Issue 3: In the event of insolvency you will only be able to fight other users over whatever is left.
4.2.9 the Supported Digital Assets you provide and your Rewards are pooled with other
Users, and in the event of bankruptcy of the Company, there may be delays in the
identification of your assets and/or claims against your assets by the Company's
4.2.10 because your Supported Digital Assets and/or Rewards will be combined with
other Supported Digital Assets owned by other Neosify Platform Users, you will not have
a legal claim to a specific amount of money or a specific amount of Supported Digital
Assets and/or Rewards. Instead, any claim will apply to the pool as a whole. If there is an
unrecoverable shortage in the pool of Supported Digital Assets and/or Stakeholder
Rewards following a default of the wallet provider, bank or custodian (for example, if it
becomes insolvent), you may not receive your full entitlement to the Supported Digital
Assets and/or Stakeholder Rewards. In such event, you will share in the shortfall pro rata;
4.2.11 you will not be entitled to any interest in the Supported Digital Assets.
Issue 4: Neosify does not consider their service to be, in any way, a profit-generating service.
8 ACKNOWLEDGEMENT, REPRESENTATIONS AND WARRANTIES
8.1 By accepting these Terms, you represent and warrant to each Neosify Associate
(including the Company) that:
a. you acknowledge and agree that the Supported Digital Assets with respect to the
Services shall not be construed, interpreted, classified or treated as:
any type of currency
ii. debentures, stocks or shares;
iii. rights, options or derivatives with respect to such debentures, shares or interests;
iv. rights under a contract for difference or any other contract the purpose or purported
purpose of which is to secure a gain or avoid a loss;
v. units in a collective investment scheme;
vi. units in a business trust;
vii. derivatives of business trust units; or
any form of investment
you acknowledge that no regulatory authority has reviewed or approved these Terms
no such action has been or will be taken under the laws, regulations or rules of any
jurisdiction, and providing you with these Terms does not imply compliance with
applicable laws, regulations or rules;
There is no clause in the Terms of Use which states, "We will steal all of your money and you can do nothing about it". What is stated in the ToU, however, is that they may at any time pull the plug on the service and its users are not entitled to take any action against the company for doing so, since this is an unregulated gambling service which you voluntarily sign on to by giving them your crypto.
I'm sure some people can increase their crypto holdings by using this service. Those who understand that they are effectively loaning their crypto to an online casino which promises a variable interest rate may be able to jump in and out of the service before the floor falls out from under them. However, do not let the lofty claims of "guaranteed" and "10x" returns coerce you into giving them vast amounts of money. Make no mistake, this is a gamble like any other, and its returns are mild. It also does not do any favors to customer confidence to know that the vast majority of their reviews and publicity are, at best, incentivized, and at worst, subsidized. Should you choose to give your crypto to this service, understand the risks and prepare to lose access to all of your assets with no more warning than an e-mail announcing their termination of staking service.
