Introduction to OneCoin MLM Compensation Plan
The last few days have been full of reminders of why I did not major in a Science, Technology, Engineering, and Mathematics (STEM) field during my brief college career. The conversation about pregnancy and pregnancy hormones that I had to listen to right before and during Easter dinner made me thank my lucky stars that I have never been a biology major or a doctor, and conducting research for this OneCoin review of mine made me glad that I was never a computer science major. That said, I take great pride in the fact that Notebook Crazy is the thinking man’s multilevel marketing (MLM) review site, and I make a sincere effort to present the most accurate facts possible about all topics directly and indirectly related to the MLM companies that I review on this site, and thus, researching this OneCoin review led me into territory where all but economists and tech sector types fear to tread.
The OneCoin reviews I read while researching this OneCoin review left me with the impression that a lot of the people who join the OneCoin business opportunity have little understanding of cryptocurrency. To be honest, I had heard of Bitcoin before and the only thing I really knew about I were rumors that people use Bitcoin to pay for things so dastardly that they would not considering tarnishing the already sullied reputation of paper currency by spending suitcases full of $100 bills on them. But I knew very little about what Bitcoin and other currencies like it actually are and how they worked.
I was imagining that cryptocurrencies (as I found that Bitcoin and similar digital currencies are called) worked just like PayPal, where you just transfer money from one account to another, and because the purposes of your transactions are so unwholesome that you would never want anyone who knows you in real life to know about them, it is done through accounts that are hard to trace to your US currency bank accounts, your name, your Social Security number, and other identifying details. I thought that their value remained stable because of some type of “honor among thieves” agreement, that the “invisible hand” of capitalism made it all work out. But then I heard the term “cryptocurrencies”, and I imagined these things (if we can even call them things) being to economics what Bigfoot and other cryptids are to the legitimate science of zoology. Needless to say, by the time I had read all the way to the end of the first paragraph of the first Wikipedia article I read today, I was thoroughly confused.
But after reading my share of Wikipedia articles, OneCoin reviews, and news articles on the OneCoin scam, I think I understand. Cryptocurrencies have less in common with currencies like the dollar and the Euro than they do with precious metals like gold, silver, and platinum. A unit of a cryptocurrency (a virtual “coin”, if you will) is a piece of code, but they have been designed to function as much like precious metals as strings of zeroes and ones possibly can. The programmers who make them only make a limited number of them, as the Creator has only made a finite amount of each of the precious metals in the Earth’s crust. To obtain these digital coins, you must “mine” for them by making your computer exchange certain information with the source of the coins. I highly encourage you to read the Wikipedia article on cryptocurrencies to find out more about exactly how the creation, mining, and exchange of cryptocurrencies works.
Most countries that have passed legislation regarding cryptocurrencies consider it legal to mine for them, but in some regards, their use remains a legal gray area. Over 1,000 cryptocurrencies have been created, with Bitcoin being the one that has the highest market value. There was even a novelty cryptocurrency called Coinye West. Its developers created it just for fun (much like, in their youth Steve Jobs and Steve Wozniak once made a phone call to the Pope just for fun), but my fellow Midwesterner the real Kanye West was not amused by them naming a cryptocurrency after him without his input, and he sent them a cease and desist letter. One of the main criticisms of cryptocurrencies is that it takes so much computer equipment to keep them in circulation that they are not really any better for the environment than paper currency; at least paper is biodegradable. Another criticism is that cryptocurrency can be lost permanently if one of the computers associated with it crashes, as has happened before to several cryptocurrencies.
So, as you know, I am always wishing to review currencies that sell something other than the same old vitamin supplements, and today I got another reminder that I should be careful what I wish for. When the cryptocurrency world and the MLM world collide, it is bound to get interesting. Ladies and gentlemen, my OneCoin review.
OneCoin: The Company and Its Products
There is a lot of conflicting information out there about the OneCoin business opportunity, and as the journalists who have written about the OneCoin scam have been quick to point out, a lot of it is written in English that is less than idiomatic. The company’s headquarters are variously said to be in Bulgaria, Hong Kong, and Gibraltar, of which the latter is famous for being a tax haven. Its founder is RujaIgnatova of Bulgaria, and one of the spokesmen for OneCoin, Kari Wahlross, is an MLM veteran with the usual MLM veteran reputation.
The OneCoin business opportunity is an opportunity to invest in a cryptocurrency called OneCoin. When you sign up for the OneCoin business opportunity, you get some education materials about cryptocurrencies and investing in them, and you get some tokens. The tokens are not actually OneCoin. You can perform various transactions with these tokens with other OneCoin members, and there seems to be some promise that someday you can actually redeem them for OneCoin. The only problem is that OneCoin does not actually exist.
