GSPartners Review: Josip Heit’s G999 Karatbars spinoff
GSPartners operates in the cryptocurrency niche.
The company provides no executive information on its website. Through our reporting on Karatbars International however, we know GSPartners was launched by Josip Heit.
Heit appeared on BehindMLM’s radar after Karatbars’ KaratGold Coin hype disaster in mid 2019.
In the lead up to the July 4th event, Karatbars CEO Harald Seiz had been promoting a 100 KBC to 1 gram of gold exchange.
That never happened, and KGC dumped 62% in public value shortly after the July 4th launch event.
In the wake of the marketing disaster, Harald Seiz was nowhere to be seen.
Instead Josip Heit, credited as Chairman of Karatbars Internationa’s Board, fronted angry investors in precorded videos.
The purpose of these videos was to come up with excuses for the Ponzi shitcoin’s dump.
This didn’t go down well with KGC investors, leading to Karatbars disabling comments on marketing videos featuring Heit.
Things get a bit murky over the next year and a half.
Karatbars’ KGC debacle saw regulatory warnings issued by Namibia, Germany, South Africa and New Zealand.
Sitting on funds they’d milked investors out of, Seiz and Heit laid low for most of 2019 and 2020.
Sometime in 2020 “Gold Standard” was launched, and along with it yet another token reboot. This time it was G999.
By September these plans had fallen through. Harald Seiz began promoting Freebay and V999, a spinoff of the G999 token.
If all of this sounds ridiculous to you, welcome to the MLM crypto niche.
Sometime between Gold Standard being announced and Freebay (mid 2020 or so), Harald Seiz and Josip Heit had a falling out.
Heit split from Karatbars and went on to launch GSPartners, retaining the original G999 shit token.
Read on for a full review of GSPartners’ MLM opportunity.
GSPartners’ Products
GSPartners has no retailable products or services, with affiliates only able to market GSPartners affiliate membership itself.
GSPartners affiliate membership provides access to Blockchain Academy, a platform used to
teach knowledge in the area of blockchain through video-based online courses where the topic blockchain is broken down into its components to create a solid foundation, and a course on coinization, crypto assets and digital currencies.
GSPartners’ Compensation Plan
GSPartners do not provide a copy of their compensation plan on their website.
The following analysis has been put together from official GSPartners compensation information, tagged “internal use only”.
GSPartners affiliates invest in G999 tokens on the expectation of a return.
G999 tokens are invested in via GSPartner’s GSTrade exchange, at a rate of “69 USDT for 4999 G999 coins”.
Within GSPartners affiliates also receive G999 when they sign up.
- sign up with a Brand Advantage Basic Package for 275 USDT annually and receive 3498 G999 tokens
- sign up with a Brand Advantage Premium Package and receive more G999 tokens than the Basic Package
Note that I wasn’t able to verify a concrete Brand Advantage Premium Package price. One marketing example I came across was $1110.
Note that despite the USDT prices quoted above, GSPartners solicits accepts payment in bitcoin or ethereum.
GSPartners Affiliate Ranks
There are ten affiliate ranks within GSPartners’ compensation plan.
Along with their respective qualification criteria, they are as follows:
- Affiliate – sign up as a GSPartners affiliate and pay required fees
- Director – generate $15,000 GV a month
- Regional Director – generate $40,000 GV a month
- National Director – generate $80,000 GV a month
- Executive – generate $150,000 GV a month
- Continental Executive – generate $369,000 GV a month
- International Executive – generate $1,000,000 GV a month
- Ambassador – generate $3,000,000 GV a month
- Global Ambassador – generate $9,000,000 GV a month
- Crown Ambassador – generate $27,000,000 GV a month
GV stands for “Group Volume and is fee/investment volume paid by downline affiliates.
Referral Commissions
GSPartners pays referral commissions 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 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.
GSPartners caps referral commissions at nine unilevel team levels.
Residual commissions are paid as a percentage of funds invested in Basic and Premium packages across these nine levels.
- level 1 (personally recruited affiliates) – 10%
- level 2 – 4%
- level 3 – 3%
- levels 4 to 6 – 2%
- level 7 – 3%
- level 8 – 4%
- level 9 – 6%
Whether direct G999 token investment through GSTrade is paid as referral commissions is unclear.
Blockstar Pool
GSPartners takes 4% of company-wide fee investment volume and places it into the Blockstar Pool.
