Rideshare rev Ponzi makes no sense


Intense Stay gives no data on its web site about who owns or runs the corporate.

A company deal with in Sao Paulo, Brazil is offered within the footer of Intense Stay’s web site.

It’s price noting that the Intense Stay’s official advertising supplies present an “administrative headquarters” in Orlando, Florida.

Once you punch this deal with into Google nevertheless, it comes up as a digital workplace deal with belonging to Regus.

Intense Stay’s web site area (“intenselive.com”) was was first registered in 2018. The registration is at the moment non-public and was final up to date on February seventeenth, 2020.

Additional analysis reveals Intense Stay’s official Fb web page citing Max Bispo as the corporate’s CEO.

Advertising movies on YouTube additionally credit score Bispo as Intense Stay’s founder:

Why this data is just not offered on Intense Stay’s web site is unclear.

On Fb Bispo credit himself as an “MLM chief” and “dream vendor”.

4 years in the past Bispo was selling Unidain, which claimed to be a “college of intelligence”.

No matter Unidain was, at present it doesn’t exist.

Potential on account of language-barriers, I used to be unable to peg Bispo to every other MLM alternatives.

As at all times, if an MLM firm is just not brazenly upfront about who’s working or owns it, assume lengthy and onerous about becoming a member of and/or handing over any cash.

Intense Stay’s Merchandise

Intense Stay has no retailable services or products, with associates solely capable of market Intense Stay affiliate membership itself.

Intense Stay affiliate membership supposedly gives entry to a “lease a automobile” program.

On its web site, Intense Stay claims to have its “personal fleet” of “new fashions … for rental”.

Intense Stay’s Compensation Plan

Intense Stay associates make investments funds on the promise of an marketed month-to-month return:

  • Grasp – make investments $300 and obtain $60 a month for 12 months ($720)
  • Conservative – make investments $600 and obtain $120 a month for 12 months ($1440)
  • Average – make investments $1800 and obtain $360 a month for 12 months ($4320)
  • Aggressive – make investments $3000 and obtain $800 a month for 12 months ($9600)

Recruitment Commissions

Intense Stay associates are paid to recruit new associates.

Recruitment commissions are decided by how a lot recruited associates spend on membership:

  • recruit a Fundamental tier affiliate and obtain $15
  • recruit a Grasp tier affiliate and obtain $30
  • recruit a Conservative affiliate and obtain $60
  • recruit a Average tier affiliate and obtain $180
  • recruit an Aggressive tier affiliate and obtain $300

Residual Recruitment Commissions

Intense Stay pays residual commissions through a binary compensation construction.

A binary compensation construction locations an affiliate on the high of a binary workforce, break up into two sides (left and proper):

The primary stage of the binary workforce homes two positions. The second stage of the binary workforce is generated by splitting these first two positions into one other two positions every (4 positions).

Subsequent ranges of the binary workforce are generated as required, with every new stage housing twice as many positions because the earlier stage.

Positions within the binary workforce are crammed through direct and oblique recruitment of associates. Notice there is no such thing as a restrict to how deep a binary workforce can develop.

On the finish of every day Intense Stay tallies up new gross sales quantity on each side of the binary workforce.

Gross sales quantity is tracked in BV, and generated through direct and oblique recruitment of latest Intense Stay associates:

  • recruitment of a Fundamental tier affiliate generates 50 BV
  • recruitment of a Grasp tier affiliate generates 100 BV
  • recruitment of a Conservative tier affiliate generates 200 BV
  • recruitment of a Average tier affiliate generates 600 BV
  • recruitment of an Aggressive tier affiliate generates 1000 BV

Residual commissions are paid out as 10% of generated BV on the weaker binary workforce facet.

As soon as BV is paid out on, it’s matched in opposition to the stronger binary workforce facet and flushed.

Matching Bonus

Intense Stay pays a Matching Bonus on residual recruitment commissions earned by downline associates.

The Matching Bonus is paid through a unilevel compensation construction.

A unilevel compensation construction locations an affiliate on the high of a unilevel workforce, with each personally recruited affiliate positioned immediately beneath them (stage 1):

If any stage 1 associates recruit new associates, they’re positioned on stage 2 of the unique affiliate’s unilevel workforce.

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.

Intense Stay caps the Matching Bonus at 5 unilevel workforce ranges.

