GoldBlocks Review: GB Coin pump and dump scheme
There is no information on the GoldBlocks website indicating who owns or runs the business.
The GoldBlocks website domain (“goldblocks.eu”) was privately registered on May 29th, 2016.
A secondary domain at (“mygoldblocks.com”) was registered on December 14th, 2016. Aleksandar Sokolov is listed as the owner, with an address in Ljubljana, Slovenia also provided.
Possibly due to language-barriers, I was unable to find any further information on Sokolov’s role within GoldBlocks.
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 GoldBlocks Product Line
GoldBlocks has no retailable products or services, with affiliates only able to market GoldBlocks affiliate membership itself.
The GoldBlocks Compensation Plan
The GoldBlocks compensation plan sees affiliates invest $100 to $20,000 on the promise of a 0.3% to 0.5% daily ROI for 365 days.
- Starter – $100
- Partner – $500
- Business – $1000
- Master – $5000
- VIP – $9000
- Diamond – $20,000
The ROI is paid out in GoldBlocks, a publicly tradeable cryptocurrency.
Referral commissions are available on funds invested by recruited affiliates, paid out down three levels of recruitment (unilevel):
- level 1 (personally recruited affiliates) – 10%
- level 2 – 3%
- level 3 – 2%
Residual Commissions
Residual commissions in GoldBlocks are paid out via a binary compensation structure.
A binary compensation structure places an affiliate at the top of a binary team, split into two sides (left and right):
The first level o 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 GoldBlocks affiliates. There is no limit to how deep a binary team grow.
Each GoldBlocks affiliate package is assigned a number of points:
- Starter ($100) – 80 points
- Partner ($500) – 400 points
- Business ($1000) – 800 points
- Master ($5000) – 4000 points
- VIP ($9000) – 7200 points
- Diamond ($20,000) – 16,000 points
At the end of each day GoldBlocks tallies up new investment package points on both sides of the binary.
An affiliate is paid 10% of matched volume on both sides, with leftover volume on the stronger side carried over.
Note that daily binary commissions are capped as per the following rank qualification criteria:
- Business Marketer (recruit at least two affiliates who have invested) – $500
- Bronze Executive (recruit at least two Partner or higher affiliates and have generated at least 5,000 weaker binary side points) – $750
- Silver Executive (generate at least 10,000 weaker binary side points) – $1000
- Gold Executive (recruit at least two Bronze or higher affiliates and generate at least 25,000 weaker binary side points) – $1500
- Director Executive (recruit at least two Silver or higher affiliates and generate at least 100,000 weaker binary side points) – $2000
- Diamond (recruit at least two Gold or higher affiliates and generate at least 500,000 weaker binary side points) – $2500
- Blue Diamond (recruit at least two Diamond or higher affiliates and generate at least 1,000,000 weaker binary side points) – $3000
- Black Diamond (recruit at least two Blue Diamond or higher affiliates and generate at least 5,000,000 weaker binary side points) – $3500
- Crown Diamond (recruit at least two Black Diamond or higher affiliates and generate at least 10,000,000 weaker binary side points) – $4000
- President Ambassador (recruit at least two Crown Diamond or higher affiliates and generate at least 20,000,000 weaker binary side points) – $5000
GB Coins
In addition to a daily ROI in coins, GoldBlocks affiliate packages also come with an upfront amount of coins:
- Starter – 100 GB Coins
- Partner – 500 GB Coins
- Business – 1000 GB Coins
- Master – 5000 GB Coins
- VIP – 9000 GB Coins
- Diamond – 30,000 GB Coins
Gold
GoldBlocks affiliate packages come with a set amount of gold:
- Partner – 1 gram
- Business – 2 grams
- Master – 5 grams
- VIP – 20 grams
- Diamond – 25 grams
Additional gold can also be obtained by qualifying at the Bronze Executive and higher ranks:
- Bronze Executives receive 1 gram of gold
- Silver Executives receive 2 grams of gold
- Gold Executives receive 5 grams of gold
- Director Executives receive 20 grams of gold
- Diamonds receive $5000 worth of gold stored in a mint
- Blue Diamonds receive $10,000 worth of gold stored in a mint
- Black Diamonds receive $25,000 worth of gold stored in a mint
- Crown Diamonds receive $50,000 worth of gold stored in a mint
- President Ambassadors receive $100,000 worth of gold stored in a mint
GoldBlocks don’t provide any information about where the mint gold is stored or how affiliates can access it.
Joining GoldBlocks
GoldBlocks affiliate membership is tied to investment in one of the following six packages:
- Starter – $100
- Partner – $500
- Business – $1000
- Master – $5000
- VIP – $9000
- Diamond – $20,000
Conclusion
Whilst publicly tradeable, GB Coin has no real-world application outside of the GoldBlocks MLM opportunity.
That is to say short of accumulating GB Coins and hoping the price magically rises, to anyone who isn’t a GoldBlocks affiliate they’re worthless.
This is reflected in the value of a GB Coin, currently 2 cents on CoinMarketCap.
Unfortunately the altcoin MLM niche is usually attached to pyramid recruitment, with GoldBlocks being no different.
Nothing is marketed to or sold to retail customers, with commissions inside the income opportunity tied to recruitment of new affiliates.
With GB Coins being practically worthless, this is how the majority of GoldBlocks affiliates will make money.
Aleksandar Sokolov and whoever else might be running GoldBlocks, make their money by dumping pre-mined GB Coinsonto affiliates for a premium.
This is reflected in GB Coins bundled with affiliate packages via a 1:1 ratio.
The bundled gold is neither here nor there, representing only a fraction of funds invested. In essence it’s a marketing write-off for the admin(s).
As with all recruitment-driven schemes, once affiliate recruitment dies down interest in GB Coin will drop.
With recruitment being the only realistic way to recover invested funds, this will see the majority of GoldBlocks affiliates lose money.
As for GB Coin, it’ll eventually dwindle away to a value representing what it’s actually worth – that being nothing.