Somewhat than deal with securities fraud warnings issued across the globe, Crowd1 is urgent forward with “however we now have merchandise!” pseudo-compliance.
In a company weblog submit dated July seventh, Crowd1 introduced partnerships with LifeTRNDS, SAfer and Tribute.
LifeTRNDS is a reduction journey reserving portal run by Mark Seyforth.
Seyforth final featured on BehindMLM as CEO of Goodlife USA again in 2016. Like LifeTRNDS, Goodlife USA supplies entry to a reduction journey reserving portal.
Goodlife USA nonetheless has a web site up with an Alexa site visitors rating of two.6 million. For an MLM firm, that’s pretty much as good as useless.
SAfer markets itself as a private safety cell app.
SAfer’s web site area was first registered in 2019 however final up to date on July 4th, 2020.
HTML parts on the location have been uploaded in June 2020, suggesting SAfer’s web site was solely arrange throughout the final month.
The Wayback Machine’s solely snapshot of SAfer’s web site is dated July 4th, 2020.
SAfer’s web site registration is non-public, save for the registrant’s nation given as New Zealand.
SAfer is developed by Panic Guard, who on their web site market a “white label cell app”.
The plain conclusion right here is Crowd1 white-labeled a third-party safety app. They’re now disingenuously attempting to move SAfer off as an unbiased firm.
Tribute markets a bunch of fragrances on their web site. A pop-up exhibited to guests additionally pitches them on “easy methods to turn out to be a millionaire”.
Tribute’s web site area is registered to Steve Naude, via an deal with in Lagos, Nigeria.
Additional analysis reveals previous to attaching itself to Crowd1, Tribute was a failed perfume themed MLM opp.
There are two takeaways from Crowd1’s announcement:
- including issues to Crowd1 doesn’t change the very fact it’s a Ponzi scheme; and
- the one cause individuals signed as much as Crowd1 was to take part in stated Ponzi scheme.
No person joined Crowd1 to buy low cost journey within the midst of a worldwide pandemic. Or to make use of a white-labeled safety app, or to purchase fragrances.
They signed as much as make investments cash and accumulate passive returns. Something past that’s wishful considering after the very fact on Crowd1’s behalf.
On the regulatory entrance it doesn’t matter what you connect to a Ponzi scheme. Fraud is fraud and makes an attempt to legitimize fraud are ignored by regulators.
Sadly Crowd1 primarily targets victims in third-world nations, so regulatory motion is lagging.
One fascinating final result of Crowd1’s pseudo-compliance is BusinessForHome giving the corporate its seal of approval.
After BusinessForHome documented a number of of the regulatory warnings issued in opposition to Crowd1, proprietor Nuyten claims “company administration reached out”.
Based mostly on their compliance efforts we now have put again Crowd1 in our Enterprise For Residence database.
We’re unsure when Crowd1 company “reached out” to Ted. What we are able to inform you is BusinessForHome didn’t cowl the South African NCC’s investigation announcement, or Côte d’Ivoire banning Crowd1 for being a rip-off a number of days in the past.
Whether or not Crowd1 “reaching out” to BusinessForHome concerned cash altering fingers was not disclosed.
It’s no secret that Crowd1 recruitment has stalled over the previous few months, and so we enter the Ponzi end-game.
Within the midst of its collapse and regulatory shutdown, Zeek Rewards added Purchasing Daisy, an ecommerce platform.
TelexFree added extra VOIP companies. OneCoin added DealShaker, additionally an ecommerce platform.
None of those pseudo-compliance makes an attempt modified the truth that Zeek Rewards, TelexFree and OneCoin have been Ponzi schemes.
With payouts tanking and commissions drying up, renewed promotion on BusinessForHome apart, it’s going to turn out to be more and more tougher to pitch Crowd1 to new victims.
I think after Crowd1’s newest pseudo-compliance flops, the corporate will proceed struggling to pay returns.
As of July eighth, Ted Nuyten claims Crowd1 is forecasting a billion {dollars} in funding from six million associates by the top of 2020.
Regulatory motion has been taken in opposition to Crowd1 in Norway, Namibia, Paraguay, the Philippines, Mauritius, Gabon, Vietnam, South Africa (FSCA and NCC) and Côte d’Ivoire.
Crowd1 is operates via Spanish shell firms. The Ponzi scheme is run by Swedish scammers Jonas Erik Werner and Johan Stael Von Holstein.
Up to now neither Swedish or Spanish authorities have taken any public motion in opposition to Crowd1 or its executives.