Esom App: This is a Ponzi Scheme. The Truth Exposed (Update 2024)
The following review explores how this app uses deceptive marketing and claims to promote itself. Beware.
On their website, Esom App fails to give ownership or executive information. As it is written in this, Esom App’s public-facing website is little more than a login form for affiliates:
Esom App is based on two well-known domains;
es-glzx.com – private registration first registered in 2014, latest updated on December 27th, 2022 (bought on or around this date)
esom.cc – registered privately on November 3rd, 2022
According to SimilarWeb, the biggest source of website traffic to Esom App’s. COM websites are Ukraine (88%) and Russia (3%).
How exactly does a Ponzi scheme operate?
An investment fraud known as a Ponzi scheme draws investors with claims of great returns and no risk but fails to invest the money as stated. Instead, it pays off earlier investors with money from future investors while maybe keeping a portion of the profits. These schemes typically fail when recruiting investors becomes challenging or when multiple investors attempt to cash out. They depend on a steady flow of new buyers to operate. They are called after Charles Ponzi, who ran a similar scam using postal stamps in the 1920s.
Pakistan (40%) Egypt (29%), Slovenia (12%), and China (8%), are the top sources of traffic to Esom App’s.CC domain.
This implies that whoever is running the Esom App is utilizing many domains to target different countries.
As always, if an MLM firm is not honest about who runs or controls it, consider twice before joining and/or turning over any money.
Esom App Review- Esom App’s Products
Esom App does not offer any retailable products or services. Affiliates can only promote Esom App affiliate membership.
Esom App Review- Esom App’s Compensation Plan
Affiliates of the Esom App invest $10 or more in tether (USDT). This is done in exchange for a weekly return:
- VXM Strategy – 15.43% over seven days
- MACD Strategy – 16.88% over seven days
- CCI Strategy – 17.84% over seven days
- KD Factor Timing Strategy – 16.92% over seven days
Reinvestment is necessary after seven days to continue earning.
There appear to be no financial discrepancies between Esom App’s various investing programs. Instead, the Esom App asks affiliates to log in and click a button regularly.
How frequently this button needs to be clicked is determined by which plan is invested in:
- VXM Strategy: Every 2 hours, click the button.
- MACD Strategy – every 12 hours, press the button
- CCI Strategy – every 24 hours, hit the button
- Timing Strategy for the KD Factor – click the button every 72 hours
The MLM aspect of the Esom App is based on the recruiting of affiliate investors.
Esom App compensates referrals with a one-level incentive mechanism.
In a unilevel compensation system, an affiliate is put at the top of a unilevel team, with every personally recruited affiliate placed right beneath them (level 1).
If any level 1 affiliate acquires new affiliates, they are assigned to the original affiliate’s unilevel team at level 2.
If any level 2 affiliates recruit new affiliates, they are promoted to level 3, and so on for an unlimited number of levels.
It has a limit of five paying unilevel team levels.
Referral commissions are provided as a percentage of tether invested at each of the five tiers, as shown below:
- level 1 (personally recruited affiliates – 10%
- level 2 – 8%
- level 3 – 5%
- levels 4 and 5 – 2%
Esom App Review – Signup Process
Membership in their affiliate program is free.
To fully participate in the linked income opportunity, you must invest at least $10 in tether (USDT).
Conclusion
This app is yet another “click a button” Ponzi scheme for apps. Clicking a button on the Esom App represents trading activity.
It’s not. All the app does is recycle invested monies to pay out returns over seven days.
Typically, investment limitations are used to encourage affiliates to invest more. Lower-tier plans show in the app and are utilized for convenience marketing. Esom App’s lower-tier plans are rendered obsolete by the fact that you can invest the same amount in a higher plan and have to click a button less frequently.
Esom software is one of the “click a button” software Ponzi schemes that have appeared since late 2021.
BehindMLM has identified 47 “click a button” app Ponzis, including the Esom App. Most of them live for a few weeks to a few months before succumbing.
The same group of Chinese scammers is suspected of being behind the “click a button” app Ponzi epidemic.
What is a Ponzi Scheme
A Ponzi scheme is a deceptive investment strategy that promises high rates of return with no risk to investors. A Ponzi scheme is a fraudulent investment scheme in which money is collected from later participants to produce profits for earlier investors. This is comparable to a pyramid scam in that both rely on new investors’ finances to pay off previous investors.
Both Ponzi and pyramid schemes inevitably fail when the influx of new investors stops and there isn’t enough money to go around. The plots begin to crumble at that time. By recruiting new investors who are promised a huge payoff with little to no risk, the Ponzi scheme produces returns for existing investors. The fraudulent investment strategy is based on using funds from new investors to pay off previous donors. Companies that run a Ponzi scheme concentrate their efforts on enticing new clients to make investments; otherwise, their system will become illiquid.
Some of the Red Flags for a Ponzi Scheme
Regardless of the technology utilized, the majority of Ponzi schemes have similar characteristics. The Securities and Exchange Commission (SEC) has recognized the following characteristics to be on the lookout for:
- A promise of high rewards with no risk.
- A steady stream of returns regardless of market conditions
- Unregistered investments with the Securities and Exchange Commission (SEC)
- Clients are not permitted to access official papers for their investment strategies that are kept secret or described as too hard to comprehend.
- Clients who are having difficulty withdrawing their funds
Let’s have a look at some of the reviews for the Esom App Review
People say that – Esom has the biggest problems now withdrawing Esu. Esom holds public investor money. Esom holds withdraw money. So 6 days gone say the same thing wait 24 hours. Server maintenance. so who is responsible for our money? This situation should be answered.
People call Esom App Review a scam and say that people investing their money in it are responsible for their money themselves.
