Okay, let's talk BexBack. You might have heard the ads – 100x leverage! Trade BTC, ETH, all the altcoins! A $50 welcome bonus just for trying? Sounds like a party, right? And maybe it is, for some. But for others, it may be a fiscal encumbrance that sticks with them for eternity.

Democratizing Finance or Digital Casino?

BexBack, like any number of crypto exchanges before it, claims to be democratizing finance. They're saying: Forget Wall Street, forget the gatekeepers! In this game, anyone can join in the fun and rake it in big-time. They’re headquartered in Singapore, have a US MSB license, and accept users from the US, Canada and much of Europe. Over 500,000 traders? Not bad. Plus, zero deposit fees and 24/7 customer support mean they’re rolling out the welcome mat.

That’s VERY much where my red flags begin waving. Look, here’s the thing, I go back and look at the 2008 financial crash. Remember all those "easy money" mortgages? These investments were sold to the public as low-risk propositions. When they blew, they blew the entire economy up with them. This feels… eerily similar.

High Leverage: A Double-Edged Sword?

100x leverage...Let's be real.Not only this, it’s not just “high risk,” it’s some serious fucking risky.Imagine you had to wager your whole paycheck on one spin of the roulette wheel.Now, imagine betting 100 times your paycheck.That's what we're talking about here.

BexBack provides this on BTC, ETH, ADA, SOL, XRP and more than 50 other altcoins. Sure, you could 100x your gains. But the other possibility is that you lost it all – and then some. The 100% deposit bonus? It isn’t even withdrawable, it’s merely added to your margin.

Think about it: BexBack profits from trading volume. The more people they get to trade, the more money they rake in. Let’s be honest, do you really think they have your best interest in mind? They’re not doing you a favor by allowing you to risk blowing up your account!

That’s where the appeal to Gen Z goes haywire. We're a generation that’s been promised the world, only to be handed stagnant wages, crippling student debt, and a housing market that's completely out of reach. So, sure, the promise of the “quick buck” is hugely attractive. But is it realistic? Or is it another insidious trick to allow the system to screw us more?

Who Is Really Benefiting Here?

The lack of KYC is another concern. On the one hand, this seems to fit perfectly with the crypto ethos of privacy and decentralization. But this creates an opportunity for actors with nefarious intentions to abuse the platform. Or they use it to launder money or engage in other illicit activities. And who suffers when that happens? The average user.

BexBack was incorporated in Singapore and has established subsidiaries in Hong Kong, Japan, United States, United Kingdom, and Argentina. Now, imagine the social consequences of extending this much leverage to people in financially precarious positions. First, we should set our sights high and ask ourselves what should happen. Are we building the kind of system that makes those disparities worse? Are we preying on people's desperation?

What I do want to point out is that just by using BexBack, everybody is losing money. Some people will win. The odds are stacked against you. The potential consequences are devastating.

I’m not anti-crypto, but I am anti-predatory practice. And offering 100x leverage to retail investors? That feels pretty damn predatory to me.

Regulation: The Only Way Forward?

I get it. No one likes regulation. But at other times, it’s simply the right thing to do—to protect consumers from their own bad decisions and from bad actors.

  • Leverage Limits: Should there be a maximum leverage limit for crypto exchanges? I think so. Maybe 10x, maybe 20x. But 100x is just reckless.
  • KYC Requirements: Should all users be required to verify their identity? Again, I think so. It's a basic safeguard against money laundering and fraud.
  • Financial Literacy Programs: Should crypto exchanges be required to offer financial literacy programs to their users? Absolutely. People need to understand the risks involved before they start trading with leverage.

Here's the thing: I want to see crypto succeed. I believe it has the potential to revolutionize finance and empower individuals. It’s time the industry be held accountable. If not, it will continue to extract from our most vulnerable and never live up to its promise.

We need to demand better. We need to demand regulation. We need to demand accountability. If we remain passive, these alternative systems like BexBack will continue to grow in the dark. The way to lose is to let them profit from our ignorance and desperation. And ultimately, we’ll be the ones left holding the bag.

It’s not about choking innovation in a cradle, it’s about keeping people safe. Think of it like this: We regulate casinos, right? Just as we don’t allow them to extend infinite amounts of credit or prey on vulnerable communities. Why should crypto exchanges be any different?

So, what do you think? Is BexBack really empowering the people, or is it simply a new iteration of predatory gambling? Let me know in the comments. I want to hear your thoughts. And remember: trade responsibly. Or even better, conduct due diligence and never go near 100x leverage with a ten-foot pole. Your future self will thank you.