Bitonite fails to offer possession or govt info on its web site.
Bitonite’s web site area (“bitonite.com”), was privately registered with a redacted Austrian handle on January nineteenth, 2023.
Additional analysis reveals Bitonite advertising and marketing materials citing three co-founders:
- Tanyel Tahtaci – CMO
- Mertkan Boyraz – CEO
- Denis Muric – CSO
Apart from he’s a crypto bro from Turkey, I wasn’t capable of put collectively an MLM historical past for Tanyel Tahtaci. Identical story with Mertkan Boyraz, initially from Austria.
Denis Muric is a crypto bro from Germany.
Previous to co-founding Bitonite, Muric was selling the MarketPeak Ponzi scheme.
In some unspecified time in the future all three Bitonite co-founders have left their native international locations for Dubai.
Bitonite gives a shell firm company handle within the Marshall Islands on its web site. With all three co-founders based mostly out of Dubai although, it’s apparent the UAE is the place Bitonite is being run from.
Bitonite having ties to Dubai is an computerized crimson flag, owing to Dubai being the MLM crime capital of the world.
BehindMLM’s pointers for Dubai are:
- If somebody lives in Dubai and approaches you about an MLM alternative, they’re attempting to rip-off you.
- If an MLM firm relies out of or represents it has ties to Dubai, it’s a rip-off.
If you wish to know particularly how this is applicable to Bitonite, learn on for a full overview.
Bitonite’s Merchandise
Bitonite has no retailable services or products.
Associates are solely capable of market Bitonite affiliate membership itself.
Bitonite’s Compensation Plan
Bitonite solicits funding in USD equivalents of bitcoin. That is completed on the promise of a passive return.
Bitonite additionally presents a foreign exchange funding scheme, by which it solicits between $100,000 to $300,000 in funding.
Marketed returns on Bitonite’s foreign exchange providing are 3% to 10% a month.
The MLM aspect of Bitonite pays on funding and returns paid to recruited associates.
Bitonite Affiliate Ranks
There are twelve ranks inside Bitonite’s compensation plan.
Together with their respective qualification standards, they’re as follows:
- Bronze – generate $5000 in downline funding quantity ($250 should come from personally recruited associates)
- Silver – generate $25,000 in downline funding quantity ($500 should come from personally recruited associates)
- Gold – generate $50,000 in downline funding quantity ($2000 should come from personally recruited associates)
- Platinum – generate $100,000 in downline funding quantity ($3000 should come from personally recruited associates)
- Emerald – generate $250,000 in downline funding quantity ($6000 should come from personally recruited associates)
- Diamond – generate $500,000 in downline funding quantity ($15,000 should come from personally recruited associates)
- Govt – generate $1,000,000 in downline funding quantity ($25,000 should come from personally recruited associates)
- Icon – generate $2,500,000 in downline funding quantity ($75,000 should come from personally recruited associates)
- Ambassador – generate $5,000,000 in downline funding quantity ($150,000 should come from personally recruited associates)
- Crown – generate $10,000,000 in downline funding quantity ($250,000 should come from personally recruited associates)
- Legend – generate $25,000,000 in downline funding quantity ($750,000 should come from personally recruited associates)
- President – generate $50,000,000 in downline funding quantity ($1,500,000 should come from personally recruited associates)
Residual Commissions
Bitonite pays residual commissions by way of a unilevel compensation construction.
A unilevel compensation construction locations an affiliate on the high of a unilevel workforce, with each personally recruited affiliate positioned immediately beneath them (stage 1):
If any stage 1 associates recruit new associates, they’re positioned on stage 2 of the unique affiliate’s unilevel workforce.
If any stage 2 associates recruit new associates, they’re positioned on stage 3 and so forth and so forth down a theoretical infinite variety of ranges.
Bitonite caps payable unilevel workforce ranges at eight.
Residual commissions are paid as a proportion of passive returns paid to associates throughout these eight ranges as follows:
- stage 1 (personally recruited associates) – 4.75%
- stage 2 – 3%
- stage 3 – 2.75%
- stage 4 – 2.25%
- stage 5 – 1.75%
- stage 6 – 1.5%
- stage 7 – 1.25%
- stage 8 – 0.75%
Word that Bitonite associates should qualify for funds throughout ranges 3 to eight:
- qualifying for stage 3 residual commissions requires a private $500 funding
- qualifying for stage 4 residual commissions requires a private $1000 funding
- qualifying for stage 5 residual commissions requires a private $2500 funding
- qualifying for stage 6 residual commissions requires a private $4000 funding
- qualifying for stage 7 residual commissions requires a private $6000 funding
- qualifying for stage 8 residual commissions requires a private $8000 funding
Buying and selling Price Commissions
Bitonite collects a payment when bitcoin is invested into its buying and selling scheme.
