UPDATE: BitClub Network Launch Said To Be Delayed; ‘Founders’ Positions Reportedly Sell For $3,599; Pitches Directed At ‘Leaders’; Prospects Asked To Wire Money; Purported ‘Opportunity’ May Have TelexFree-Like Cash-Transfer System
“These participants received uncontrolled cash deposits outside of the TelexFree system,” — Massachusetts Securities Division, Ponzi- and pyramid complaint against TelexFree, April 15, 2014.
EDITOR’S NOTE: For our earliest background on BitClub Network, see Aug. 30 report that references serial HYIP promoter T. LeMont Silver. Are you really sure you want to promote bitcoin-themed HYIPs alongside a man who parachuted into the Dominican Republic from Florida after the Zeek HYIP scam and now is using an address in Seychelles?
Read on for more early background on BitClub Network . . .
** ______________ **
As tomorrow is the 75th anniversary of the beginning of World War II, it’s easy enough to summon images of the late Winston Churchill asking the world to pay attention. The great man still is very much alive in the annals of history and in millions of hearts. We imagine him in 2014, contemplating BitClub Network as a gathering storm, perhaps a modern “riddle wrapped in a mystery inside an enigma.”
BitClub Network appears very much to be yet another nascent MLM/network marketing whack-a-mole “program,” a reload scheme rising to replace a “program” that has collapsed. The most recent major “program” to crumble into an alleged heap of Ponzi- and pyramid rubble was TelexFree — in April 2014.
Reload schemes keep cash flowing to factories of online crime and to the “leaders” who deliver human souls to them for the purposes of financial disembowelment. The more bodies disemboweled, the more the scammers-in-chief and their disingenuous and corrupt enablers make.
Our early analysis of BitClub Network, subject to amendment, is that it is casting its net to attract the greediest and greatest HYIP scammers on a cross-continent basis. The PP Blog observed information last night that suggested the brand of BitClub Network, which already is conducting business via wires that pass though the United States, also may be expanding in a region of Europe known for atrocities, including ethnic cleansing.
Among the core dangers of HYIP scams is that they deliver undeserved and potentially ruinous economic power to unknown persons or entities. The money could be used for any nefarious purpose under the sun.
For an unclear reason — headline scraping to drive people with an interest in politics to bitcoin-themed sites, perhaps? — one promo using the name of BitClub Network linked yesterday via Twitter to a site that featured a video commercial and the names of National Geographic and Michelin, the French tire-maker with a presence in the United States. The Twitter linkage occurred through a site curiously dubbed “Bitcoin Regime” with a “From” message of “Bitclub Russia.” A promo today linked via Twitter through Bitcoin Regime was playing a commercial for Schick, the Connecticut-based maker of razors. Some text surrounding the promos is in English. Other text appears to be in the language of Russian or Ukranian or Serbian.
“Bitclub Russia” appears also to have its own YouTube site. “Bitcoin Regime,” meanwhile, says “[t]his site was created out of passion and interest in the subject.” One of the headlines on the site reads, “Obama: No Strategy For ISIS.. (Oops, We Funded & Trained ISIS!).”
Another reads, “. . . because fuck fiat!” Yet another reads, “Let’s Talk Bitcoin: Buenos Aires & Bitcoin Embassy.” Still another, in Russian, reads, “Earn Bitcoins on a serious level 1 service! The most serious Bitcoin earnings!” — when Google’s translation tool from Russian to English is used.
Is it a scraping site of some sort that is drafting off the anticipated popularity of BitClub Network?
ISIS is the terrorist group that allegedly beheaded American journalist James Foley and also allegedly beheaded a Lebanese soldier.
Launch Timing
Head-scratchingly, the “Founders'” launch of the BitClub Network “program” had been set for Sept. 1, the 75th anniversary of the beginning of World War II. Whether that’s a coincidence is unclear. Sept. 1 also is Labor Day in the United States. Various HYIPs have targeted the world’s workers, offering false relief from the daily grind — not just a chicken in every pot, but a mansion, unlimited sums of cash and perhaps a fleet of high-end automobiles and maybe even a Ferrari (or two).
