What is treasure NFT? Why treasure NFT is raising suspicions

Treasure NFT, a Web3 trading platform claiming to offer AI-driven NFT investments, is facing serious allegations of fraudulent practices, with industry experts and investors warning that it operates as a Ponzi scheme.

The platform has come under scrutiny due to its unrealistic profit guarantees, lack of transparency, and reported withdrawal restrictions.

Claims vs. Concerns

Treasure NFT presents itself as a decentralized NFT trading platform, advertising high daily and monthly returns. The platform claims:

• Daily profits ranging between 4.3% and 6.8%
• Monthly returns of up to 30%
• An AI-driven trading system that maximizes investor gains
• A referral-based reward system for recruiting new users

While these claims may seem attractive to potential investors, financial analysts have raised concerns over their feasibility, warning that such high returns are unsustainable unless new investors continue injecting capital into the system. This mirrors the structure of Ponzi schemes, where older investors are paid using funds from new participants, eventually leading to financial collapse.

Key Red Flags

Multiple warning signs suggest that Treasure NFT may not be operating as a legitimate NFT trading platform:

1️⃣ Unrealistic Profit Promises

• No regulated financial institution or NFT marketplace guarantees fixed daily profits.
• Platforms offering consistently high returns often rely on new deposits rather than actual investments.

2️⃣ Lack of Transparency

• The platform does not provide details about its founders, operational team, or financial mechanisms.
• There is no verifiable proof of its AI-driven trading system.
• Regulatory claims, including an alleged Money Services Business (MSB) license from FinCEN (U.S.), do not validate its business model.

3️⃣ Referral-Based Revenue Model

• Treasure NFT incentivizes users to recruit others through a tiered referral system.
• Legitimate NFT marketplaces focus on digital asset trading rather than recruitment-based earnings.
• This structure resembles pyramid schemes, which collapse when recruitment slows.

4️⃣ Withdrawal Issues and Account Freezes

• Users have reported significant difficulties in withdrawing their funds.
• Some accounts have allegedly been frozen without explanation.
• There are claims of withdrawal requests being rejected or delayed indefinitely.

5️⃣ Fake Reviews and Reputation Manipulation

• Multiple online reviews praising Treasure NFT appear to come from newly created accounts with no prior activity.
• Real user reports highlight financial losses and blocked access to funds.
• The disparity between official claims and investor complaints raises credibility concerns.

6️⃣ Regulatory and Legal Scrutiny

• Authorities, including the Indian government and West Bengal Police, are reportedly investigating the platform.
• Legal experts suggest that Treasure NFT’s structure aligns with classic financial fraud schemes.

Impact on Investors

Numerous individuals claim to have lost substantial amounts of money due to Treasure NFT’s alleged misconduct. Some users initially received payouts, only to face withdrawal restrictions later. Others reported losing access to their accounts after inviting friends and family to invest, resulting in widespread financial distress.

A key concern is the emotional and financial toll on affected users, who not only face monetary losses but also potential reputational damage if they encouraged others to join.

Comparison with Legitimate NFT Platforms

Unlike Treasure NFT, reputable NFT marketplaces such as OpenSea, Rarible, and Treasure Market operate transparently and do not promise fixed profits. These platforms:

• Facilitate actual NFT transactions without recruitment incentives.
• Offer clear operational structures, including details about their teams and financial models.
• Are subject to industry regulations and provide customer support.

Investor Caution Advised

Experts urge potential investors to exercise caution when engaging with NFT and cryptocurrency platforms. To avoid financial scams, investors should:

✅ Verify platform credibility – Research founders, operational models, and user reviews.
✅ Be wary of high-return promises – Legitimate investments involve risks and do not guarantee fixed profits.
✅ Test withdrawals before investing more – If a platform restricts withdrawals, it may not be financially stable.
✅ Avoid recruitment-based schemes – Real investments generate value through assets, not through new deposits.
✅ Use well-known marketplaces – Established platforms provide transparency and regulatory compliance.