A fee on this payment (as much as 12.5%) is paid down three ranges of recruitment:
- stage 1 – 25%
- stage 2 – 15%
- stage 3 – 10%
Training Bundle Commissions
Bitonite sells “schooling packages”. Pricing isn’t supplied of their advertising and marketing supplies however we do know they pay commissions on schooling bundle purchases down three ranges of recruitment:
- stage 1 – 20%
- stage 2 – 15%
- stage 3 – 10%
- stage 4 – 5%
Foreign exchange Funding Commissions
Bitonite pays a fee on funds invested into its foreign exchange scheme.
- recruit an affiliate who invests $100,000 and obtain $400
- recruit an affiliate who invests $200,000 and obtain $800
- recruit an affiliate who invests $300,000 and obtain $1120
Further residual commissions are paid throughout “phases” of the foreign exchange scheme.
Rank Achivement Bonus
Bitonite rewards associates for qualifying at Bronze and better with the next one-time Rank Achievement Bonuses:
- qualify at Bronze and obtain $50
- qualify at Silver and obtain $250
- qualify at Gold and obtain $500
- qualify at Platinum and obtain $1000
- qualify at Emerald and obtain $2500
- qualify at Diamond and obtain $5000
- qualify at Govt and obtain $10,000
- qualify at Icon and obtain $25,000
- qualify at Ambassador and obtain $50,000
- qualify at Crown and obtain $100,000
- qualify at Legend and obtain $250,000
- qualify at President and obtain $500,000
Becoming a member of Bitonite
Bitonite affiliate membership is free.
Full participation within the hooked up revenue alternative requires an funding in bitcoin.
Bitonite fees a payment on invested bitcoin, decided by how a lot is invested:
- make investments as much as $999 and pay a 12.5% payment
- make investments $1000 to $4999 and pay a ten% payment
- make investments $5000 to $9,999 and pay a 7.5% payment
- make investments $10,000 to $24,999 and pay a 5% payment
- make investments $25,000 or extra and there’s no payment cost
Participation in Bitonite’s foreign exchange funding scheme prices a further $100,000 to $300,000.
Bitonite Conclusion
Bitonite presents passive returns by purported cryptocurrency and foreign currency trading. This constitutes a securities providing.
What Bitonite doesn’t provide is proof it has registered its securities providing with monetary regulators within the jurisdictions it solicits funding in.
SimilarWeb at present tracks high sources of visitors to Bitonite’s web site because the US (25%), Finland (20%), the Netherlands (16%), France (15%) and Egypt (14%).
Within the SEC, securities are regulated by the SEC. Bitonite’s foreign exchange funding scheme may even require registration with the CFTC.
Via a fast search of the SEC’s publicly out there Edgar database, we are able to affirm neither Bitonite or its co-founders are registered.
Because of this at a minimal, Bitonite is committing securities fraud. Securities fraud goes hand in hand with MLM firms working Ponzi schemes.
It ought to go with out saying that including schooling packages to funding fraud doesn’t legitimize it.
As a substitute of working legally and registering with monetary regulators, Bitonite presents up unverifiable buying and selling outcomes:
For the aim of MLM due-diligence, and however this isn’t an alternative to registration with monetary regulators, this knowledge is meaningless.
If we take a step again, with Bitonite we’ve got two unknown crypto bros and a former Ponzi promoter. Out of the blue they met up with a bunch of merchants and at the moment are providing passive returns of as much as 10% a month.
Toss in Dubai and all indicators level to Bitonite working a Ponzi scheme. Hooked up to it is a pyramid scheme, by means of nothing being marketed to or bought to retail prospects.
As with all MLM Ponzi schemes, as soon as affiliate recruitment dries up so too will new funding.
It will starve Bitonite of ROI income, finally prompting a collapse.
The mathematics behind Ponzi schemes ensures that after they collapse, the vast majority of individuals lose cash.