As is typical in HYIP scams, there was at least one report this morning circulating on Twitter that BitClub Network has experienced a launch delay. As also is typical in HYIP Ponzi Land, black comedy is in no short supply. Whether it’s accidental or intentional is unclear.
In any event, BitClub Network reportedly has a feature known as the “holding tank” — and this “holding tank” is being blamed for the launch delay.
“Hi Leaders,” a link from Twitter bizarrely begins, adding a second layer of black comedy. “Ok, I just heard that the programming of the holding tank feature is taking a bit longer than expected, so dont [sic] be dissapointed [sic] as it basically gives us more time to prepare our teams. :) So, it now looks like we [sic] gonna pre launch around wednesday [sic] or thursday [sic] 2pm EST [sic?] this coming week!”
Perhaps most distressing, though, is a murky claim that “Founders” still can wire $3,599 to get started, “holding tank” delay or not. This wire maneuver appears to be very similar to the way things were done at WCM777, alleged by the SEC earlier this year to be a massive international scam. It’s also highly reminiscent of Profitable Sunrise, which told the marks to wire money to the Czech Republic. Some of the money was seized in Hungary in a money-laundering probe.
Details of the BitClub Network wiring arrangement are not published and apparently are revealed only in private communications, another typical signature of an emerging HYIP scam. It’s also possible that people are disguising themselves as BitClub Network promoters to solicit and then steal wire transfers.
“If you want to do a wire you need to get back to me ASAP and I will sent [sic] you the details for that,” the link from Twitter coaches. “The advanatge [sic] of sending in a wire is that you lock your spot on top of the binairy [sic] before hundreds or probably thusands [sic] that will come in afer [sic] you at launch!”
Chronic typos and odd syntax often signal HYIP scammers are at work.
A separate link from Twitter, presumptively from a different early bird, says, “[Y]ou get paid right away on all referrals and can use those commissions to pay others in after they send you paypal [,] bank wire, or pazya etc.”
If this is true, it would reflect the money-moving mechanics of other HYIP scams that encourage “leaders” to gather money from prospects via bank wires and payment processors — and then to cherry-pick part of it or all of it to use as a recruitment lure. Such deals almost certainly would take place off the books of the “program” and can create layers and layers of black markets inside a larger black market — nesting dolls of crime, if you will.
The second link from Twitter continues (italics added):
I can’t stress enough the fact that you are at the top and at the very beginning of this incredible global program that will make everyone money every day, just for joining.
If you have done your homework you shoud [sic] know by now why this is and how it works, cause of the crypto currency mining :)
And if you refer others, well you”ll [sic] make a KILLING! read [sic] the income example on the payplan site, this will blow your mind!
This is BIG money you can make here, some of you will make already [sic] 7 figures by christmas [sic].
Naturally some American scammers appear already to be doing some of the bidding for BitClub Network. It’s as though Profitable Sunrise, a collapsed HYIP allegedly operated by a ghost and driven by willfully blind affiliates who conducted business by wire from the United States to Eastern Europe, never happened.
BitClub Network also may be a bit like TelexFree, another collapsed HYIP. After prospects are told they can only join by wire at this stage and later will have to join with bitcoin, the first link from Twitter goes on to suggest sponsors can perform back-office transactions and collect money directly from recruits.
Here’s how the first link from Twitter (described above) confusingly puts it (italics added):
OR……having your sponsor or upline paying for you with their commissions within their back office using the credit system after you have sent them the money!
Back-office transactions almost certainly contributed to the calamity at TelexFree, an alleged Ponzi- and pyramid scheme that may have gathered more than $1.2 billion in a little more than two years of Internet scamming. One of the issues at TelexFree was “cash deposits” alleged to be “uncontrolled.”
As noted above, one of the dangers of such systems is that they introduce the specter of a black-market economy and back-alley deals, making already-dangerous enterprises doubly dangerous. The results can be bizarre.
As things stand today, if BitClub Network were the movie “Casablanca,” Renault would be telling the troops to “round up the usual suspects.”
