A couple people asked my view on this fad showing up more and more on social media. I don’t mean providing hackers with your information by playing esoteric online games. Listen, nobody actually cares what you as a dude would look like as a middle-aged woman. No, I’m referring to this program called Cash Forex Group.
Now at first glance I could see why people are drawn to it, after all it has cash and forex in the name, I mean who doesn’t want either of those right?? My initial thoughts was this seems like a ponzi scheme with a touch of pyramid-ness much like these new age sou-sous. However, I said to myself “self, let’s do some research before we call down a plague on the houses of the founders and those trying to chain me up”.
The first thing I’ve learned to do when checking whether a website is legit is to check the ownership. There’s a site called whois.com that gives the ownership information and address of the registered offices of a website. No surprise, the website was registered in 2019, the owner of cashfxgroup.com is unlisted and the address is a P.O. Box in Panama. Now it’s not the Panama registration alone that got my “Spidey-sense” tingling yuh know, because I’m sure there are legitimate businesses in Panama, it was the fact it is a P.O. Box and not a physical address. My lawyer Perry Mason might not be able to find them when is time to do like Ninja Man and “sue everybody and done!”
OK, so then I figured let me see if I could find out what they’re selling and how it works. After trying to navigate the hieroglyphics and Sudoku level encryption that is their website I learned they’re actually two ways to make money in this scheme, err sorry, program. The first way is you can make money from ROI commissions. The amount you earn is based on your level of investment. Investment levels go from $300 all the way up to $100,000. According to my research they promise you can earn between 200% and 400% on your investment with returns capped at 15% per week…PER WEEK! That’s 60% per month. Now where have I heard of those returns being generated consistently and legitimately before? Oh that’s right, NOWHERE.
The second way you can earn money is from a referral commission system. You can’t sign up to their website program directly, you need a referral link. Hmm that’s not cool. Anyway, I won’t confuse you with all the nebulous details but all you need to know is that there are apparently 7 levels or ranks. These ranks have fancy names like Affiliate, Executive, Manager, Director, President Club, Ambassador and Global Ambassador (the big sawatee). Of course with each rank there is an investment level and minimum number of people you need to bring in and maintain. Of course you get paid a percentage based on their investment and “production”. Sounds familiar ent?
When it’s time for payouts, apparently you are taught to reinvest to increase our returns. Some might say reinvestment is the grease in every ponzi machine but not me eh, I didn’t say it. If you do decide to withdraw there is a fee of 20% where half of the fee will go to pay referral commissions. In the midst of all this they provide you with cutting edge technology, training and it appears everything is done using bitcoin.
So the question is naturally, is this Cash Forex Group thing a scam? Well, it isn’t registered with the Better Business Bureau but even more than that, the UK’s Financial Conduct Authority issued a warning in December 2019 stating “We believe this firm has been providing financial services or products in the UK without our authorization. Find out why to be especially wary of dealing with this unauthorized firm and how to protect yourself from scammers.”
Some people will point to the fact that they have been receiving payments every Saturday as evidence that it’s totally legit. Others would retort with the fact that ponzi and pyramid schemes can run for years before eventually collapsing and nobody knows when that could be. In any case, big hard back adults are free to put their money in any risky venture they feel, once it is legal. Just make sure you understand the risks and don’t go crying to anybody if you end up getting hustled aka buying “cyat-in-bag”.
My take is this: I am very weary about anything that promises consistent, predictable, ridiculous returns that aren’t possible in any established markets, requires you to recruit others, makes it difficult to cash out and operates without 100% transparency in terms of financial accounts and regulatory oversight.
If it walks like a duck, quacks like a duck, defecates everywhere like a duck…you be the judge.