Enigma Community operates within the cryptocurrency and foreign currency trading MLM niches.
The corporate is supposedly headed up by founder and President Dave Wiltz.
Who’s Dave Wiltz? No thought. He doesn’t seem to have a digital footprint outdoors of Enigma Community’s advertising.
However that doesn’t matter, as a result of…
The precise individuals behind Enigma Community are J. Joshua Beistle and Doug Wellens.
BehindMLM final got here throughout Beistle and Wellens in 2020, as co-founders of Important Entry Community.
Important Entry Community offered telemedicine subscription companies. The corporate’s web site remains to be on-line however Alexa ranks visitors to it as “n/a”.
Virtually talking, Important Entry Community as an MLM firm is lifeless.
With respect to Beistle’s and Wellens’ MLM histories;
J. Joshua Beistle first appeared on BehindMLM in 2013, as President of the JubiRev Ponzi scheme.
Basically a reload of the infamous Zeek Rewards Ponzi scheme, JubiRev collapsed a couple of months after launch.
Beistle returned in mid 2014 with BrandOnline365, a short-lived pyramid scheme.
Doug Wellens first appeared on BehindMLM in 2014, as co-founder of Infinite Leverage.
Infinity Leverage was a pyramid scheme connected to a advertising platform.
Infinite Leverage was rebooted in 2015 as Visitors Authority. Visitors Authority was rebooted in 2018 as End Line Community.
I additionally wish to notice Enigma Community’s Vice-President of Gross sales, Richard Anzalone.
Anzalone was indicted in 2017 on prison fees associated to Infinity2Global.
Run by Rick Maike, Infinity2Global was a $25 million greenback pyramid scheme.
Anzalone pocketed $800,000 as one of many Infinity2Global’s prime earners. He stands accused of a number of counts of mail fraud and cash laundering.
If convicted, Anzalone is probably a long time in jail.
Anzalone and his co-defendants are scheduled to face trial in July 2022.
I’d even be remiss if I didn’t shout out Enigma Community’s marketed “authorized crew”:
Wellman and Warrens’ largest cock updated was rubber-stamping iPro Community again in 2017.
The SEC sued iPro Community in 2019, alleging it was a $26 million greenback pyramid scheme.
We additionally weren’t impressed with Warren’s authorized evaluation of Crypto World Evolution in 2018.
On its web site Enigma Community gives a company tackle in Las Vegas, Nevada.
Alexa at present ranks prime sources of visitors to Enigma Community’s web site because the Philippines (34%), and the US (19%).
Learn on for a full evaluation of Enigma Community’s MLM alternative.
Enigma Community’s Merchandise
Enigma Community markets the same old MLM crypto fluff for $60 a month (4 weeks):
- Crypto Studying Academy
- RFX Academy
- DeFi Portal
- Copy and paste buying and selling
- Be taught and Earn
- a cellular app
The actual product being offered is entry to an automatic buying and selling bot:
As above, Enigma Community associates make investments funds with Enigma Community’s buying and selling bot.
Passive returns are then purportedly derived by way of foreign exchange and crypto buying and selling.
No specifics of Enigma Community’s buying and selling bots are offered.
Entry to Enigma Community’s buying and selling bot prices a further
- $99 a month for 4 weeks entry to the foreign exchange or crypto bots;
- $999 yearly for entry to the foreign exchange or crypto bots; or
- $2499 yearly for entry to the foreign exchange and crypto bots.
Enigma Community’s Compensation Plan
The MLM aspect of Enigma Community pays on retail and affiliate cost of subscription charges.
Subscription charges embody the training packs and passive returns buying and selling bot (particulars above in “merchandise”).
Training Pack Commissions
Enigma Community pays training pack commissions by way of eleven-deep rating standards:
- Buyer – promote and preserve 3 subscriptions and have your personal month-to-month $60 subscription payment waived
- Tutor 250 – preserve 3 personally offered subscriptions and generate whole downline gross sales of 10 subscriptions (break up 4/4/2)
- Tutor 500 – preserve 3 personally offered subscriptions and generate whole downline gross sales of 25 subscriptions (break up 10/10/5)
- Tutor 1000 – preserve 3 personally offered subscriptions and generate whole downline gross sales of 75 subscriptions (break up 30/30/15)
- Tutor 2000 – preserve 3 personally offered subscriptions and generate whole downline gross sales of 250 subscriptions (break up 100/100/50)
- Coach 5000 – promote and preserve 6 subscriptions and generate whole downline gross sales of 500 subscriptions (break up 400/400/200)
- Coach 10,000 – preserve 6 personally offered subscriptions and generate whole downline gross sales of 1000 subscriptions (break up 400/400/200)
- Coach 20,000 – preserve 6 personally offered subscriptions and generate whole downline gross sales of 2500 subscriptions (break up 1000/1000/500)
- Adviser 50,000 – promote and preserve 9 subscriptions and generate whole downline gross sales of 5000 subscriptions (break up 2000/2000/1000)
- Adviser 100,000 – preserve 9 personally offered subscriptions and generate whole downline gross sales of 10,000 subscriptions (break up 4000/4000/2000)
- Mentor 250,000 – promote and preserve 12 subscriptions and generate whole downline gross sales of 40,000 subscriptions (break up 16,000/16,000/8000)
The “break up” refers to downline leg subscription gross sales ratios. The quantities quoted are minimums to be offered throughout three downline legs.
