iQuandex Review: Bitcoin trading bot securities fraud
iQuandex’s website is currently just a login page.
A link to iQuandex’s official YouTube channel is provided, featuring marketing videos in Russian.
iQuandex’s website domain (“iquandex.com”) was registered on March 18th, 2020.
Abrarov Rinat Fanozovich is listed as the owner, through an address in Tatarstan, Russia.
If you punch “Abrarov Rinat Fanozovich” into Google, there are literally no results. Thus whether Fanozovich is an actual person remains unclear.
iQuandex’s marketing material features Denis Derkach, who is apparently an “international cryptoexpert”.
Derkach’s Facebook profile states he’s from Russia but lives in California.
Derkach’s Facebook feed is full of offers like this;
Start making nothing less than $15k $350k BTC weekly trading Bitcoin under my supervision.
Derkach’s Facebook account was only created on August 16th, 2020, which is pretty suspect.
On his active VKontakte profile, Derkach cites his current city as Moscow, Russia. Why he’s pretending to live in California on Facebook is unclear.
Up until late June 2020 or so Derkach was promoting Kannaway. Going back to 2017, Derkach was promoting the BitClub Network Ponzi scheme.
Going back further to 2016, Derkach was promoting Vizionary, another MLM crypto Ponzi scheme.
At the time of publication Alexa ranks Kazakhstan as the only notable source of traffic to iQuandex’s website (60%).
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.
iQuandex has no retailable products or services, with affiliates only able to market iQuandex affiliate membership itself.
iQuandex’s Compensation Plan
iQuandex affiliates pay a fee, which determines how much money they can place under the control of iQuandex’s “iQ Bot”.
Funds are placed under the control of iQ Bot on the promise of advertised returns:
- pay $25 to be able to invest $250 to $1500 on the promise of a 110% ROI
- pay $250 to be able to invest $250 to $1500 on the promise of a 150% ROI
- pay $750 to be able to invest $200 to $5500 on the promise of a 150% ROI
- pay $1500 to be able to invest $7500 to $15,000 on the promise of a 150% ROI
- pay $5000 to be able to invest $20,000 to $60,000 on the promise of a 160% ROI
Note that the first option is only available to new iQuandex affiliates and can only be used once.
There doesn’t appear to be a fixed term for iQuandex investment.
Once the advertised return has been paid, an iQuandex affiliate must once again pay the full membership fee to reinvest.
iQuandex’s Affiliate Ranks
There are ten affiliate ranks within iQuandex’s compensation plan.
Along with their respective qualification criteria, they are as follows:
- Bronze – generate $1000 in downline investment volume
- Silver – generate $3000 in downline investment volume
- Gold – generate $10,000 in downline investment volume
- 1 Star – generate $30,000 in downline investment volume
- 2 Stars – generate $80,000 in downline investment volume
- 3 Stars – generate $240,000 in downline investment volume
- Diamond – generate $720,000 in downline investment volume
- Red Diamond – generate $2,180,000 in downline investment volume
- Blue Diamond – generate $6,500,000 in downline investment volume
- Grand Blue Diamond – generate $20,000,000 in downline investment volume
iQuandex pays commissions on the recruitment of new affiliates.
Recruitment commission rates are based on how much the recruiting affiliate has paid in membership fees.
- pay $25 or $250 in membership fees and receive 8% on recruited affiliates
- pay $750 or $1500 in membership fees and receive 10% on recruited affiliates
- pay $5000 in membership fees and receive 12% on recruited affiliates
A $100 recruitment bonus is paid if a new iQuandex affiliate recruits two $250 or higher tier affiliates within their first 72 hours.
This bonus is increased to $150 if three affiliates are recruited.
Residual Binary Commissions
iQuandex pays residual commissions on initial fees paid 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 of 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 affiliates. Note there is no limit to how deep a binary team can grow.
Sales volume across the binary team based on how much affiliates placed within the team pay in membership fees.
- a $25 fee recruited affiliate generates 10 points
- a $250 fee recruited affiliate generates 100 points
- a $750 fee recruited affiliate generates 300 points
- a $1500 fee recruited affiliate generates 600 points
- a $500 fee recruited affiliate generates 1200 points
Remember binary team affiliates can be directly or indirectly recruited.
