I think it is not too difficult to make those percentages. I paid them in BTC and BTC went up by 10% at least in the last 4 days and they paid me back 5% in interest in those 4 days :) They also have their own coin Bitconnect which is trading at around $90. It has a market cap of $500M, so I guess they can payout but I also believe they may not be able to sustain these rates forever
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So they are probably acting as a financial investor? You lend them your funds and they try to earn from it by trading other crypto.
Yes they earn from trading