E-Dinar Review: EDR unit Ponzi points cryptocurrency
There is no information on the E-Dinar website indicating who owns or runs the business.
The E-Dinar website domain (“e-dinar.io”) was registered on the 7th of October 2015, with “Insider Mine” of “LP Edinar-group” as the owner. An address in Kuala Lumpur, Malaysia is also provided.
“Mass media” articles provided on the E-Dinar website are little more than spam the owner(s) of E-Dinar have uploaded to various press-release websites. The marketing videos on the website were made on the cheap, using the services of Fivver seller “Ivannicholo”.
Alexa currently estimate that 26.4% of all traffic to the E-Dinar website originates out of the US. The Russia and Ukraine aren’t far behind, providing 19.4% and 16.6% respectively.
There’s a distinct lack of information available on Insider Mine and LP Edinar-group. My thinking is that these are likely just shell companies set up in Malaysia.
Between Russia and the US, I’m leaning towards the admins of E-Dinar being based in Europe.
This is based on the abundance of E-Dinar marketing material in Russian, as well as use of the Slovakian file locker to host the E-Dinar website (albeit the link was broken at the time of publication).
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 E-Dinar Product Line
E-Dinar has no retailable products or services, with affiliates only able to market E-Dinar affiliate membership itself.
The E-Dinar Compensation Plan
E-Dinar represent on their website that investment in “E-DINAR currency volume” (EDR) attracts a 20% monthly ROI.
Residual commissions on this 20% monthly ROI are paid out via a unilevel compensation structure.
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 go on to 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.
E-Dinar cap payable levels at seven, with commissions paid out as a percentage of the ROI received by affiliates in the unilevel team:
- level 1 (personally recruited affiliates – 25%
- level 2 – 20%
- level 3 – 15%
- level 4 – 10%
- level 5 – 5
- levels 6 and 7 – 2.5%
Note that the following qualifiers must be met for an E-Dinar affiliate to earn on all seven levels of their unilevel team:
- level 1 – invest in at least 1 EDR
- level 2 – have at least 100 EDR in your E-Dinar wallet
- level 3 – maintain at least 100 EDR in your E-Dinar wallet and recruit at least 5 affiliates, each of whom have invested in at least 100 EDR
- level 4 – maintain at least 100 EDR in your E-Dinar wallet and recruit at least 25 affiliates, each of whom have invested in at least 100 EDR
- level 5 – maintain at least 100 EDR in your E-Dinar wallet and recruit at least 125 affiliates, each of whom have invested in at least 100 EDR
- level 6 – maintain at least 100 EDR in your E-Dinar wallet and recruit at least 625 affiliates, each of whom have invested in at least 100 EDR
- level 7 – maintain at least 100 EDR in your E-Dinar wallet and recruit at least 3125 affiliates, each of whom have invested in at least 100 EDR
Affiliate membership with E-Dinar is free, however affiliates must invest in at least 1 EDR in order to participate in the offered MLM income opportunity.
At the time of publication, EDR units have not been given a dollar value.
The E-Dinar website represents that EDR units are tradeable as a legitimate cryptocurrency on public exchange sites.
Ways of purchasing currency include: through the exchange websites, through the P2P Exchange or through an internal transfer to PA (all the largest and reliable world banks and EPS are represented).
The reality however is that E-Dinar is not traded on any exchange. EDR units are only tradeable through E-Dinar themselves:
Within the framework of the E-DINAR community, its own P2P E-DINAR Exchange is open.
Thus E-Dinar is a closed-loop cryptocurrency, with a value arbitrarily determined by the company itself.
Outside of 20% a month ROIs and the E-Dinar MLM business opportunity, EDR units serve no purpose.
These fundamental differences separate EDR units from a legitimate cryptocurrency and renders them nothing more than Ponzi points.
E-Dinar affiliates invest in EDR units on the promise of an advertised 20% monthly ROI – paid out in EDR points.
E-DINAR web-community partner’s cryptocurrency volume increases by 20% per month due to the algorithm programmed by developers.
Interest on the purchased E-DINAR amount is calculated daily.
Based on an EDR unit value set by E-Dinar, affiliates can sell units back to E-Dinar or trade them with other affiliates through the E-Dinar exchange.
Referral commissions offered through the unilevel team act as a recruitment incentive, as E-Dinar needs a constant influx of newly invested funds to pay out existing investors with.
The Ponzi points model sees investors in points, assigned a value by the issuer of the points – in this case E-Dinar.
Clarification on E-Dinar being a Ponzi scheme is furthermore readily available in their FAQ:
Is E-DINAR a pyramid or Ponzi scheme?
Ponzi or scheme pyramid is a fraudulent investment operation where the income is paid to the investors from their own money or the money of subsequent investors rather than from the profit earned by people leading their own business.
These schemes usually collapse on themselves when the new investments stop.
E-Dinar has no legitimate business activities, in or outside of the offered MLM business opportunity. The only source of revenue is affiliate investment, made on the promise of a 20% monthly ROI.
As with Ponzi schemes, E-Dinar will collapse once new investment stops flowing into the scheme.
The way they have it set up is the promise of 20% ROIs for two years. Basically they’re counting on the majority of investors investing and re-investing over two years.
Once the 20% monthly ROI period has expired, withdrawal requests will be filed. E-Dinar deny the requests and the anonymous admin(s) do a runner.