The Matching Bonus is paid as a 2% match on residual recruitment commissions earned throughout these 5 ranges.

Residual Commissions (month-to-month charges)

Intense Stay fees each affiliate a $15 month-to-month charge.

This charge is used to pay a month-to-month residual fee, tracked through a 5×5 matrix.

A 5×5 matrix locations an Intense Stay affiliate on the high of a matrix, with 5 positions immediately beneath them:

These 5 positions kind the primary stage of the matrix. The second stage of the matrix is generated by splitting every of those 5 positions into one other 5 positions every (25 positions).

Ranges three to 5 of the matrix are generated in the identical method, with every new stage housing 5 instances as many positions because the earlier stage.

A $2 fee is paid per affiliate within the matrix who pays their $15 month-to-month charge.

Because the affiliate charges are month-to-month recurring, so too are the 5×5 matrix residual commissions.

Rank Achievement Bonus

There are a variety of ranks and corresponding Rank Achievement Bonuses inside Intense Stay.

Beginning at 10K, Intense Stay associates obtain the next Rank Achievement Bonuses:

  • qualify at 10K and obtain a cruise for 2
  • qualify at 100K and obtain a visit for 2 to Europe
  • qualify at 250K and obtain a visit for 2 to Bora Bora
  • qualify at 500K and obtain a 5 day journey for 2 to Dubai, staying on the Burj Al Arab lodge
  • qualify at 1M and obtain a BMW Z4

If I needed to guess, rank qualification is tied to accrued weaker binary workforce quantity.

E.g. to qualify at 10K, Intense Stay associates should generate 10,000 BV in accrued weaker binary workforce facet quantity.

Becoming a member of Intense Stay

Intense Stay affiliate membership prices between $150 and $3000:

  • Fundamental $150
  • Grasp – $300

All Intense Stay associates should additionally pay an ongoing $15 month-to-month charge.

Conclusion

Intense Stay represents it makes exterior income through ridesharing.

This is senseless with respect to month-to-month returns for 2 causes.

Firstly, if Intense Stay already has a fleet of vehicles operational and able to producing annual returns of over 300%, what do they want your cash for?

Secondly it’s a joke to fake ridesharing is a factor amidst the COVID-19 pandemic.

Granted Intense Stay was launched nicely earlier than lockdowns, it’s no secret that Brazil is being completely decimated by COVID-19.

The nation prematurely reopened final month and maintains one the world’s highest demise charges.

Apparently none of that affected Intense Stay although, who proceed to market month-to-month returns enterprise as traditional.

That’d actually be odd if the corporate was actually paying returns solely with exterior income. However I believe you realize the place I’m going with this…

If Intense Stay was to function legally they’d have to supply traders and the Brazilian SEC (CMV) with periodic monetary studies.

These studies can be audited by a third-party and show Intense Stay was actually paying returns with ridesharing income.

There isn’t a indication on Intense Stay’s web site that it has registered with the CMV.

Because of this at a minimal, Intense Stay is committing securities fraud.

Because it stands the one verifiable income coming into Intense Stay is new funding.

Utilizing new funding to pay present associates a month-to-month return makes Intense Stay a Ponzi scheme.

As with all MLM Ponzi schemes, as soon as recruitment dies down so too will new funding.

This may starve Intense Stay of ROI income, ultimately prompting a collapse.

The maths behind Ponzi schemes ensures that once they collapse, the vast majority of contributors lose cash.

One remaining factor I wish to contact on is Intense Stay’s administrative digital workplace deal with within the US.

So far as I can inform Intense Stay has no precise bodily operations within the US. The one cause the corporate would wish a US digital workplace deal with is to finesse banks with till they get caught.

This explains the odd use of USD in Intense Stay’s official advertising materials, versus the Brazilian actual.

What this implies for Intense Stay’s traders, the vast majority of that are more likely to from South America, is that after funds are handed over Max Bispo is squirreling them away who is aware of the place.

That is vital with respect to restoration, after Intense Stay inevitably collapses or is shut down by regulators (both in Brazil or the US).

Don’t say you weren’t warned.

 

Replace twentieth Might 2021 – Authorities in Argentina have begun cracking down on Intense Stay.

Thus far, Intense Stay’s native workplaces have been raided and ten arrests have been made.