Forsage Review: Ethereum based cash gifting scheme
Forsage provides no information on its website about who owns or runs the company. In fact Forsage claims it doesn’t have an admin.
The project Forsage no admin.
This is of course baloney, as someone obviously set up the company’s website and runs and profits from it.
The presence of Russian on Forsage’s default English language website suggests someone fluent in Russian is behind the company:
At the time of publication Alexa cites the US (22%), India (7%) and Venezuela (6%) as the top three sources of traffic to Forsage’s website.
Forsage’s website domain (“forsage.io”) was privately registered on February 9th, 2020.
Update 1st July 2020 – In a regulatory fraud warning, the Philippines SEC has outed Lado Okhotnikov as owner of Forsage.
This tracks with Forsage affiliate promotional material, which also cites Okhotnikov (right).
Okhotinov appears to reside in Moscow, Russia. However based on social media postings he is believed to currently be based out of Tbilisi, Georgia. /end update
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.
Forsage has no retailable products or services, with affiliates only able to market Forsage affiliate membership itself.
Forsage’s Compensation Plan
Forsage affiliates purchase 0.05 ETH matrix cycler positions.
Matrix sizes used in Forsage’s cycler are 3×1 and 2×2.
A 3×1 matrix is simple in nature, requiring only three positions to be filled.
A 2×2 matrix starts with two positions on the first level, which expand to four positions on the second level:
A single 0.05 ETH initial buy in purchases a cycler position in both a 3×1 and 2×2 matrix.
Positions in the matrices are filled via direct and indirect recruitment of Forsage affiliates.
Once all positions in a matrix are filled, a cycle commission is triggered. The position cycling out of the matrix also enters a new matrix of the same size.
Cycle commissions across Forsage’s two cycler tiers are as follows:
- 3×1 matrix (entry is 0.025 ETH of the initial 0.05 ETH buy in) – generates 0.05 ETH in gifting payments and entry into a new 3×1 matrix
- 2×2 matrix (entry is 0.025 ETH of the initial 0.05 ETH buy in) – generates 0.075 ETH in gifting payments and entry into a new 2×2 matrix
Forsage affiliate membership is tied to an initial 0.05 ETH buy in.
Forsage are transparent about the illegal nature of their MLM opportunity:
Profit comes from other participants directly into your personal wallet.
Regardless of whether they are run on the blockchain or another scripted platform, gifting schemes are illegal.
MLM gifting schemes primarily benefit those who run them and top recruiters.
Forsage is no different. Whoever created the site will benefit the most, by way of one or more preloaded admin positions.
Top recruiters (those who get in early) receive what’s left, with the majority of participants ultimately taking a loss.
Contrary to what promoters of Forsage might tell you, “blockchain” doesn’t negate the laws of math or non-sustainable nature of gifting scams.