Any person who joins this program with a purported “holding tank” is a fool. Any person who pitches it to others amid these exceptionally murky circumstances is reckless beyond comparison.
Quick note: Looks as though some BitClub Network prospects are being told in advance of the launch to:
* Fund their “Bitcoin Wallet” with Payza.
* Do U.S. bank wires, bank transfers, ACH transfers and credit cards through Coincase.
* Do European bank wires, banks transfers and “more” through bitstamp.
* That there’s a way to do Perfect Money, OKPay, Econ, Epese and international bank wires through something called btc-e.com.
* Money also can come in through something called changer.com, via “EgoPay, PexPay, PM, Litecoin, etc.”
Actual BitClub Network affiliate links appear not to be available yet.
Patrick
Some claims/promos about BitClub Network from various sites:
* “A True Global Earn Passive Daily Income Opportunity”
* “Earn Passive Daily With BitclubNetwork”
* “BitClub Network – HUGE Passive Income Bitcoin Mining . . .”
* “Hello Everyone, Today I would like to introduce you to an incredible new passive bitcoin opportunity called BitClub Network.”
* “BitClub Network – BitClubNetwork Huge Bitcoin Mining . . .”
* “Bitclub Network Passive Income Bitcoin Mining Business . . .”
* “BitClub is a community of people investing in Bitcoin and other crypto-currency opportunities. With BitClub you can profit from the digital currency market.”
* “This is just a preview of the bitclub network payplan. This is not a official Bitclub Network website but was built by someone in your upline . . .”
* “Join with BitClub Network’s Top Team and with the Top Leader.. BitClub Network Pro.”
Patrick
Quick note: Have received a report that T. LeMont Silver went off the political deep end during a webinar last night and later apologized to attendees for creating “offence.”
Maybe old T. LeMont, an American, is into chiefly British spellings these days.
In any event, T. LeMont reportedly thought better of his rant and then sent out a new promo that scrubbed it. He’s pushing at least two “programs” and claims he’s wanting to “help a minimum of 10,000 people (directly and indirectly) raise at least [$]10,000 for their specific causes,” a source tells the PP Blog.
On a side note, looks as though veteran huckster “strosdegos” also is aboard the BitClub Network train while simultaneously promoting something called “AdBonuz Daily” and something else called “Trader-Ways.”
“Trader-Ways,” according to “strosdegos,” features three referral levels, has “instant payment” and offers “[u]p to 3.5% daily and can be pushed to 5% daily.”
Patrick
Yeah, any moment we’ll be seeing “JihadPay” your money is going toward possibly “righteous” causes (such conquering oil wells and enslaving Christian women to be sold off as brides or slaves) and if you find fellow freedom fighters who are too chicken to go to Syria but have $$$ you can secure a position in ISIS government if you contribute now.
(I’m kidding, of course)
Reload schemes keep cash flowing to factories of online crime and to the “leaders” who deliver human souls to them for the purposes of financial disembowelment.
Holy Cow that line really drives it home.
This is from Dr. Goddie, another serial scammer who has jumped on the bitcoin bandwagon
—————————————————————-
Welcome to our Bitcoin Club Team.
Here you will find more info about Bitclub Network you can share with your team mates if you find useful.
Make sure you get at least $599 ($500 share & $99 one time fee so the Newbie Package) worth of bitcoins or best way to join is with a $3599 spot so $99 one time club membership fee plus in each mining pool 1 share so $500 + $1000 + $2000 (Leaders Package) so you get paid right away all commissions.
Again… there are no limits with how much you can come in with and you can as well take multiple positions. So you could get 1 spot for $3500 and then 2 spots below that for what ever amount of shares ($500, $1000 or $2000) that you want so you can make more in the binary for instance. Some people are coming in with 1 position and getting over $20,000 worth of mining pool shares and some are getting 7 positions all of them for 3 shares at $3500 each.
Or if you are on a tight budget work your way up and come in with $500 share first plus the $99 one time club membership fee. Then if you refer someone who joins in mining pool 2 only for instance this commissions are used to buy you a partial share depends on how big the commissions are in mining pool 2.