Affiliates receive shares in the pool based on how much they convince others to invest:
- convince others to invest $3000 and receive one Blockstar Pool share
- convince others to invest $9999 and receive three Blockstar Pool shares
- convince others to invest $29,999 and receive five Blockstar Pool shares
The first tier is designated “Rising Blockstars”, which appears to be some timed qualification criteria (one month?).
The other two are recurring criteria, meaning each time they are hit Blockstar Pool shares are awarded out.
Infinity Pool
GSPartners takes 13% of company-wide fee investment volume and places it into the Infinity Pool.
The 13% is split into smaller pools based on rank:
- Directors receive a share in a 2.5% Infinity Pool
- Regional Directors receive a share in a 2.25% Infinity Pool
- National Directors receive a share in a 1.75% Infinity Pool
- Executive Directors receive a share in a 1.5% Infinity Pool
- Continental Executives receive a share in a 1.5% Infinity Pool
- International Executives receive a share in a 1.25% Infinity Pool
- Ambassadors receive a share in a 1% Infinity Pool
- Global Ambassadors receive a share in a 0.75% Infinity Pool
- Crown Ambassadors receive a share in a 0.5% Infinity Pool
Note that higher ranks receive a share in their pool as well as all lower ranked pools.
Community Pool
GSPartners takes 3% of company-wide fee investment volume and distributes it each month to all Brand Advantage Premium Package tier affiliates.
Legacy Program
The Legacy Program is based on accumulation of Legacy Points.
Legacy Points are acquired when
- downline affiliate reach undisclosed ranks; and
- silver, gold and diamond sales are made.
What Silver, Gold and Diamond sales are is not defined. Nor is the specific amount of Legacy Points received per qualification goal met.
As they are acquired, Legacy Points are put towards “prizes”:
Legacy points prizes are purportedly funded by 2% of GSPartners’ company-wide fee investment volume.
Joining GSPartners
Basic GSPartners affiliate membership is $99 annually. I believe this only provides access to Blockchain Academy.
The investment side of GSPartners costs an additional
- 275 USDT for a Brand Advantage Basic Package or
- ~1110 USDT for a Brand Advantage Premium Package
Note that while prices are quoted in USDT, GSPartners accepts bitcoin and ethereum for fee investment payments.
Conclusion
The reason you won’t find any information about GSPartners’ compensation plan on their website, is because it’s a continuation of the securities fraud Josip Heit started with Karatbars International.
G999 is as worthless as all the Karatbars shitcoins the came before it. Heit creates G999 on demand, and flogs them off to gullible investors.
Based on CoinMarketCap data, G999 only recently debuted on public exchanges.
First recorded data is from February 12th @ 0.0068 cents. G999 is currently at $0.016 cents.
This public value is tied to GSPartners’ recruitment. If recruitment goes up, new affiliates buy G999 driving the price up. When recruitment inevitably stalls, G999’s trading value goes down.
Over time early bagholders cashing out also initiates a dump.
Securities fraud comes into play across multiple vectors, the most obvious being G999 is sold on the expectation of a return.
This is true of every MLM cryptocurrency. In an effort to mask this, GSPartners has its Blockchain Academy platform.
The “education platform” pseudo-compliance ruse is a tired cliche at this point. Perhaps the best example of this is OneCoin’s OneLife platform.
GSPartners’ securities fraud extends to guaranteed returns offered with Brand Advantage investment plans:
On top of that you have “Masternode Vouchers” (returns paid under the guise of “staking”):
G999 has a limited number of 4000 masternodes, having a precise amount of coins generated each block and a limited number of masternodes the rewards are calculated so every masternode owner can have a constant and safe income.
As well as “Decentralized DeFi Plans”, which pay annual returns based on a GSPartners’ membership investment tier:
This is all set up for the sole purpose of allowing early GSPartner affiliates to cash in their G999 tokens, effectively withdrawing subsequently invested funds.
Again, the reason why GSPartners don’t disclose any of this openly on their website is because securities fraud is illegal the world over.
At the time of publication Alexa ranks the top three sources of traffic to GSPartners’ website as the US (52%), South Africa (15%) and Mexico (12%).
GSPartners is not registered to offer securities in any of these jurisdictions.
Be it regulatory intervention or recruitment collapse, math guarantees the majority of GSPartners affiliates will lose money.
Update 9th June 2021 – Following G999’s flop, GSPartners is gearing up to launch a new JONE shitcoin.
