Magellan International Alliances Review: BetChips now e-commerce
Magellan International Alliances operate in the cryptocurrency MLM niche.
A corporate address in Ireland is provided on the Magellan International Alliances website, however further research reveals the address actually belongs to Company Formations International.
Company Formations International provide incorporation services in Ireland. Thus it appears Magellan International Alliances has no actual physical operations in the country.
In early August Jef Welch was appointed CEO of Magellan International Alliances.
According to his Facebook profile, Welch is based out of Georgia in the US. This is also presumably where Magellan International Alliances is being operated from.
On the Magellan International Alliances website Welch (right) states;
I have served in the Direct Sales industry for approximately 40 years in management, establishing international teams, and traveling to almost 70 countries, with respect of the many various cultures around the world.
I chose to align my name and reputation with Magellan, due to the integrity and vision expounded by the Strategic Partnership Alliance.
Welch was recently tied to CGI Limited, through a US bank account seemingly being used to launder funds tied to investment in unregistered securities through.
Back in March Ted Nuyten’s BusinessForHome cited Welch as a “top leader” in CGI Limited.
That same article cites Edward Reyes and Esteban Robles as co-founders of CGI Limited.
BehindMLM’s CGI Limited review revealed the company planned to offer crypto gambling services in the US through its BetChip altcoin and Coinsinos casino.
At the time CGI Limited claimed in additional to Coinsinos, that BetChip was accepted “by a number of casinos”.
This is illegal in the US as per the Unlawful Internet Gambling Enforcement Act.
That was back in April and since then CGI Limited has renamed itself CGI Global and abandoned Coinsinos.
Magellan International Alliances surfaced a few weeks ago, and appears to be the new vehicle CGI Global’s BetChip altcoin will be marketed through.
Read on for a full review of the Magellan International Alliances compensation plan.
Magellan International Alliances Products
Magellan International Alliances has no retailable products or services, with affiliates only able to market Magellan International Alliances affiliate membership itself.
Magellan International Alliance affiliate membership provides access to BetChip altcoin investment.
BetChip, previously tied to illegal gambling, has been reinvented as an e-commerce platform currency.
BetChip can be used within the Magellan economy in selected stores and services online.
Magellan Intl. brings the world of shopping to your fingertips.
Our community of members can experience discounts and savings from many of the leading brands around the world.
No specifics on the “Magellan economy” are provided.
The Magellan International Alliances Compensation Plan
Magellan International Alliances affiliates invest in BetChips.
- Bronze – invest $100 and receive $100 in BetChips
- Bronze Elite – invest $500 and receive $500 in BetChips
- Silver – invest $1000 and receive $1000 in BetChips
- Silver Elite – invest $5000 and receive $5000 in BetChips
- Gold – invest $10,000 and receive $10,000 in BetChips
- Gold Elite – invest $25,000 and receive $25,000 in BetChips
- Platinum – invest $50,000 and receive $50,000 in BetChips
Commissions are paid when they recruit others who do the same.
Each Magellan International Alliances affiliate package corresponds to a “Power 365” daily ROI payout for eight months, beginning after 60 days from the date of investment.
- Bronze – 0.33 cents a day rounded to $10 a month, total annual ROI = $100)
- Bronze Elite – 82 cents a day rounded to $25 a month, total annual ROI = $250
- Silver – $1.64 a day rounded to $50 a month, total annual ROI = $500
- Silver Elite – $3.27 a day rounded to $100 a month, total annual ROI = $1000
- Gold – $16.39 a day rounded to $1000 a month, total annual ROI = $10,000
- Gold Elite – $81.97 a day rounded to $2500 a month, total annual ROI = $25,000
- Platinum – $163.93 a day rounded to $5000 a month, total annual ROI = $50,000
Magellan International Alliances pay recruitment 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.
For the purpose of recruitment commission calculation, each Magellan International affiliate investment package is tied to a lesser amount of sales volume.
- Bronze – 50 BV
- Bronze Elite – 250 BV
- Silver – 500 BV
- Silver Elite – 2500 BV
- Gold – 5000 BV
- Gold Elite – 12,500 BV
- Platinum – 25,000 BV
Magellan International Alliances cap payable unilevel levels at five, with commissions paid out as a percentage of funds invested (calculated off the above BV amounts).