If you refer someone in mining pool 3 is the same if you did not join this pool. In some other payplan’s you would have lost those commissions if you do not own that product. But here you won’t lose anything and you even make money on the daily paid mining profits even it’s only a partial share.
Example: You join with the newbie package ($500 + $99 club fee) and you refer 5 which buy 1 share in mining pool #2 which is a $1000 a share then you would make on the first 2 referrals 15% so 2 x $150 and on your 3rd – 5th referral you would make 20% so 3 x $200.
This $300 & $600 = $900 is used to buy a partial share in mining pool #2 which would be 90% because a full share is $1000 so $900 is 90%.
If you refer 6 based on the example above, you would have a full share paid out of the earned commissions and then you can keep all further commissions from referring mining pool 2 shares from now on.
This is valid for all different shares. If you only purchase a share in mining pool 3 so $2000 and you refer someone which buy a $500 share or a $1000 share these commissions are used until you have paid in full the $500 or $1000 share from commission, so it’s not coming out of your own pocket… unless you fund your account and pay the rest yourself anytime if you wish.
Like already mentioned above… here you won’t lose any money and make money even on partial share purchases.
Earnings from building a team will be available daily (after bitcoin payments have been confirmed) and you can spend it right away by helping others to come in sending it to their account after they pay you in what ever way you wish.
So you can help your team to come in faster, if they don’t want to wait to get bitcoins fast and you get paid faster too and in what ever way you like.
As well you can use the earned commissions to buy more shares for yourself.
Commissions will be paid weekly upon request to your bitcoin wallet.
There will be a weekly deadline to request a payout.
************************************************************************
Wonder how or where to get bitcoins?
It’s quit easy these days. Either do your own research online or find some source below.
Many people have payza so now you can withdraw from your payza to bitcoin. Please read their blog.
https://blog.payza.com/payza-updates/why-use-payza-announcements/buy-bitcoin-with-payza/
For US bank wires: http://coinbase.com
For European bank wires: http://bitstamp.net
Some exchanger: http://changer.com
Globally connection platform: http://localbitcoins.com
Another way to locate how to get bitcoins: http://howtobuybitcoins.info
Or check: https://bitcoin.org/en/getting-started
Very popular bitcoin wallet: http://blockchain.com or here https://blockchain.info/wallet.
India: https://unocoin.com
There are shops in the US, where you can walk in and they accept cash and they put it in your bitcoin wallet.
We hope you find this information useful and we will add more and more over time as we can and find out more places to get bitcoins.
More info will forwarded to you as we move on with this program.
Be expecting the signup link once the program launches.
See you at the top!
Dr. Goddie
Skype: kingdomassets
1 888 340 8834
Naturally.
Unregistered securities in the form of investment “spots.” Unregistered securities in the form of “mining-pool shares.”
Also looks as though the tiers were set up in WCM777-like fashion to encourage people to buy in at the highest level. Dr. Goddie naturally says the “best way to join is with a $3599 spot.”
This would be just like WCM777 and TelexFree. One TelexFree person appears to have owned or to have had control over hundreds of positions, which were offered in a black-market sale just prior to the crash.
Dr. Goddie is casting a pretty wide net with his “no limits” proposition. He appears not to be qualifying investors in any way. If they have some cash, they can “come in.”
In-house money-moving system, coupled with encouragement to affiliates to gather money directly from prospects “in what ever way you wish.”
This is fatal. “MLM” now is creating Stepfordian money mules and seeking to duck bank-reporting requirements.
The classic HYIP “rollover.” An artifice similar to “80/20” plans.
Thanks for this, John.
Patrick
From a pitch accessible via Twitter:
________________________________
I hope you have seen my previous emails about BitClub
Network, a true global passive & active business deal.
Holy cow… I AM EXCITED!
There are many leaders and professionals coming in,
so not only networkers, they will all help explode this
amazing opportunity.
The potential is so BIG… it’s mind boggling.
Did you know that there will be a limited offer for the
first 500 leaders that buy in each mining pool a share,
so for a one time investement of $3500 total?
