Capital Expanse Review: “Trading script” ICO lending Ponzi
Capital Expanse provide no information on their website about who owns or runs the business.
The Capital Expanse website domain (“capitalexpanse.net”) was privately registered on September 22nd, 2017.
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.
Capital Expanse Products
Capital Expanse has no retailable products or services, with affiliates only able to market Capital Expanse affiliate membership itself.
The Capital Expanse Compensation Plan
Capital Expanse purchase CAPX points from the company’s anonymous owners.
CAPX points are sold for between 50 and 90 cents worth of bitcoin each.
Once acquired CAPX points are “lent” back to the company on the promise of a daily ROI of up to 1.5%:
- invest $100 to $1000 and receive a daily ROI for 290 days
- invest $1001 to $5000 and receive a daily ROI plus .05% daily ROI bonus for 240 days
- invest $5001 to $10,000 and receive a daily ROI plus 0.1% daily ROI bonus for 180 days
- invest $10,001 to $50,000 and receive a daily ROI plus 0.15% daily ROI bonus for 120 days
- invest $100,000 or more and receive a daily ROI plus 0.2% daily ROI bonus for 80 days
How much Capital Expanse affiliates who invest between $50,000 and $100,000 receive is not clarified.
Note that early ROI withdrawal is possible, however if applied for Capital Expanse charge a 20% fee.
Referral commissions are available on funds invested by downline affiliates, paid out down three levels of recruitment (unilevel):
- level 1 (personally recruited affiliates) – 10%
- level 2 – 5%
- level 3 – 2%
Gamified Crypto appears to be Capital Expanse’s attempt to reward affiliates for reinvesting.
- Bronze – reinvest five times and receive a $1 reward
- Silver – reinvest another twenty-five times and receive $2 reward
- Gold – reinvest another seventy times and receive a $5 reward
- Platinum – reinvest another one hundred times and receive a $10 reward
- Diamond – reinvest another three hundred times (or recruit three hundred investing affiliates) and receive a $20 reward
- Moon – reinvest another four hundred times (or recruit at least one thousand investing affiliates) and receive a $50 reward
The rewards seem kind of low so I’m not sure if it’s per reinvestment.
Also not stated is whether Capital Expanse pay Gamified Crypto bonuses in USD or CAPX points.
Joining Capital Expanse
Capital Expanse affiliate membership is free, however free affiliates can only earn referral commissions.
Full participation in the Capital Expanse MLM opportunity requires a minimum $100 investment.
Capital Expanse claim to generate ROI revenue via a “trading script”;
Our trading script has been developed to utilize and execute a robust set of tasks and algorithms. We closely monitor and perform daily maintenance checks on our script.
There is of course no evidence proving this script exists. Nor does Capital Expanse provide any evidence of external revenue generated via the script being used to pay affiliates.
Instead Capital Expanse preys upon “the average person who doesn’t know much about the (cryptocurrency) space”.
We aren’t doing the norm; our focus is to create an extraordinarily yet simple and userfriendly ecosystem for cashflow and passive income that is easy to grasp from the very first encounter.
The only verifiable source of revenue entering Capital Expanse is newly invested funds. Using newly invested funds to pay existing affiliates a daily ROI makes Capital Expanse a Ponzi scheme.
Lending ICO Ponzis like Capital Expanse play out as follows:
Admins (who are typically anonymous) offload worthless pre-generated points in exchange for real money. In this case it’s CAPX points.
The admins then use some of this money to pay promised ROIs for as long as new affiliates sign up.
Once affiliate recruitment dries up so does the ROI reserve.
When a predetermined threshold is reached, the anonymous Capital Expanse admins pull a runner with what’s left.
Early Capital Expanse investors make a bit of money (mostly via recruitment of new investors). But same as any other Ponzi scheme, the reality of such scams is that the majority of participants eventually lose money.