KickEX Review: KICK token resurrection scheme
KickEX provides no information on its website about who owns or runs the company.
KickEX’s website domain (“kickex.com”) was first registered in 2014. The private domain registration was last updated on May 24th, 2019.
On their official Facebook page, KickEX describes itself as a “financial service in Moscow, Russia”.
KickEX appears to be part of the KICK ecosystem, headed up by founder and CEO Anti A. Danilevski (right).
Why this information isn’t disclosed on KickEX’s website is unclear.
Prior to getting involved in cryptocurrency Danilevski worked in the video game industry.
In 2015 Danilevski became an angel investor for Whirl. He transitioned into a Whirl Board Director in June 2017.
As per Danilevski’s LinkedIn profile, Whirl is
a socially driven, “pay it forward” crowdfunding platform built on the blockchain, designed to help individual projects, through mutual scalable support.
This sounds a lot like KickICO, the first launched component of the KICK ecosystem.
At the time of publication Alexa ranks Whirl’s website at over 2.3 million, which for an online business is pretty dead.
To the best of my knowledge Danilevski has no prior MLM experience.
Read on for a full review of KickEX’s MLM opportunity.
KickEX has no retailable products or services, with affiliates only able to market KickEX affiliate membership itself.
KickEX affiliate membership provides access to an in-house cryptocurrency exchange.
KickEX’s Compensation Plan
KickEX affiliates earn commissions when downline affiliates pay exchange trading fees.
These commissions are paid out 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.
KickEX caps payable unilevel team levels at ten.
Commissions are paid out as a percentage of trading fees generated across these ten levels as follows:
- level 1 (personally recruited affiliates) – 15%
- level 2 – 10%
- level 3 – 8%
- level 4 – 6%
- level 5 – 4%
- level 6 – 3%
- level 7 – 2%
- level 8 – 1%
- levels 9 and 10 – 0.5%
A number of recruitment bonuses (paid in KICK) are also offered. These promotions are running till KickEX launches.
I haven’t included them here because they aren’t MLM related and there’s no provided KickEX launch date.
KickEX affiliate membership is free.
The MLM side of KickEX is surprisingly legitimate.
Users sign up, use the exchange and commissions are paid on exchange trading fees.
What you do on the exchange has nothing to do with generated commissions, it’s purely based on collected trading fees.
The problem is what KickEX’s compensation plan is attached to.
KickEX began as KickICO back in 2017.
KICKICO is an ecosystem-based platform that provides everyone with an opportunity to buy tokens of new groundbreaking projects in their early stages.
KickICO launched with its own KICK token… which flopped.
KICK followed your typical crypto shitcoin pump and dump trajectory.
It launched at a hyped 24.9 cents value in late 2017 (early investors cashed out here). KICK then dumped throughout 2018 and 2019 to its all time low of $0.000062 in December 2019.
Things have picked up over the past two weeks or so, relatively speaking, to the current $0.000082 value.
And that brings us to KickEX, which is the likely driver.
Compensation explanations on KickEX’s website suggest referral commissions are paid in KICK token, or at least rely on them.
KickTokens will serve as a fuel that is used to receive the referral rewards, be it in BTC, ETH or other currencies.
For each $1, $0,1 worth of KickTokens will be deducted from the expense account.
KickEX affiliates having to buy into KICK to withdraw commissions probably accounts for the recent spike in activity.
Again not a problem in and of itself; KickEX appears to be a legitimate enough exchange, but that’s not the whole story.
The only measure of KICK token bagholders I was able to ascertain was this from a KickICO November 2019 press-release:
The Frozen Drop will be distributed among 167,375 users of the crypto industry according to our magic algorithm, so there is a possibility that you will be the lucky recipient of some of 888,888 KickTokens.
We cannot disclose how the algorithm works, but we can say that it takes into account many factors, such as the active use of your Ethereum wallet, whether you have moved funds in or out in the last 30 days and the number of popular tokens on your balance.
Magic algorithms aside (epic facepalm), there appears to be at least 167,375 KICK token bagholders.
What you’re essentially buying into, the “Kick Ecosystem” as it’s referred to, is a community of people who are desperate to cash out.
KICK in terms of token value isn’t going anywhere. Through trading referral commissions, KickEX affiliates are being coaxed into using KICK tokens.
Why? Because maybe that’ll temporarily increase the value.
For the record there’s no reason KickEX needs to charge “fuel” for commission withdrawals. The only reason they’ve set it up this way is to generate artificial demand.
In summary, if you want to buy into the KICK ecosystem and relieve early investors of their KICK tokens, by all means sign up for KickEX and start promoting.
Just know what you’re getting yourself into, and potentially anyone else you sign up.
At the end of the day KICK is just another worthless ethereum ERC-20 shitcoin. Someone’s going to be left holding the bag…
Footnote: Anti A. Danilevski’s KICK ecosystem is not to be confused with KiK Interactive, who the SEC sued last year for securities fraud.