CryptoNode Review: 5% a day Ponzi scheme
CryptoNode provides no information on its website about who owns or runs the company.
CryptoNode’s website domain (“cryptonode.ltd”) was first registered in June 2019. The private domain registration was last updated on July 2nd, 2020.
In an attempt to appear legitimate, CryptoNode provides a UK incorporation certificate on their website.
The certificate corresponds to Crypto Node LTD, incorporated in June 2019. The company appears to have been abandoned, as there’s an confirmation statement overdue notice on Companies House.
Crypto Node LTD’s confirmation statement (annual report) was due by July 29th.
In any event, UK incorporation is dirt cheap and effectively unregulated. It is a favored jurisdiction for scammers looking to incorporate dodgy companies.
For the purpose of performing MLM due-diligence, UK incorporation is meaningless.
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.
CryptoNode has no retailable products or services, with affiliates only able to market CryptoNode affiliate membership itself.
CryptoNode’s Compensation Plan
CryptoNode affiliates invest funds on the promise of advertised returns:
- Standard – invest $10 to $10,000 and receive a 300% ROI after 50 days
- Premium – invest $10,000 to $100,000 and receive a 350% ROI after 50 days
Perpetual daily return plans are also offered:
- Plan #1 – invest $25 to $250 and receive 1% a day
- Plan #2 – invest $251 to $1000 and receive 1.5% a day
- Plan #3 – invest $1001 or more and receive 2% a day
Referral commissions on invested funds are paid out down three levels of recruitment (unilevel):
- 4% on level 1 (personally recruited affiliates)
- 2% on level 2
- 1% on level 3
CryptoNode affiliate membership is free.
Full participation in the attached income opportunity however requires a minimum $10 investment.
CryptoNode is a low-effort Ponzi scheme. The company’s anonymous owner(s) hasn’t/haven’t even bothered to come up with a ruse to explain ROI revenue generation.
Even if they did, the only verifiable source of revenue entering CryptoNode is new investment. Using new investment to pay returns of up to 5% a day makes CryptoNode a Ponzi scheme.
As with all MLM Ponzi schemes, once affiliate recruitment dries up so too will new investment.
This will starve CryptoNode of ROI revenue, eventually prompting a collapse.
The math behind Ponzi schemes guarantees that when they collapse, the majority of participants lose money.