CryptoTrain Trading Review: 52 week crypto trading bot Ponzi returns
CryptoTrain Trading provides no credible information on their website about who owns or runs the company.
CryptoTrain Trading’s website domain (“cryptotrain.trade”) was registered with incomplete details on May 16th, 2019.
In an attempt to feign legitimacy, CryptoTrain Trading provides a UK incorporation certificate on its website.
UK incorporation is dirt cheap and for the most part unregulated. It is a favored jurisdiction for scammers looking to incorporate dodgy companies.
Accompanying the incorporation certificate is the claim “CEO Dr Jacob Hann” founded CryptoTrain Trading.
Given the lack of information available on Hann, it is highly likely he doesn’t exist.
At the time of publication Alexa estimates South Africa is the largest source of traffic to CryptoTrain Trading’s website (43%).
This is large enough to suggest that whoever is running CryptoTrain Trading is likely based out of South Africa itself.
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.
CryptoTrain Trading’s Products
CryptoTrain Trading has no retailable products or services, with affiliates only able to market CryptoTrain Trading’s affiliate membership itself.
CryptoTrain Trading’s Compensation Plan
CryptoTrain Trading affiliates invest funds on the promise of an advertised 52 week return:
- Entry EA – invest $30 and receive a 9.1% a week
- Bronze EA – invest $100 and receive a 9.1% a week
- Silver EA – invest $300 and receive a 9.8% a week
- Golden EA – invest $500 and receive a 9.8% a week
- Diamond EA – invest $1500 and receive a 10.5% a week
- VIP EA – invest $5000 and receive a 10.5% a week
Note that CryptoTrain Trading charge an 8% fee on all returns and commission withdrawals.
Residual Commissions (unilevel)
A unilevel compensation structure places an 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.
CryptoTrain Trading caps payable unilevel team levels at five.
Residual unilevel commissions are paid out as a percentage of funds invested across these five levels as follows:
- level 1 (personally recruited affiliates) – 11%
- level 2 – 5%
- level 3 – 4%
- level 4 – 3%
- level 5 – 2%
If any of the affiliates placed in the first five levels of the unilevel team are from upline recruitment efforts, an additional 1% is paid on that affiliate’s investment.
Residual Commissions (binary)
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 day CryptoTrain Trading tallies up new investment volume on both sides of the binary team.
Residual binary commissions are paid as 10% of investment volume generated in the weaker binary team side.
Once paid out on investment volume is matched on the stronger side and flushed.
Any leftover volume on the stronger binary team side is carried over.
CryptoTrain Trading rewards affiliates for meeting rank qualification criteria as follows:
- Bronze (generate $5000 in weaker binary team side volume) – $500
- Silver (generate $15,000 in weaker binary team side volume) – $1500
- Gold (generate $40,000 in weaker binary team side volume) – $4000 or a MacBook
- Sapphire (generate $100,000 in weaker binary team side volume) – $10,000 or a “trip”
- Ruby (generate $250,000 in weaker binary team side volume) – $25,000 “towards a car”
- Diamond (generate $500,000 in weaker binary team side volume) – $50,000 “towards a car”
- ShareHolder (generate $1,000,000 in weaker binary team volume) – $150,000 “towards a car”
Joining CryptoTrain Trading
CryptoTrain Trading affiliate membership is free.
Full participation in the attached income opportunity however requires a minimum $30 investment.
CryptoTrain Trading claims to generate external ROI revenue via automated cryptocurrency trading.
Our expert team develop robots and have them integrated into various cryptocurrency broker’s trading platforms for accurate trades executions resulting in profits being made consistently.
No evidence of CryptoTrain Trading have any trading bots is provided.
Furthermore the company’s business model fails the Ponzi logic test.
On its website CryptoTrain Trading claims
each week the Company makes not less than 15% ROI or profit.
If CryptoTrain Trading’s anonymous owners actually had a bot capable of legitimately generating a consistent minimum 15% weekly return, why sell access to it for just $30?
Surely the smart thing to do would be to obtain a small capital amount, invest it yourself and compound your way to riches?
In reality the only verifiable source of revenue entering CryptoTrain Trading is new investment.
Using new investment to pay existing affiliate investors a weekly return makes CryptoTrain Trading a Ponzi scheme.
As with all MLM Ponzi schemes, once affiliate recruitment slows down so too will new investment.
This will starve CryptoTrain Trading of return revenue, eventually prompting a collapse.
The math behind Ponzi schemes guarantees that when they collapse, the majority of participants lose money.