At the end of each day iQuandex tallies up new fee volume on both sides of the binary team.
Affiliates are paid $25 per 100 points matched on both sides of the binary team.
Residual Unilevel Commissions
iQuandex pays residual commissions on reinvestment fees 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.
iQuandex caps payable unilevel team levels at ten.
How many levels residual commissions are paid on is determined by how much an iQuandex affiliate has paid in fees:
- pay $25 or $250 and receive 5% on level 1 (personally recruited affiliates)
- pay $750 and receive 5% on levels 1 to 3
- pay $1500 and receive 5% on levels 1 to 5
- pay $5000 and receive 5% on levels 1 to 10
Rank Achievement Bonus
iQuandex reward affiliates for qualifying at Bronze and higher ranks with one-time bonuses:
- qualify at Bronze and receive $50
- qualify at Silver and receive $150
- qualify at Gold and receive $500
- qualify at 1 Star and receive $1000
- qualify at 2 Stars and receive $3000
- qualify at 3 Stars and receive $10,000
- qualify at Diamond and receive $25,000
- qualify at Red Diamond and receive $60,000
- qualify at Blue Diamond and receive $180,000
- qualify at Grand Blue Diamond and receive $500,000
iQuandex affiliate membership ranges from $25 to $5000.
Once the advertised return rate is paid out, an affiliate must pay another membership fee to continue earning.
The more an iQuandex affiliate pays in fees, the higher their income potential.
iQuandex is a pyramid scheme attached to a trading bot.
We are a team that has created a reliable tool for automatic cryptocurrency trading: Bitcoin, Ethereum, Ripple, Tether, USDT.
New iQuandex affiliates sign up, paying those who recruited them. These new affiliates are then paid to recruit new affiliates, with nothing marketing or sold to retail customers.
Pay to play is also evident, by way of higher fees paid resulting in higher income potential.
Pay to play is a hallmark of an MLM pyramid scheme.
Pyramid schemes are illegal, so I just want to point out that irrespective of anything else, iQuandex’s business model is fraudulent to begin with.
iQuandex markets passive returns through their iQ Bot. This is a securities offering and, regardless of whether iQuandex is run by persons unknown, needs to be registered with financial regulators.
iQuandex provides no evidence it has registered its passive investment opportunity, meaning in addition to being a pyramid scheme, the company also commits securities fraud.
The way these “you’re always in control of your money” trading bot schemes work is full access is signed over to persons unknown.
Across however many accounts the bot owners have access to, they can coordinate trades in the admin’s favor.
This doesn’t happen noticeably though until it’s time to exit-scam.
In the meantime money is shuffled between accounts the bot has access to create the illusion of trading profits (internal trading).
When the time comes to exit-scam (when pyramid recruitment slows down), the bots execute lop-sided trades with accounts under iQuandex’s control.
The majority of participants take a loss and the admins disappear.
In conclusion the “you’re always in control of your money” pitch is a con.
If iQuandex’s owners actually had a bot capable of generating consistent 50% returns, they’d be quietly running it for themselves.
Update 21st January 2021 – iQuandex has collapsed.
As predicted, Denis Derkach executed rigged trades across the platform about a week ago. Affiliate investor funds were promptly stolen.
Then how do u explain their bot with API keys that link to your own binance account.. We only pay for their bot and link it to our own account.. They have no access to our money at all.
iQuandex runs the bot. All they have to do is execute bogus trades in their favor and sorry for your loss.
Has happened plenty times before. You’ve literally given them access to your money through the bot, so the “they have no access” line is bullshit.
Do u even know how a bot on binance work?.. Our money is in our own binance account they really have no access to that.. We can see the trade taking place in our own binance account…
Do u even know what a binance account is?.. We can even manually open and close the trade ourselves…
It’s not a bogus bot.. The bot really is running.. I suggest u look up on AI and expert advisor
What do u mean open trades in their favour.. their bot have to be working well else no one will continue buying their license..
They earn nothing if their bot is not earning profit… Their bot is a mere $250 license..thats all they earn if they open all losing trades..
You’re going to lose a lot of money because you can’t see these sentences completely contradict each other.
If they had no access to your money they wouldn’t be able to trade with it.
Ah, perhaps the penny started to drop at this point.
