Game Loot Network Review: $10-$1000 gaming tokens
Game Loot Network operate in the mobile gaming MLM niche and went into prelaunch in May 2015.
According to the Game Loot Network LinkedIn profile, the company is based out of the US state of Arizona. The contact page of the Game Loot Network contradicts this however, instead providing an address in Missouri.
Further research reveals a number of seemingly unrelated businesses operating out of the supplied Missouri address, so I’m not too sure what the story is there.
Adding further confusion to the mix is Game Loot Network’s “website terms and conditions”, which mentions a third state, Georgia:
Any claim relating to (Insert business name here) web site shall be governed by the laws of the State of Georgia without regard to its conflict of law provisions.General Terms and Conditions applicable to Use of a Web Site.
(insert business name here) appears multiple times in the terms and conditions, suggesting Game Loot Network have just copy and pasted a boilerplate template from a third-party.
For reasons unknown, there is no information on who owns and operates Game Loot Network on their website.
The Game Loot Network website domain (“gamelootnework.com”) was first registered on the 16th of December 2014. The registration was last updated on the 30th of March 2015, suggesting that might be when the current owner(s) acquired the domain.
Lance Baker of Game Loot LLC is listed as the domain owner. Baker is cited as the author of a $2.99 eBook titled “Game Loot: Grab Your Piece of the Mobile Gaming Revolution” on multiple websites, but other than that I was unable to establish his relationship with or role within Game Loot Network.
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 Game Loot Network Product Line
Game Loot Network offers affiliates access to a mobile gaming platform they call “The Fun Zone”:
Our mobile gaming platform is called The Fun Zone.
It is so much more than just a platform to host our mobile games. It is a living, breathing mobile gaming community that allows gamers to have fun and win prizes in an interactive environment.
The platform can be accessed for free or by using paid tokens, sold in the following packages:
- Fun 50 ($10) – 50 tokens
- Fun 250 ($50) – 250 tokens
- Fun 500 ($100) – 500 tokens
- Fun 1250 ($250) – 1250 tokens
- Fun 2500 ($500) – 2500 tokens
- Fun 5000 ($1000) – 5000 tokens
Purchase of the above packages is tied to Game Loot Network affiliate membership, with there not appearing to be a retail offering.
The Game Loot Network Compensation Plan
Update 6th June 2016 – BehindMLM has gone through the current Game Loot Network compensation plan as of May, 2016. /end update
The Game Loot Network compensation plan pays affiliates to recruit new affiliates and spend money each month on token packages.
Commissions are paid out on recruit of a new affiliates as well as on a monthly required minimum spend.
All Game Loot Network affiliates are required to spend money each month to qualify for commissions.
How much is required to be spent is determined by an affiliate’s membership rank (see below).
Game Loot Network Affiliate Ranks
There are eight affiliate ranks within the Game Loot Network compensation plan.
Along with their respective qualification criteria, they are as follows:
- Premium Gamer – sign up as a Game Loot Network affiliate, spend at least $10 a month and recruit and maintain at least one new affiliate
- Game Ambassador – sign up with a Fun 500 or higher package ($100) or spend at least $50 a month and recruit and maintain at least one other Game Ambassador or higher ranked affiliate
- Level 1 Ambassador – spend at least $50 a month and recruit and maintain at least three Game Ambassador or higher ranked affiliates
- Level 2 Ambassador – spend at least $50 a month and recruit and maintain at least six Game Ambassador or higher ranked affiliates
- Level 3 Ambassador – spend at least $100 a month, recruit and maintain at least ten Game Ambassador or higher ranked affiliates and have a downline spending at least $5000 in sales each month
- Level 4 Ambassador – spend at least $100 a month, recruit and maintain at least ten Game Ambassador or higher ranked affiliates and have a downline spending at least $20,000 in sales each month
- Level 5 Ambassador – spend at least $100 a month, recruit and maintain at least ten Game Ambassador or higher ranked affiliates and have at least five Level 4 Ambassador or higher ranked affiliates in your downline (one in the first ten levels of separate unilevel legs)
- Level 6 Ambassador – spend at least $100 a month, recruit and maintain at least ten Game Ambassador or higher ranked affiliates and have at least five Level 5 Ambassador or higher ranked affiliates in your downline (one in the first ten levels of separate unilevel legs)
Note that where monthly sales volume quotas apply, only 50% of the total volume required can come from any one unilevel leg.