It’s featured on BehindMLM before but I’d be remiss if I didn’t provide a link to one of the cringiest MLM marketing videos of all time.
It is so obviously a pyramid selling, ponzi scam. It makes me wonder how on earth people fall for it.
This is gold..
Hey, if a semi-hot blonde in thigh boots isn’t enough to convince you, I dunno what is…
Thank you for the read. It reaffirms what I found digging into the G999 platform.
When I was first aprroached by someone already invested in the GSP ecosystem about GSPartners (G999 coin), and after seeing its infrastructure and attending one of their zoom conferences, this eerily feels identical to Amway (version 2.0).
The way they pitch the product is scary identical to when I attended a meeting facilitated by an Amway rep back in the early 1990’s before the internet really took off with the same identical talking points.
Talking points such as preaching about financial freedom, residual income, etc. etc..
When I asked “why can’t I just invest in the coin?”, I was given a spinned answer. “Oh its cheaper to just buy the voucher.”
My response, “So I buy the voucher and later cash out the coins, I’m subjected to a 30% commission fee? How is that exactly cheaper?” No response after that.
On a side note, no U.S. crypto platform will allow you to buy this coin either. Yea no thank you. I’ll keep my bitcoin and not foolishly squander it away in some MLM pipe dream.
Looks like another coin on the way wG999. Starts around 1.22 youtu.be/8lF6e1YlqPA
Where did you get wG999 from? Sebastian Greenwood Jr. mentions “rapid G999” but also “we’re not going to disclose its future name”.
Also something something Binance DEX, so rapid G999 will be another layer of bullshit to trap invested funds behind.
Note timestamp is [1:22:00], otherwise you’ll be staring at the intro roll :D.
Interesting data dump, looks like corporate dumped 2 Billion Coins.
github.com/dataDamager/g999
Well of course they did.
There’s a pump and dump behind every MLM Ponzi coin.
Looks like they are about to launch a new tOkeN. Something called the J One
youtu.be / VuPEIsPL0oo?t=267
Heit gonna milk that shitcoin script till it bleeds dry.
Yay MLM crypto!
Harald hs a bit of a meltdown in this one. However, he does promise G999 will be worth 20 cents by Christmas. That is 50X, hopefully not just numbers on a screen.
youtu.be/iqRWxEBqs4w?t=1386
*Heit, Harald is Karatbars.
And geez what a pitch; Invest in our shitcoin and don’t withdraw for 3.5 years.
You can’t promise bullshit returns and peg number go up on iNcReAsEd UsAbIlItY.
Why? Nobody is going to use the shitcoin if you’ve sold them number go up.
All the good scams have KYC so Josip now has it too
youtu.be/F1Sqx6qpGqY?t=1251
Thanks for that.
Seems a lot of Ponzi schemes worried about the annual holiday season withdrawal rush this year.
Looked into a bit more, seems GSPartners introduced KYC late last year or early this year.
Same reason, to limit withdrawals but doesn’t appear to be the typical last-minute desperation.
Time to milk the base in GSPartners world. Must be getting harder to recruit new suckers in. 33 per month gets you more ways to spend your money
youtu.be/Tw264KtNszo?t=812
Immediate red flag: GSPartners membership can’t be paid for in G999.
Scam indeed…
I’m so glad I came across this review. Thank goodness. I will not touch GSPartners.
I nearly fell for this hot girl with big boobs that was trying to get me into this MLM scam.
They milking it big in GSPartners and this Lydian World Metaverse crypto world. Stay away people.
Good for you. The hot girl with the big boobs are probably just as fake and unreal as GSPartners. Just say’in.
I went to a local CRYPTOCURRENCY MEETUP Group. Little did I know but they tried to recruit me into their GSPARTNERS…
I inquired about the compensation plan, I wanted to know if I would receive 1099 from earned income from the company. My “recruiter” didn’t know the answer to this VERY IMPORTANT QUESTION! Mike Dalcoe was called and apparently no one could answer my question!!
It finally was answered that “COMPENSATION” was delivered in the form of Cryptocurrency. I said, isn’t that TAX EVASION?
They said you can spend your “EARNED INCOME” using the LIFESTYLE CARD. I said EVERY TRANSACTION IS A TAXABLE EVENT!!!
I RAN AWAY FROM THIS SCAM!! The IRS WILL COME AFTER WHATS DUE!!! It’s just a matter of time !!
Tax fraud and cryptocurrency go hand in hand.