They use the control over your money that you gave them to buy worthless shares. They have your money, you have worthless shares, sorry for your loss. Or something along those lines.
Not rocket science and as Oz says it’s happened loads of times before. When you give scammers control of a trading account with your money in it, it’s what happens.
If you want to stick your hand into the mouth of a hungry lion and demand proof that it will get bitten off, knock yourself out.
The “but they can’t touch our money!” exit-scam plays out with you and the rest of the iQuandex investors waking up one day to widespread losses.
Those losses are rigged trades in the scammers favor, through which they steal your money.
iQuandex isn’t the first “but they can’t touch our money!” Ponzi scheme. It won’t be the last.
Of course they need to use our money in the binance account to trade… That’s the whole purpose of opening a binance account.. To trade..
They have no access meaning they have no option to withdraw our money.. Only we can withdraw..
Even if they take all losing trades and lose all our capital they don’t earn from that.. They only earn from a mere $250..so it’s not in their best interest to trade awfully
They don’t need to. When the time comes they execute rigged trades in their favor and withdraw your money from their accounts.
You don’t seem to be getting through bot code, they can do whatever they want with your money.
Here’s an example from last year, MIA. There’s been four or five from memory.
Read the comments and you’ll see the same “bUt ThEy CaN’t ToUcH oUr MoNeY!” nonsense. MIA did to their investors what iQuandex will eventually do to you.
Of course they do. Every losing trade has a winner. If a known scammer executes a losing trade with your money, who do you think the winner will be? Scrooge McDuck?
Hello OZ & Malthusian
Read all the article & comment, was interesting.
Seen a lot of HYIP MLM, I was thinking this one was a real “safe” project because they use Binance &API.
So basically, the API just give the right to TRADE & nothing else.
So my question is:
If the “bot” decide to make my account empty by shorting the btc without stop loss & lose all my money.
How the money go to scammers accounts ? Its just another lost trade in the crypto world ? I dont understand how the scam work. I dont understand how they get back the money on their account just by executing losing trade.
Sorry for my bad bad english, did my best.
You’re assuming the nature of the rigged trade.
All iQuandex has to do is change the code of the bot to trade in their favor. In every trade there is a winner and a loser.
One day iQuandex investors wake up to find they are all losers. iQuandex admins then disappear.
This is how the “but they can’t touch our money!” trading bot exit-scam plays out.
So basicaly every copy trading business with API in the world (human or robot) is possibly a scam coz people can use ur money “to trade in their favor”?
I just dont understand how u can put a trade “in ur favor” since a trade on binance is basically:
You choose a crypto, & you bet if it will go up&down.
Can you give me an example of trade iQuandex could do in their favor?
thank you to take ur time for responding me.
No idea and don’t care.
iQuandex is an MLM company offering unregistered securities. The only reason an MLM company chooses to operate illegally is because it’s a scam.
You don’t have access to the bot code. You have no verifiable evidence of what iQuandex’s bot is or isn’t doing.
iQuandex are legally required to provide financial regulators and the public with disclosures regarding their bot. They don’t because obvious scam is obvious.
Yea I was just wondering coz copytrading is democratized now. I have seen a lot of people copying trader on etoro (for example).
I literaly see all the trade in my Binance Future interface & I can instant withdraw benefit to my Binance wallet. (I wish I can post screen’s).
I totaly understand ur point about regulators. I was just wondering how they do to “trade in their favor” when Binance futures allow you to trade on Crypto value only.
I dont try to defend this, just trying to understand how the scam work if its rly a scam.
For me iQuandex is not like Antares, bitero, picus (there is nothing behind those hyips & all the monopoly money is stocked on the website, thats how they scam). Real trades on BTC are done.
If you have an example of copytrading scam (with a regulate exchange like binance) who turned to a scam, can you give me a link please?
Coz u quoted MIA but this is totaly not the same case, it was just a hyip without any proof of real trading behind).
Just a screen to proof the bot is rly trading.
Remember this is on BINANCE, the most biggest EXCHANGE in the world & not in a random website where u can auto edit what ever u want coz u own it.
Just wanted to show u, what do you think ?
And? You see what the current bot programming is. That code can be changed at any moment.
Again, it’s bot code. iQuandex has access to your account (money) and they can change the code at any time.
If iQuandex was legitimate there’d be no need to commit securities fraud and operate illegally.