Game Loot Network affiliates are paid a 10% commission when newly recruited affiliates purchase one of the offered token packages.
This commission is paid out on all token packages purchased within a newly recruited affiliate’s first 30 days with the company.
Residual commissions in Game Loot Network are paid out via a unilevel compensation plan.
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 of these 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 2. 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.
Game Loot Network cap payable unilevel levels at ten, with commissions paid out as a percentage of token packages purchased by recruited affiliates.
How much of a percentage is paid out is determined by what level of the unilevel team the affiliate purchasing a token package is placed on.
Affiliates are also only able to earn on certain unilevel levels according to their GamerLoot Network affiliate rank:
- Premium Gamer – 10% on level 1 and 5% on level 2
- Game Ambassador – 10% on level 1, 5% on level 2 and 3% on levels 3 and 4
- Level 1 Ambassador – 10% on level 1, 5% on level 2 and 3% on levels 3 to 6
- Level 2 Ambassador – 10% on level 1, 5% on level 2 and 3% on levels 3 to 8
- Level 3 Ambassador – 10% on level 1, 5% on level 2 and 3% on levels 3 to 10
Go Deep Bonus
Available to Level 4 Ambassadors or higher, the Go Deep Bonus pays an additional 1% bonus commission on every unilevel leg starting from the 11th level onward.
The bonus pays out according to generations, with a generation defined when another Level 4 Ambassador affiliate is found in any individual unilevel leg (including the first ten levels).
Up to two generations are payable, with no Level 4 Ambassador or higher affiliate found in a unilevel leg extending a generation to the end of the leg.
Level 5 Ambassadors can earn on another two generations, defined when up to 2 Level 2 Ambassadors are found in a unilevel leg. Another two generations are again unlocked when an affiliate qualifies as a Level 6 Ambassador (with generations defined by finding up to two Level 6 Ambassadors).
Coded Infinity Bonus
The Coded Infinity Bonus is a commission paid out on token package purchases by an affiliate’s recruited downline, within the first 30 days of them joining Game Loot Network.
Note that only Game Ambassador affiliates who have purchased a Fun 500 package ($100) or higher can qualify for the Coded Infinity Bonus.
The bonus itself extends down an infinite recruitment depth, paying on a recruited affiliate’s first three recruited affiliates, their first three recruited affiliates, their first three and so on and so forth..
Up to 50% of the price paid for a token package is paid out, with how much an individual affiliate receives determined by how many affiliates have been personally recruited:
- Level 1 Ambassador = 15%
- Level 2 Ambassador = 30%
- Level 3 Ambassador = 35%
- Level 4 Ambassador = 40%
- Level 5 Ambassador = 45%
- Level 6 Ambassador – 50%
Note that the percentage increase only applies to affiliates recruited after an affiliate has qualified for a higher percentage payout (starting from the fourth affiliate recruited at Level 1 Ambassador).
Note that a Game Loot Network affiliate can only receive a coded bonus up to the highest token package they have sold. If a higher package is sold, the coded bonus up to the highest package will be paid and the rest passed up us breakage.
Eg. If a recruited affiliate sells Fun 1250 package but the highest package their immediate upline (who qualifies for the coded bonus) has sold is a Fun 250 package, the upline will only be paid the coded bonus as if the original package sold was a Fun 250 package. They will not earn the full Fun 1250 coded bonus payout.
The Game Loot Network Matching Bonus pays affiliates a percentage match of residual (unilevel) commissions and Coded Bonuses paid out to personally recruited affiliates.
Once a Game Loot Network affiliate qualifies at the Level 2 Ambassador or higher rank, they are paid a 20% Matching Bonus.
Global Revenue Sharing Pool
The Global Revenue Sharing Pool combines monthly affiliate fees and advertising revenue, paid out via five percentage bonus pools.
