Arkbit Review: Boris CEO crypto mining Ponzi scheme
Arkbit provides no credible ownership or executive information on its website.
Supposedly Arkbit is headed up by founder and Chief Financial Officer Thomas Brewer.
“Thomas Brewer” is actually US actor Mike Wolfe. The only professional credit to Wolfe’s name is the 2019 short-film Sugardaddy:
We can rule out Arkbit just using a photo of Wolfe as he appears in at least one marketing video:
That video was shot in rented office space in Little Rock, Arkansas:
Arkbit provides details for several other executives, all of which are assumed to also be actors.
Arkbit’s website domain (“arkbitcapital.com”), was first registered in September 2021. The private registration was last updated on November 28th, 2022.
Arkbit’s social media profiles were created in late 2022, so it appears the domain was acquired by Arkbit’s owners in late 2022.
Typically Boris CEO Ponzi schemes originate from eastern Europe. I was unable to confirm this with Arkbit.
As always, if an MLM company is not openly upfront about who is running or owns it, think long and hard about joining and/or handing over any money.
Arkbit has no retailable products or services.
Affiliates are only able to market Arkbit affiliate membership itself.
Arkbit’s Compensation Plan
Arkbit affiliates invest USD cryptocurrency equivalents on the promise of advertised returns:
- Novice – invest $50 to $4999 and receive 1.6% a day for 120 days
- Plus – invest $5000 to $9999 and receive 1.9% a day for 120 days
- Proficient – invest $10,000 to $24,999 and receive 2.2% a day for 120 days
- Supreme – invest $25,000 to $49,999 and receive 2.5% a day for 120 days
- Exclusive – invest $50,000 and receive 2.5% a day for 120 days (same as Supreme)
- Elite – invest $75,000 and receive 3% a day for 120 days
- Premium – invest $100,000 and receive 3.5% a day for 120 days
- Ultimate – invest $150,000 and receive 4% a day for 120 days
The MLM side of Arkbit pays on recruitment of affiliate investors.
Arkbit affiliates earn a 6% to 7% referral commission on funds invested by personally recruited affiliates.
- Novice to Supreme tier affiliates earn a 6% referral commission rate
- Exclusive and higher tier affiliates earn a 7% referral commission rate
Arkbit pays residual commissions via a binary compensation structure.
A binary compensation structure places an affiliate at the top of a binary team, split into two sides (left and right):
The first level of the binary team houses two positions. The second level of the binary team is generated by splitting these first two positions into another two positions each (4 positions).
Subsequent levels of the binary team are generated as required, with each new level housing twice as many positions as the previous level.
Positions in the binary team are filled via direct and indirect recruitment of affiliates. Note there is no limit to how deep a binary team can grow.
At the end of each pay period, Arkbit tallies up new investment volume on both sides of the binary team.
Affiliates are paid 10% of new investment volume on their weaker binary team side.
Once paid out on, volume is matched against the stronger binary team side and flushed. Any leftover volume on the stronger binary team side carries over into the following pay period.
Note that Arkbit don’t define the pay period. Typically however they are daily, weekly or monthly.
Arkbit affiliate membership is free.
Full participation in the attached income opportunity requires a minimum $50 investment.
Arkbit solicits investment in bitcoin, ethereum, dogecoin and litecoin.
Arkbit is your typical Boris CEO Ponzi scheme.
Although not used as much now that it’s mostly unprofitable, crypto mining has been one of the most popular Ponzi ruses over the past few years.
ARKBIT allows you to start cloud mining the most popular and most capitalised coins with a profit of up to 400x, with our Smart Investment Contracts.
Even if you buy into Arkbit’s marketing ruse, the business model still fails the Ponzi logic test.
Anyone capable of generating 4% a day isn’t graciously giving you access for free. They’re quietly generating that return for themselves, compounding and, in a short amount of time, becoming one of the richest people on the planet.
On its website Arkbit provides the address of the Arkansas rented office it filmed its marketing video in.
Being a passive investment opportunity with ties to the US, Arkbit is required to register with the SEC.
Arkbit isn’t registered with the SEC. This means that, at a minimum, Arkbit is committing securities fraud.
The only reason MLM companies commit securities fraud is because they aren’t doing what they claim to be.
Arkbit isn’t engaged in crypto mining or any other form of external revenue generation. All they’re doing is recycling newly invested funds to pay off existing investors.
As with all MLM Ponzi schemes, once affiliate recruitment dries up so too will new investment.
This will starve Arkbit of ROI revenue, eventually prompting a collapse.
The math behind Ponzi schemes guarantees that when they collapse, the majority of participants lose money.