Observe that retail buyer subscription gross sales don’t generate downline legs.
Because of this from Tutor 250, every Enigma Community affiliate should recruit and preserve not less than three personally recruited associates with an lively training pack subscription.
Corresponding training pack fee funds based mostly on rank are as follows:
- Tutor 250s earn $62.50 every week
- Tutor 500s earn $125 every week
- Tutor 1000s earn $250 every week
- Tutor 2000s earn $500 every week
- Coach 5000s earn $1250 every week
- Coach 10,000s earn $2500 every week
- Coach 20,000s earn $5000 every week
- Adviser 50,000s earn $12,500 every week
- Adviser 100,000s earn $25,000 every week
- Mentor 250,000s earn $62,500 every week
Buying and selling Bot Affiliate Ranks
Enigma Community’s buying and selling bot commissions are tied to a second set of affiliate ranks:
- Affiliate – enroll as an Enigma Community affiliate
- Builder – generate 20,000 GV
- Professional Builder – generate 50,000 GV
- Supervisor – generate 100,000 GV
- Senior Supervisor – generate 200,000 GV
- Regional Supervisor – generate 350,000 GV
- Director – generate 500,000 GV
- Senior Director – generate 750,000 GV
- Regional Director – generate 1,500,000 GV
- Influencer – generate 2,500,000 GV
- Senior Influencer – generate 5,000,000 GV
- International Influencer – generate 10,000,000 GV
Enigma Community’s compensation plan doesn’t make clear whether or not the above GV quantities are accrued necessities or month-to-month.
Buying and selling Bot Residual Commissions
Buying and selling bot residual commissions are paid by way of a unilevel compensation construction.
A unilevel compensation construction locations an affiliate on the prime of a unilevel crew, with each personally recruited affiliate positioned immediately below them (stage 1):
If any stage 1 associates recruit new associates, they’re positioned on stage 2 of the unique affiliate’s unilevel crew.
If any stage 2 associates recruit new associates, they’re positioned on stage 3 and so forth and so forth down a theoretical infinite variety of ranges.
Enigma Community caps payable unilevel crew ranges at 13.
Buying and selling bot residual commissions are paid as a share of buying and selling bot subscription quantity as follows:
- Associates earn 25% on stage 1 (personally recruited associates) and 5% on stage 2
- Builders earn 25% on stage 1, 5% on stage 2 and a couple of% on stage 3
- Professional Builders earn 25% on stage 1, 5% on stage 2 and a couple of% on ranges 3 and 4
- Managers earn 25% on stage 1, 5% on stage 2 and a couple of% on ranges 3 to five
- Senior Managers earn 25% on stage 1, 5% on stage 2 and a couple of% on ranges 3 to six
- Regional Managers earn 25% on stage 1, 5% on stage 2 and a couple of% on ranges 3 to 7
- Administrators earn 25% on stage 1, 5% on stage 2 and a couple of% on ranges 3 to eight
- Senior Administrators earn 25% on stage 1, 5% on stage 2 and a couple of% on ranges 3 to 9
- Regional Administrators earn 25% on stage 1, 5% on stage 2 and a couple of% on ranges 3 to 10
- Influencers earn 25% on stage 1, 5% on stage 2 and a couple of% on ranges 3 to 11
- Senior Influencers earn 25% on stage 1, 5% on stage 2, 2% on ranges 3 to 11 and 1% on stage 12
- International Influencers earn 25% on stage 1, 5% on stage 2, 2% on ranges 3 to 11 and 1% on ranges 12 and 13
Buying and selling Bot Coded Bonus
Enigma Community pays a 20% Coded Bonus on all buying and selling bot subscription quantity.
- Builders earn a 2% Coded Bonus price
- Professional Builders earn 4% Coded Bonus price
- Managers earn a 6% Coded Bonus price
- Senior Managers earn an 8% Coded Bonus price
- Regional Managers earn a ten% Coded Bonus price
- Administrators earn a 12% Coded Bonus price
- Senior Administrators earn a 14% Coded Bonus price
- Regional Administrators earn a 16% Coded Bonus price
- Influencers earn an 18% Coded Bonus price
- Senior Influencers earn a 19% Coded Bonus price
- International Influencers earn a 20% Coded Bonus price
When an Enigma Community affiliate sells a buying and selling bot subscription, they’re paid their corresponding rank bonus price.
