Cryptex Review: Is It A Crypto-Based Ponzi Scheme? The Truth Exposed (Latest Update 2023)

cryptex
This is a user-generated post. Gripeo does not take responsibility for the accuracy of any statements made in this post.
Cryptex is another MLM company that claims to give daily ROI to investors through smart-contracts. Find out more about them here.

Cryptex’s website does not include ownership or executive credentials.

Before we get started with this review
Such posts are made possible by the collective efforts of our contributors. If you can provide any kind of insight into this company or a similar company/individual, then share your information with us using our secured form.

You can help us put a stop to online scams before they grow too big and end-up ruining thousands of lives. A scam is a scam, doesn’t matter if it’s big or small. Now that this is out of the way, let’s get started with the review.

In August 2020, Cryptex’s webpage address namely cryptex.to was legally registered. Based on its website source code, Cryptex looks to have been built around June 2021.

According to SimilarWeb, the leading sources of internet traffic to Cryptex’s webpage are Germany at 82%, El Salvador at 8%, & Martinique at 3%.

Not entirely conclusive, the proportion of visits from German shows that whoever is controlling Cryptex has connections to Germany.

It’s interesting to note that, notwithstanding its domains growing older, Cryptex stayed dormant till the beginning of 2023.

Always remember that if a multilevel marketing firm fails to be honest regarding who runs or controls it, consider twice before enrolling as well as turning over any of your cash.

Products by Cryptex

Cryptex offers no retailable merchandise or services.

Our Methodology

We look at 34 different data points when analyzing and rating online money-earning opportunities. Once the research on these data points is submitted, expert contributors reach out to the company’s customers and associates to get more insight into their operation. Finally, all the collected information is presented in the form of this expert review.

All the data is extracted from publicly available information and the sources are given in the transparency section at the bottom of every report.

These reports are made possible by the collective efforts of contributors like you. If you would like to become a contributor then contact us here.

21/11/2023 Update
As of now, Cryptex has not responded nor has it apologized for its misdeeds. They have ignored our efforts to highlight the problems faced by their victims. Furthermore, they have only focused on propagating their fake PR.

Affiliates can promote Cryptex associate subscriptions.

Cryptex’s Compensation Scheme

It seeks investments in Bitcoin of one hundred dollars.

This occurs in exchange for a guarantee of promised returns the following results:

Plan Invest Receive
3 Years $100 ROI daily for 36 months
5 Years $100 ROI for 60 months
7 Years $100 ROI daily for 84 months

Members of the company may participate in multiple hundred dollars shares at every level.

It’s worth noting that Cryptex retains an affiliate’s first hundred dollars payment as a managing charge.

Cryptex’s MLM business is based on its attraction of associate partners.

Referral commissions 

Cryptex pays commissions for referrals through a one-level incentive scheme.

In a unilevel remuneration system, a partner is put at the highest position of a unilevel group, with each newly hired associate positioned right beneath themselves at level 1:

mlm

Contract for three years of investment

  • level 1 – Thirty percent
  • levels 2 to 4 – Five percent 
  • Levels 5 and 6 – Four percent 
  • Levels 7 to 10 – Three percent 

Contracts for between five and seven years of investment

  • Level 1- Fifty percent 
  • Level 2- Ten percent 
  • Level 3- Five percent

Recurring Commission 

Cryptex generates additional revenue through a similar unilevel team that pays referral commissions. 

Cryptex provides residual fees on up to twenty tiers, however, referral commissions are limited to ten unilevel team tiers. 

Residual commissions are paid to unilevel team colleagues as a percentage of their daily return on investment, as follows:

  • Level 1- Eight percent 
  • Levels 2 to 4- Five percent 
  • Levels 5 to 8- Four percent 
  • Levels 9 to 12- Three percent 
  • Levels 13 to 16- Two percent 
  • Levels 17 to 20- One percent 

It is important to keep in mind that residual commissions will be paid out after an investment contract has been completed for three, five, or seven years. 

Participating in the MLM Scheme

Their affiliation is completely free.

A hundred dollars commitment is required to fully participate in the linked income potential.

Cryptex is looking for investors in several cryptocurrencies.

If you have sensitive information or have had a personal experience with Cryptex but want to stay anonymous, then submit it using our secured form. You can connect with our expert contributors and help in finding the truth. We never share your information with 3rd parties.

Summary

Despite being a standard smart-contract Ponzi fraud, Cryptex claims to be the first of such schemes globally.

cryptex review

Smart-contact MLM crypto Ponzis existed before the NFT swindle. MLM cryptocurrency Ponzis can continue to employ contract technology, but the notion that it is something novel is obsolete.

Cryptex employs the staking Ponzi scam. Associates who make investments in cryptocurrencies, plus Cryptex displays monopolistic currency staking profits within its back office.

Losses are financed by bitcoin that has been previously put into it, which works until losses eventually exceed the amount for additional expenditure.

As an MLM crypto Ponzi plan, this is going to correspond with the decline of Cryptex associate recruiting.

Cryptex’s investment strategy is classified as a service transaction by the Securities and Exchange Commission.

Germany is Cryptex’s key shareholder market. BaFin regulates stocks in German.