IIRC the IRS did subpoena some exchanges a while back for records. We haven’t seen any major crackdowns on crypto related tax fraud yet though.
Since there are many threads on the subject of the G999, I don’t know if I’ve found the right one. Maybe Oz can move my comment?
share-your-photo.com/0e4b13660d
g999main.net
Of course, this fraud portal does not contain an imprint either, only an email address and a contact form.
The Kazakhstan registration showed up after Mwali issued a fraud warning.
Assumed to be part of GSPartners’ money laundering operations. Meaningless from a regulatory perspective outside of Kazakhstan. I don’t recall Kazakhstan ever being a significant source of investment for GSPartners.
The Swedish shell company is part of the same. Also meaningless for due-diligence, as are all shell companies.
Recruitment in the US appears to have collapsed but otherwise GSPartners’ top website traffic sources are Cuba, SOuth Africa and Switzerland.
GSPartners isn’t registered to offer securities in those jurisdictions – or any of the jurisdictions it actually solicits investment in.
Switzerland is so utterly bizarre, considering it is a wealthy country with banking and gold buying/selling/refining interests.
It is the last place on Earth I’d have expected GSP to be doing business/scamming in.
I hope Michael Dalcoe is prosecuted. He is as instrumental in the scam as Josip Heit.
Scams spread to countries you wouldn’t think.
Outside of GSPartners, Martinique is a recent example whose ~350,000 population is in the process of getting drilled by scammers (Decentra/MetFi). Madagascar was a thing a few months ago.
I’ve also wondered who’s dumb enough to be promoting MLM Ponzis in Saudi Arabia when it pops up.
How dumb it is depends on whether Saudi Arabia takes the US/China approach of treating MLM scamming as fraud (in which case promoters could be subject to non-elective limb surgery) or the UK/EU/Dubai/etc approach of treating it as idiots investing in failed businesses. I.e. “civil matter sir, nothing to see here, move along”.
If it’s the latter it may not be any dumber than anywhere else in the world. And Dubai is only a short trip down the Gulf coast either way.
Could also depend on whether they scam anyone higher than 5,000th in the royal line of succession.
When I say Saudi Arabia shows up I mean on the traffic graph. At that point there’s significant local promotion going on.
Dubai is the MLM crime capital of the world but I think I’ve seen it on traffic stats maybe three-four times total.
Running a scam from Saudi Arabia targeting the usual suspects is probably no different to doing it in Dubai.
I have no doubt that if you grew a Ponzi in Dubai targeting people living there though, you’d be quickly picked up and disappeared to some Sheik’s harem.
Kz is another “Fake international banking card” hotbed, used by a few scams with the need for transactional banking cards.
Addition to comments #1, 3 and 4
Our readers should know a few details about this video.
share-your-photo.com/1328e9cd67
youtube.com/watch?v=cSniYhRn3jI
Sophia Thomalla is a German actress, model and TV presenter. She is popular with many people, but also very controversial. I’m not a fan of hers.
However, her brief promotional appearance in this video had consequences in the form of criticism and negative reporting. Sophia Thomalla didn’t like that and she complained.
share-your-photo.com/0ecfe6e7ca
btc-echo.de/news/tv-star-sophia-thomalla-verliert-prozess-gegen-btc-echo-139880/
Sophia Thomalla wanted BTC-ECHO.de to remove the following passages from the website:
Sophia Thomalla und Josip Heit:
share-your-photo.com/c27c615249
btc-echo.de/news/g999-krypto-projekt-sophia-thomalla-107931/
This article by the German magazine “Finanztest” also warned:
share-your-photo.com/4c3d985c05
test.de/GSB-Gold-Standard-Banking-Corporation-Fragwuerdiges-Angebot-mit-Krypto-Coin-G999-5714127-0
Another comment on the same topic:
https://behindmlm.com/companies/karatbars-international/karatbars-international-imploding-harald-seiz-has-meltdown/#comment-432771
I don’t believe that Sophia Thomalla tried to sue my favorite portal welt.de as well.
welt.de/wirtschaft/gruenderszene/article223819184/Sophia-Thomalla-wirbt-fuer-fragwuerdige-Blockchain-Firma.html
This review in a video from February 2022:
share-your-photo.com/5263d1cf3b
youtube.com/watch?v=hker-El5SUQ
Gs partners planning a big push here in Australia with events in July…Perth, Brisbane and Gold Coast listed so far…
Pic of dates and venues at GSPartners/swiss valerom scam- now what fb group…