No matter is left over is paid upline to greater ranked associates, up till what’s left of the complete 20% is paid to the primary International Influencer.
Coded Bonuses thus permit greater ranked associates to gather the distinction of their Coded Bonus price with lesser ranked associates of their downline.
Buying and selling Bot Verify Match Bonus
Enigma Community pays a Verify Match Bonus on earnings by unilevel crew associates.
- Associates earn a ten% match on stage 1 (personally recruited associates)
- Builders earn a ten% match on ranges 1 and a couple of
- Professional Builders earn a ten% match on ranges 1 and a couple of and 5% on stage 3
- Managers earn a ten% match on ranges 1 and a couple of, 5% on ranges 3 and 4 and a couple of% on stage 5
- Senior Managers earn a ten% match on ranges 1 and a couple of, 5% on ranges 3 and 4 and a couple of% on ranges 5 and 6
- Regional Managers earn a ten% match on ranges 1 and a couple of, 5% on ranges 3 and 4 and a couple of% on ranges 5 to 7
- Administrators earn a ten% match on ranges 1 and a couple of, 5% on ranges 3 and 4 and a couple of% on ranges 5 to 9
- Senior Administrators earn a ten% match on ranges 1 and a couple of, 5% on ranges 3 and 4 and a couple of% on ranges 5 to 11
- Regional Administrators and better earn a ten% match on ranges 1 and a couple of, 5% on ranges 3 and 4 and a couple of% on ranges 5 to 12
Enigma Community’s compensation documentation doesn’t specify if the test match is paid on simply residual buying and selling bot commissions or all commissions.
Bonus Swimming pools
Enigma Community takes 2% of company-wide subscription quantity and locations it into three rank-specific Bonus Swimming pools.
- Influencers earn an equal share in a 0.5% Bonus Pool
- Senior Influences earn an equal share in a 0.5% Bonus Pool
- International Influencers earn an equal share in a 1% Bonus Pool
Becoming a member of Enigma Community
Enigma Community affiliate membership is $15 a month.
Enigma Community’s compensation plan suggests the $60 training package deal is necessary (“gives entry”) for associates.
It additionally seems to be a prerequisite for buying and selling bot subscription entry.
Though all figures quoted in Enigma Community’s compensation plan are quoted in USD, the corporate solely accepts bitcoin.
Enigma Community Conclusion
Enigma Community’s MLM alternative could be damaged down into two distinct parts; an training package deal pyramid scheme and buying and selling bot securities fraud.
The training packages can be found to retail prospects. Builders requiring three downline legs nevertheless interprets into recruitment over retail.
There are not any retail qualifiers so count on retail training package deal membership to be just about non-existent.
This isn’t shocking, seeing because the training package deal subscriptions are only a gateway to the a lot greater priced buying and selling bot subscriptions.
Right here Enigma Community supply a safety by the use of passive return.
To determine the existence of an funding contract, regulators within the US depend on the Howey Take a look at.
Underneath the Howey Take a look at, an funding contract exists if there may be an “funding of cash in a typical enterprise with an affordable expectation of earnings to be derived from the efforts of others.”
In Engima Community we’ve associates inserting funds below management of a bot.
The bot is a “widespread enterprise”. And funds are clearly invested with the bot “with an affordable expectation of earnings”.
The bot is run by Enigma Community, satisfying the earnings are “derived from the efforts of others”.
At time of publication neither Enigma Community, J. Joshua Beistle or Doug Wellens are registered with the SEC.
Foreign currency trading moreover requires Enigma Community to be registered with the CFTC, which it’s not.
Providing securities to US residents with out registering with the SEC is securities fraud. Operating a passive return foreign exchange scheme with out CFTC registration can also be unlawful.
What we’ve in essence with Enigma Community is the “lulz can’t contact our cash” mannequin.
This buying and selling bot mannequin works till it doesn’t, at which level accounts are busted, or the homeowners drain the accounts by way of rigged trades.
Whenever you give entry to your funds to a third-party, Enigma Community on this case, they can do with the funds as they please.
Observe that regulatory registration requires periodic submitting of audited monetary stories. That is to make sure buying and selling corporations are doing what they declare to be.
Social media advertising just isn’t an alternative choice to regulatory registration and submitting of audited monetary stories.
With respect to the pyramid aspect of Enigma Community, math ensures nearly all of individuals in a pyramid scheme lose cash.
The buying and selling bot will work till it doesn’t, leaving nearly all of associates out of pocket as soon as subscription charges are factored in.
These two elements shouldn’t be ignored. That mentioned, securities fraud is Enigma Community’s most urgent regulatory concern.
One want solely have a look at the individuals concerned and their previous scams to see how MLM corporations committing securities fraud play out.
Replace eighth October 2022 – Enigma Community seems to have collapsed on or round Could 2022.
The corporate has been rebooted as BFX Commonplace.