It is as though I told you that scientists were about to discover a new precious metal called Bradonium in the Earth’s crust below the Midwest. I would tell you that Bradonium is about to be worth its weight in platinum and then some, and you can sign up now to invest in it, so that you can be filthy stinking rich before you know it. You could even recruit other people to invest in Bradonium, and you would get commissions just based on the fact that they had signed up under your sponsorship. The only thing is, there is no Bradonium, and even people who had bought plankton coolers and magnetic mattresses and expensive shiny nicotine patches without the nicotine and even that awful magic wand that makes your cytoplasm do the fandango would laugh at you for being foolish enough to believe that there was.
All of the prices on the OneCoin website are listed in Euros, and the OneCoin website claims that the OneCoin business opportunity is available throughout Europe, Africa, and Southeast Asia. According to Wikipedia, OneCoin has run afoul of the authorities in Bulgaria, Finland, Latvia, Norway, and Sweden. The OneCoin website does contain a disclaimer that it is not possible to sign up for a OneCoin membership in certain countries. One such country in which the OneCoin business opportunity is not available is the United States, so I guess we dodged a bullet here.
The OneCoin Compensation Plan
At the very least, I can say that the leadership levels of the OneCoin compensation plan are clearly listed on the OneCoin website. The leadership levels of the OneCoin compensation plan are as follows: Rookie, Starter, Pro Trader, Executive Trader, Tycoon Trader, and Premium Trader. You can enter the OneCoin business opportunity at any level, depending on which starter package you buy, and with the increasing price of starter packages comes an increasing amount of training materials about trading and mining cryptocurrency. It is free to join the OneCoin business opportunity as a rookie, because I don’t know why anyone would pay actual currency to get called a rookie by the MLM industry. Beyond that, joining at the Starter level cost 100 Euros, and then the prices keep increasing. It’s 500 Euros for the Trader Package, 1,000 Euros for the Pro Trader Package, 3,000 Euros for the Executive Trader Package, 5,000 Euros for the Tycoon Package, 12,500 Euros for the Premium Package, and a whopping 25,000 Euros for the Trader Package.
Much like the Karatbars business opportunity, and to a lesser extent QNET, the OneCoin business opportunity plays on consumers’ fears that fiat currencies (such as the dollar and the Euro) will not be there for them when it matters most, but whereas Karatbars lets you pay a certain amount of US currency for a gram of gold, OneCoin is simply selling you an opportunity. All you really get is some educational materials (which ones you get depends on which starter package you buy) and some tokens which, according to one of the news articles I read about the OneCoin scam, you can allegedly use to mine for actuals OneCoins at some unspecified point in the future.
Oh, and then there are those warnings on the OneCoin website about how the management of OneCoin cannot guarantee that the information on the OneCoin website is true, and the one about how the OneCoin compensation plan is subject to change without warning.
Advantages and Disadvantages
- At least OneCoin products are not nutraceuticals.
- The names of the leadership levels in the OneCoin compensation plan are more interesting than the usual bronze, silver, gold, platinum schema that you usually see in MLM compensation plans (What other MLM compensation plan has the chutzpah to refer to its members as rookies?), but given the affinity between cryptocurrencies and precious metals, it would actually make sense to use the precious metal naming system for the leadership levels in the OneCoin compensation plan.
- OneCoin products will not pile up in your basement nearly as quickly as things like vitamin supplements and fungus coffee will. It may, however, fill you with rage when your house gets foreclosed, and as you are quickly going through your stuff to decide what to bring with you when you move into your parents’ house, you find those OneCoin training materials in your basement under all that MLM merchandise. You can’t even sell them at a loss on ebay.
- I may have bet my mother garlic knots to an elegant Mother’s Day brunch that I would write about Dolly the cloned sheep on this website, but I would never dream of involving my dear mother in an MLM scheme. If the other OneCoin reviews I read while researching this OneCoin review are to be believed, the same cannot be said for OneCoin founder RujaIgnatova and her mother Veska.
- The OneCoin scam is so obviously a scam that people who fall for it might be so embarrassed that they fell for it that they would hesitate to speak out about. This is true of a lot of MLM companies, but the signs that the virtual precious metal known as OneCoin does not even exist are so clear that you only have to do a little bit of research to figure out that it is a terrible idea to invest in the OneCoin business opportunity. After all, you would do research before actually handing over your money if you were investing in the stock market.
The cryptocurrency gimmick is clever indeed, but at the end of the day, the OneCoin business opportunity is just another MLM scam that sells you educational materials that teach you to promote products that don’t exist. You have a better chance of getting rich by going door to door selling copies of Bigfoot Hunting for Dummies.
Seriously, want to invest in some Bradonium? What do you mean no? Schedule a call with me today, and I will make a believer out of you.