- level 1 (personally recruited affiliates) – 10%
- level 2 – 8%
- level 3 – 6%
- level 4 – 4%
- level 5 – 2%
Magellan International Alliances pay residual commissions 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.
Residual commissions are calculated using the same BV values used to calculate recruitment commissions (BV).
At the end of each day Magellan International Alliances tallies up new investment volume on both sides of the binary team.
Based on BV generated on the weaker binary side, affiliates are paid 10% of invested funds across their binary team.
BV paid out on is flushed from both sides of the binary team, with leftover volume on the stronger side carrying over.
Magellan International Alliances pay a 5% Matching Bonus on residual commissions earned by personally recruited affiliates.
A residual Matching Bonus is paid on up to six generations within a unilevel leg.
Magellan International Alliances define a generation in a unilevel leg when a Navigator of higher ranked affiliate is found in that leg.
This caps off the first generation, with the second beginning immediately thereafter.
If a second Navigator or higher ranked affiliate is found in the leg, the second generation is capped off and a third begins.
Using this generational structure, Magellan International Alliances pay a Matching Bonus on up to six generations per unilevel leg as follows:
- Navigators earn a 15% match on one generation
- Navigator 1 Stars earn a 15% match on the first generation and 20%on the second
- Navigator 2 Stars earn a 15% match on the first generation and 20% on the second and third
- Navigator 3 Stars earn a 15% match on the first generation, 20% on the second and third and 10% on the fourth
- Navigator 4 Stars earn a 15% match on the first generation, 20% on the second and third, 10% on the fourth and 5% on the fifth
- Navigator 5 Stars earn a 15% match on the first generation, 20% on the second and third, 10% on the fourth, 5% on the fifth and 2% on the sixth
Note that the Magellan International Alliances compensation plan does not provide affiliate rank qualification criteria.
Joining Magellan International Alliances
Magellan International Alliances affiliate membership is tied to investment in BetChips:
- Bronze – $100
- Bronze Elite – $500
- Silver – $1000
- Silver Elite – $5000
- Gold – $10,000
- Gold Elite – $25,000
- Platinum $50,000
With Coinsinos abandoned for being entirely illegal, Magellan International Alliances is a second attempt to get BetChips off the ground.
The murkiness of Magellan International Alliances’ corporate structure is your first red flag.
MLM companies don’t operate out of shell incorporation virtual addresses, so be wary of any company that isn’t upfront about its registered place of business.
Alexa currently estimate that the US makes up 89% of traffic to the Magellan International Alliances website.
This is your second compliance red flag.
Regardless of what CGI Global attach BetChips to, investment in the altcoin with the expectation of a passive ROI is a securities offering.
At the time of publication neither CGI Global, Magellan International Alliances, Edward Reyes, Esteban Robles or Jef Welch are registered with the SEC.
This means that Magellan International Alliances is an illegal unregistered securities offering in the US.
Ditto elsewhere in the world, with neither CGI Global or Magellan International Alliances providing evidence of registration with a securities regulator in any jurisdiction they operate in.
At the time of publication the only verifiable source of revenue entering Magellan International Alliances is new investment.
This raises the strong likelihood that daily “Power 365” ROI payouts are simply newly invested funds being used to pay existing investors.
If that’s the case Magellan International Alliances is also operating as a Ponzi scheme.
Upon consideration of those three crucial compliance issues, it goes without saying that no legitimate third-party business is going to accept BetChips.
Speaking of which, no concrete information about the altcoin is provided. CGI Global appear to be holding pre-generated coins, which are flogged off to gullible affiliates at a fixed $1 internal value.
Outside of CGI Global and Magellan International Alliances, BetChips are worthless.
From here it’s the same old MLM cryptocurrency story. Once affiliate recruitment slows down, so too will new funds.
This will starve Magellan International Alliances of ROI revenue, eventually prompting a collapse.
There’s the possibility of ROI payments being switched to BetCoin payments to stave off immediate collapse, however this is just prolonging the inevitable.