Each month 1% of company-wide affiliate fees and 5% of Game Loot Network advertising revenue is placed into five pools, with affiliates able to earn an equal share in each pool as per their affiliate rank:
- Level 3 Ambassador – 1% affiliate fees and 5% ad revenue
- Level 4 Ambassador – 1% affiliate fees and 5% ad revenue
- Level 5 Ambassador – 1% affiliate fees and 5% ad revenue
- Level 6 Ambassador – 1% affiliate fees and 5% ad revenue
A fifth “Founders Pool” is also available, paying out 2% of affiliate fees and 5% of ad revenue.
The Founders Pool rewarded affiliates who signed up before August 1st 2015 and recruited at least ten affiliates, five of which went on to recruit at least ten affiliates themselves.
Joining Game Loot Network
Affiliate membership with Game Loot Network is tied to the purchase of a $10 to $1000 token package.
Additionally Game Loot Network affiliates are also required to spend at least $10 a month to remain commission qualified.
The glaring issue with Game Loot Network is the lack of retail, both by design and from a practical standpoint.
Quite obviously the core focus of the business is to sign up at the $100 “Fun 500” level, pay a monthly fee and then recruit others who do the same.
This starts of with purchase of Fun 500 affiliate membership auto-qualifying a Game Loot Network as a Game Ambassador, which is required to unlock various components of the compensation plan (pay to play).
Chain recruitment then comes into play with commissions paid out on newly recruited affiliates when they join the company.
Residual commissions are paid on monthly affiliate fees:
Unilevel Commissions are paid on all Fun Packs purchased by Premium Gamers and Ambassadors in your organization AFTER their first 30 days from their enrollment date.
With these fees required to be paid in order to qualify for commissions, and those commissions being generated when recruited affiliates also pay their monthly fees.
Furthermore the only way to unlock all ten residual commission unilevel levels, is to recruit Game Ambassador or higher ranked affiliates.
Put all of that together and what you end up with is a closed-loop system, initially paying out on recruitment and then an ongoing monthly autoship fee.
No retail takes place inside the opportunity, with there instead being a token and rather pointless free membership option.
These free members can play games and win prizes, but that in and of itself generates no sales revenue.
And that brings us to the tokens Game Loot Network affiliates are buying each month.
Presumably these tokens are used to play exclusive games and/or increase an affiliates chance of winning over free members.
Our goal at Game Loot Network is to provide you an amazing opportunity to grab your piece of the exploding mobile gaming revolution.
Yet I couldn’t find any explanation on the Game Loot Network website as to specifically what the tokens are used for.
One possibility is what appears to be penny auctions, advertised only on a blog post dated July 7th:
That could be a way to get rid of tokens and provide a retail opportunity, however as it stands there’s no mention of retail commissions in the Game Loot Network compensation plan – all token purchases are tied to participation in the MLM income opportunity as a Game Loot Network affiliate.
Meanwhile the presence of a penny auction platform raises issues of its own.
To date not one MLM penny auction has been successful, reason being it doesn’t take long for auction losers to realize they’ve spent money and have nothing to show for it.
Thus whatever retail might be possible quickly tanks (despite the inevitable comparisons to QuiBids), leaving affiliates buying bids solely for the purpose of qualifying to earn commissions on recruited affiliates who do the same.
Whether or not that turns out to be the case in Game Loot Network of course remains to be seen, pending the release of further information by the company.
Which in itself is a bit worrying, considering according to a July 27th corporate call on YouTube, Game Loot Network is supposed to have launched on August 1st.
At the time of publication even basic information about Game Loot Network management and ownership is absent from the company website.
Pending clarification on retail products and/or services available, as it stands Game Loot Network is reliant on affiliate recruitment to stay afloat.
Once said recruitment slows down and eventually stops, like any other recruitment-driven scheme Game Loot Network will collapse.
Approach with caution…
Update 6th June 2016 – BehindMLM has gone through the current Game Loot Network compensation plan as of May, 2016.
Following several revisions to the plan, retail customer activity is now mandatory however unregistered securities are now a concern.
Update 29th April 2018 – Game Loot Network are looking to get into the MLM cryptocurrency niche with their LOOT altcoin.
BehindMLM published an updated Game Loot Network review covering integration of LOOT on April 27th, 2018.