________________________________
Patrick
More from the pitch accessible via Twitter:
________________________________
You can even buy more shares by taking more spots
under yourself for all together $3500..there is no limit
here.
This means that your potential income if you refer
others can be much bigger than with any other deal
on this planet… all other companies have limits.
You could come in yourself or refer others with $3500,
$35,000, $350,000 etc. pp. ,the sky is the limit here.
Imagine getting paid 20% if you refer someone who
comes in with 100k… BOOM… 20k in commissions for
you and 20% on the daily automatic repurchases . . .
. . . You can potentially retire with this IF you do it right
and take action!
Please prepare yourself NOW… get enough bitcoins
its the only way to get in and get paid when we
launch…. (if you like to sent in a wire now please
let me know and I sent you the info)
Bitcoin is the most clean, simple and anonymous way
to pay in and get paid, because there are no charge
backs or other ways of fraud possible.
And because of this, commissions will be available
daily and you can use them to pay others in after
they paid you in what ever way you wish.
And yes there will be all kinds of marketing material
available in the near future.
Translations are on their way like Russian and
Chinese/Mandarin.
________________________________
Patrick
Quick note: I put this (below) in another thread on “BitClub Network,” but I’m also now putting it here:
_____________________________________________
Oz at BehindMLM.com is reporting that T. LeMont Silver also is pitching something called “Gold Crowdfunding.”
http://behindmlm.com/mlm-reviews/gold-crowdfunding-review-onex-gang-get-into-cash-gifting/
Remarkably, this seems to have ties to the OneX scam Silver and AdSurfDaily Ponzi schemer Andy Bowdoin previously pitched.
OneX actually put Bowdoin in jail before ASD did. That’s because prosecutors proffered evidence that tied Bowdoin to OneX and the AdViewGlobal reload scheme while he was out on bond in the ASD Ponzi case.
Bowdoin previously had been free waiting trial in the ASD case. But the judge revoked his bond in June 2012, after learning about OneX and AdViewGlobal.
Background:
https://patrickpretty.com/2012/06/12/urgent-bulletin-moving-andy-bowdoin-jailed-after-bond-revocation-hearing-adsurfdaily-president-in-federal-custody/
https://patrickpretty.com/2011/12/28/update-onex-site-pushed-by-adsurfdaily-president-andy-bowdoin-will-not-resolve-to-server-conference-call-talker-identified-as-j-c-assures-listeners-that-god-is-on-board-the-onex-train-and-t/
https://patrickpretty.com/2011/10/28/developing-story-message-board-for-members-of-onex-scheme-pushed-by-accused-ponzi-schemer-andy-bowdoin-claims-transfer-funds-option-disabled-because-members-are-using-stolen-credit-cards/
https://patrickpretty.com/2011/10/28/update-adsurfdailys-andy-bowdoin-has-participated-in-at-least-3-webinars-for-onex-this-week-calls-murky-business-a-financial-bailout-program-for-the-average-person-accused-ponzi-schemer-i/
https://patrickpretty.com/2011/10/25/developing-story-awaiting-trial-accused-adsurfdaily-schemer-andy-bowdoin-resurfaces-as-pitchman-for-onex-opportunity-flogged-on-ponzi-forums-i-believe-that-god-has-brought-us-onex-to-provide/
On Aug. 13, 2012, just four days before the SEC brought the Zeek Rewards Ponzi- and pyramid case in which the court-appointed receiver now is suing T. LeMont Silver for the return of his alleged winnings, federal prosecutors in the District of Columbia identified the mysterious “J.C.” of OneX as James C. Hill.
https://patrickpretty.com/2012/08/15/urgent-bulletin-moving-prosecutors-ask-judge-to-sentence-adsurfdailys-andy-bowdoin-to-maximum-prison-term/
Guess who’s the purported president and founder of the Gold Crowdfunding “program” that Silver is now pitching?
Well, it’s none other than James C. Hill of OneX, according to BehindMLM.com.
Patrick
_____________________________________________
Patrick
If I wire them money, and they are a fraud, isn’t that Wire Fraud??