So prove it then with legally required audited financial reports.
There’s been a few recent Asian ones from memory. I don’t typically cover the trading exit-scam collapses beyond “sorry for your loss” so it’s difficult given the size of BehindMLM (have to run manual search strings which is tedious).
Here’s a Malaysian one – https://behindmlm.com/mlm-reviews/essencefx-review-shady-unit-investment-trading-scheme/
If you read the comments it’s the same “money in our accounts” bullshit. EssenceFX is of course long gone with their funds.
Crypto World Evolution is probably the oldest one I can remember – https://behindmlm.com/mlm-reviews/crypto-world-evolution-review-2000-pro-miner-ponzi-positions/
Website is still up but the opportunity collapsed years ago. Slow scam by a thousand trades. Again the comments are full of “but they can’t touch our money!” nonsense.
With respect to Binance, what they are or aren’t is irrelevant. Legitimacy via association isn’t a thing.
Also social media marketing is not proof of trading. Again, feel free to provide legally required audited financial reports and disclosures.
This is the only acceptable form of evidence and any MLM company that doesn’t provide this to you as legally required is a scam.
These are the facts. You want to invest in iQuandex and give BitClub Network Ponzi scammers more money then go for it.
We’ll be here when you wake up and your account has been cleaned out one way or another.
Also MIA was the same “copytrade can’t touch our money because it’s in our account” bullshit. Affiliates woke up one day to empty accounts.
Read the comments on our MIA review, it’s the same scam model as iQuandex – https://behindmlm.com/mlm-reviews/mia-review-malaysian-spot-gold-trading-scheme/
LiquidFuel is another one (long since collapsed, accounts emptied, sorry for your loss etc.) – https://behindmlm.com/mlm-reviews/liquidfuel-review-securities-fraud-crypto-trading-scheme/
(Simplified) Let’s say bitcoin is at USD 19,280 at the moment. Have the bot your customers use set a sell stop at say 19,000 and buy them yourself immediately at that price. Then sell them for 19,250 to whomever on the market.
Just do this a couple of times with a huge leverage with smaller discrepancies between buying and selling, blow the customer’s account and then explain it away with “software went haywire”, “huge volatility on the crypto market” or something along those lines.
Those traders aren’t professionals and thus aren’t asset managers. The end effect for a copying customer may be roughly the same, there is a legal difference though.
With a company like eToro, you can probably trust the track record of the traders. Unlike with stuff like MIA, iQuandex, Elysium, D.AI.sy and whatever else there may be around at the moment.
Thank you very much guys.
I was not even thinking it was possible to do that.
iquandex completely ignores investors, Now what! According to them;
“OZ” you are a genius mehn, you actually predicted exactly their exist scam will be the investor losing money on the supposedly trading both.
lol it was actually worst they even stole investors deposit that aren’t even on the active trading bot before their bull error.
Someone had 60k on the dashboard which according to him hasn’t been loaded to bot for trading, lol guess what iquandex took all of that money as well telling them that forex market suck their money because they the “admin” had error and didn’t pull out funds.
exactly until how long do people actually say enough is enough, c’mon aren’t things difficult for everyone enough already.
Please update the review because these people still asking victims to purchase new bot on their group and to recruite more downline.
I honestly feel for these self proclaimed investors because they aren’t in their right mind anymore.
There’s also alotta South African Victims once again, just barely 2weeks after MTI and FINALMENTE.
People out there committing suicide over this FINALMENTE shit an now another one. People please STOP .
Please all iQuandex victims contact the police – cybercrime department.
This trade robot usually is manned by mysterious company, with no physical address.
Their claim is that you control your account at the exchange and only you can withdraw. But the trade these bots execute, can be fraudulent – they can polarise a trade and capitulate profit on the other end (since they control many accounts, they can pump a coin using your money en masse, and extract profit on their end, while putting your account “on hold” from gaining profit).
There are many comments mentioning that the profit reported by the bot are vague.
I have used one of the bot briefly, and asked for the transaction details, to allow me to track the purported profits.. they refused to give any statement for any of the trade made.
There are users of this bot mentioning that the exchange rate during selling/buying differs (USDT) and the user loses not only from trade fees, but from the exchange rate. It seems the exchange is also complicit with the bots.