Cryptex does not indicate that it has filed the securities it is a transaction with BaFin, implying that the business is engaging in securities fraud and conducting business unlawfully at the very least.

Cryptex claims that its three-year investment schemes are “being sold out.”

I believe that such positions are owned by Cryptex’s administration along with the initial German fraudsters.

It’s essentially banking on idiots that will sign up for Cryptex’s 5- & 7-year plans to support their theft of data.

The logic of these Ponzi schemes ensures that whenever they eventually fail, a great deal of participants forfeit cash.

What is a Ponzi Scam?

A fraudulent scheme is a type of financial scam in which current investors are paid using monies gathered from prospective investors. Designers of fraudulent investments frequently offer to invest their cash and earn enormous profits with no or little danger. 

However, those involved in many Ponzi-like schemes refrain from investing the funds they receive. Rather, marketers utilize the money to repay people who invested before and may keep part for themself.

Scams such as Ponzi schemes require an ongoing supply of fresh cash to survive since they have no or little real revenue. 

Such investments tend to fail when it gets difficult to recruit fresh investors or whenever a big proportion of current shareholders payout.

The Ponzi schemes have been designated after Charles Ponzi, who defrauded shareholders with a stamp-speculating scam in the early twentieth century.

Are Ponzi fraudulent schemes authorized?

Ponzi schemes are illegal. They are a type of investment fraud & an illegal act. Ponzi programs contravene commodities rules and regulations including prohibiting fraud in the securities industry and necessitating the registration of commodities offerings.

The Securities and Exchange Commission is the primary federal agency in the United States in charge of implementing financial rules and regulations. 

People and companies who violate securities laws & rules, particularly those who conduct Ponzi-like schemes, could face SEC prosecution.

The Securities and Exchange Commission has the authority to start civil compliance processes to obtain financial penalties along with additional treatments, as well as send criminal cases to the Ministry of Defense for investigation.

In addition, state regulators of securities possess the authority to file charges against fraudulent scheme perpetrators and bring prosecutions over individuals.

Final Thoughts

As a result, Madoff’s vast Ponzi scheme necessitated increased investigation among regulatory agencies and consumers. People believed Madoff had been engaging in similar behavior, but SEC inspectors concluded anything was incorrect. Bernie Madoff had significant influence & was well-trusted, attracting an increasing number of clients. Greed and confidence allowed the ruse to continue for a long time.

It’s obvious that the company we discussed above might be an MLM scheme as well.

Due to these reasons, you should be extremely careful when dealing with them. In fact, I would advise against dealing with them.

There are plenty of ways to make money online.

Cryptex Review: Is It A Crypto-Based Ponzi Scheme? The Truth Exposed (Latest Update 2023)
Cryptex Review: Is It A Crypto-Based Ponzi Scheme? The Truth Exposed (Latest Update 2023)

11 Comments
Show all Most Helpful Highest Rating Lowest Rating Add your review
  1. Please warn your family members and friends as well about this fraud company. They try to lure people by making fake promises of quick money. This is a very good article. Everything written in this article is true. My friend has also gone through a tough time when she got scammed by a fraud company.

  2. Everyone has become so greedy. These people are fooling innocent people for their greed. It is important that we understand that there is no easy way of earning money. These schemes of quick money are nothing but scams.

  3. Government should take some strong action. Such scams are increasing everyday. So many innocent people are getting affected by such scams. They are not only suffering from financial loss but are also going through so much mental stress and anxiety.

  4. Media must expose such fraud companies. It’s their job to make people aware about such issues but they are busy showing some stupid news for TRP. they should not forget their responsibility towards society.

  5. We should always check whether the forex broker has a legitimate license and is regulated. There are numerous legitimate brokers out there. Instead of choosing a broker like this, I recommend everyone to go for a legit broker. There are many legitimate companies who actually care about their investors.

  6. Scammers are criminals who should be punished. They deserve severe punishment. They are worthy of no mercy. These folks are horrible. How can they do this? Are they even humans? Do not fall into their trap.

  7. This is a fraud company. They are not legit and investing in this company is dangerous. Stay away from them. This is an MLM company. You will not gain anything here, instead you will only lose all your investment.

  8. Is that how they intend to make money by duping innocent people? They are so greedy that they don’t care about the sentiments of others. They have deceived investor’s and should face harsh punishment for that.

  9. These folks have no humanity left in them. Now, all they focus on is money and satisfying their greed. They have no sense of ethics. No one should waste their time and money on such Ponzi schemes.

  10. It’s a Ponzi scheme. As a result, it is clearly a hoax. These individuals should be ashamed of themselves for harming innocent people. They are evil fraudsters who need to be punished.

    • Hello,
      a ponzi need the 100usd or do it to get the invested amounts.

      I am also not sure about cryptex but if you Think they want the 100usd its not sure.

      In same time you buy a contract of 100usd they pay much more in Commission. Often 160 or more. Level Commission and leader and super leader.

      So if they pay more Commission as they get for the contract fee. How it could be scam or ponzi.

      What is other reason ?

      We will see in Future.

Leave a reply

Gripeo
Logo