Bit Cycler Review: Three queue cycler Ponzi positions
There is no information on the Bit Cycler website indicating who owns or runs the business. Infact, at the time of publication the site is nothing more than a login page.
The Bit Cycler website domain (“bitcycler.com”) was registered on the 6th of October, 2016. Francisco Gomez of 3fera is listed as the owner.
3fera appears to be web design and marketing company based out of Spain.
The official Bit Cycler Facebook group lists three admins; Tonatiuh Cordero, Antonio Solis and Armando Castillo.
Presumably one, two or all three of these individuals are running Bit Cycler. I wasn’t able to conclusively verify who.
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.
The Bit Cycler Product Line
Bit Cycler has no retailable products or services, with affiliates only able to market Bit Cycler affiliate membership itself.
The Bit Cycler Compensation Plan
Bit Cycler affiliates purchase positions in three straight-line queue cyclers.
When two new positions are purchased in each queue, the position at the top of the queue is paid a cycler commission as follows:
- Cycler 1 (positions cost $20) – $26 cycler commission
- Cycler 2 (positions cost $50) – $67.50 cycler commission
- Cycler 3 (positions cost $100) – $140 cycler commission
Once a cycle commission has been paid, the cycling position is removed from the queue and all existing positions move up a place.
Referral commissions are available on position purchases by recruited affiliates, paid out via a unilevel compensation structure.
A unilevel compensation structure places a Bit Cycler affiliate at the top of a unilevel team, with every personally recruited affiliate placed directly under them (level 1):
If any level 1 affiliates recruit new affiliates, they are placed on level 2 of the original affiliate’s unilevel team.
If any level 2 affiliates recruit new affiliates, they are placed on level 3 and so on and so forth down a theoretical infinite number of levels.
Bit Cycler cap referral commissions down five levels of recruitment.
All Bit Cycler affiliates earn referral commissions on personally recruited affiliates. To earn on levels 2 to 5 of their unilevel team they have to recruit at least ten affiliates.
Subject to the above qualification criteria, Bit Cylcler referral commissions are paid out as follows:
- level 1 (personally recruited affiliates) – 10%
- level 2 – 5%
- level 3 – 3%
- level 4 – 2%
- level 5 – 1%
As Bit Cycler affiliates grow their unilevel team, the above percentage amounts are increased:
- recruit 100 affiliates – 13% on level 1, 7% on level 2, 4% on level 3, 2% on level 4 and 1% on level 5
- recruit 1000 affiliates = 15% on level 1, 8% on level 2, 5% on level 3, 3% on level 4 and 1% on level 5
- recruit 10,000 affiliates = 20% on level 1, 10% on level 2, 6% on level 3, 4% on level 4 and 2% on level 5
Joining Bit Cycler
Bit Cycler affiliate membership is free.
To participate in the attached income opportunity however, affiliates must purchase at least one cycler queue position ($20 to $100).
Note that all payments within Bit Cycler are made in bitcoin.
Conclusion
Bit Cycler is a pretty bare-bones Ponzi scheme.
Affiliates invest $20, $50 or $100 on the promise of a respective $26, $67.50 or $140 ROI.
As per the cycler queue system, that ROI is paid out of subsequently invested funds and makes Bit Cycler a Ponzi scheme.
Simple scams like Bit Cycler as typically launched around Christmas time, with the intent of gouging victims just before the holidays.
An admin quickly whips together a site, preloads a bunch of positions and then opens to the public.
Christmas rolls up, the scheme collapses and the admin does a runner.
As with all Ponzi schemes, Bit Cycler’s collapse will hit when new affiliate investment runs out.
At that point affiliates who’ve spent more than they’ve stolen from other Bit Cycler affiliates lose out.
With two new position purchases required to generate one ROI in each queue, most Bit Cycler affiliates will walk away with a loss.