Pending regulators in the US cracking down on CGI Global and Magellan International Alliances, the math behind Ponzi schemes nonetheless guarantees a loss for the majority of investors.
Update 18th January 2019 – As of December 15th, 2018, Magellan International has collapsed.
interesting that there is a disclaimer now:
Dec 1 should be more than enough time to rope in the US low hanging fruit!
Unless Jef Welch migrates to some crappy third world country, Magellan International is very much being operated and primarily promoted from within the US.
Ah well, at least they’ve confirmed it’s a Ponzi scheme on their end.
maybe before you consider everything a ponzi you better do better work as you have a fair bit wrong – what a joke.
You are good at SEO though.
Which is why you failed to point out even one mistake, right?
Run along scammer…
if I have invested how do I get out?
“Get out”? Yeah, that’s not how a Ponzi scheme works.
Your best bet is to try and undo how you paid.
its too late for that, they say its going to hit the exchange.
I guess I’m stuck until then and X my fingers. thanks for the reply.
Sorry for your loss :(.
@John Getson can you supply a link to that disclaimer? Looking for it but can’t find that anywhere on megellaninternational.com.
Is this company legitimate and are there any proof of it making gains for its investors?
No and no.
Try reading the review next time.
I attended a summit and in Lagos today and a lot of “too good to be true” stories were laid out about Magellan Int’l. Honestly I’m at a cross road about investing here having read all the reviews herein.
The moderators also said that in seven days from today, 22nd September 2018, the company, Magellan Int’l would be issuing out their IPO that means it would be listed on the SEC.
If I invest today, as they said, I’ll be part of a privileged few to earn some perks, however if I fail to do so today, I might regret my decisions seven days from now.
What should I do?
Would that be the Nigerian SEC or US SEC?
Makes little sense Magellan International would run away from US regulators only to list themselves. That in and of itself requires registration with the SEC.
If they IPO in some backwater with little to no regulation it’s just a cash grab. Anything to keep new investment rolling in for that much longer.
Not gonna be an IPO like other scam coins, going to be listed in its own exchange. Big difference. End of October, great News Folks.
Hate to break it to you but one of the easiest ways to identify an MLM scamcoin is to check whether it can be publicly traded.
If it only exists on an internally controlled exchange it’s not even an altcoin, it’s Ponzi points (think OneCoin and the rest).
Hello Oz. I have purchased a package. It is paying me daily.
Will you do me a favour? If they come out with their own exchange and if their token can be listed on other exchanges and if they show you that their crypo mining does exist to make this sustainable, then will you recant your story and admit that you were perhaps wrong about this ?
register with the SEC and Jef Welch files legally binding evidence showing external revenue being used to pay affiliates, then sure.
Anything less is meaningless pseudo-compliance bullshit. And you do realize you spelled out the typical MLM crypto exit-scam right?
Please help me to understand this , I am attending their presentation tomorrow, 07 November 2018 in Pretoria. Can i invest or retract is per above comments?
Nothing is stopping you from investing. How much you want to lose is up to you.
‘if’ is doing all the work here. you certainly won’t be back to finally admit it’s a scam since you won’t now.
MAGELLAN IS A SCAM FOLKS, BE WORN.
Am told this company collapse is it true?
Most people are not getting paid what they are owed and sales have dropped off to almost nothing.
Magellan has taken the Month of December off. The reason they site is that they’re coming out with a new product line as the “diversification” out of the digital economy.
Apparently it is some kind of traditional MLM product line. Moving away from crypto apparently. How this is going to work will be fun to watch.
The ironic thing is that the only place it might work with new products they are closed in, the USA. This will be difficult/impossible in the short term to make work internationally.
They are officially closed in the USA, even though that is where most of the money came from and the accounts of everyone that listed USA on their profile are frozen.
They’re going to be refunded “real soon now”. They are going to be in the crosshairs of US Law enforcement soon.
They’re toast. They’ll be done within 90 days at the outside.
Just wondering – what is the status of this company. Their website is down.
Magellan International has collapsed – https://behindmlm.com/companies/magellan-international-ponzi-collapses-email-harvest-exit-scam/
Thanks. Thought so.
What is the latest? Are any of the promised refunds being issued?