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.
Sitting on funds they 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 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.
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.
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.
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.
GSPartners takes 3% of company-wide fee investment volume and distributes it each month to all Brand Advantage Premium Package tier affiliates.
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.
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.
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.