Right off the bat, Forsage is another MLM company that claims to offer crypto-based products for money. We already have several companies that claim to provide cryptocurrency technology-based, blockchain-based products in the MLM format. However, it is not illegal on paper, because companies can have any business and marketing model as long as they offer genuine products that provide value for the money paid.
To become part of Forsage, one needs to enroll into Forsage as an affiliate by paying the membership fee. Much like any other MLM company, Forsage also has its compensation disbursal structure and hierarchy. The structure used by the company is a matrix structure, and it consists of two matrices 3×1 and 2×2.
The matrix 3×1 is a simple matrix structure that needs only three vacant positions to be recruited. But with the 2×2 matrix method, two positions need to be filled in the first level, which further expands to four positions in the next level.
The position in the matrices can be filled directly or indirectly from the recruitment of the Forsage affiliates. Once all the positions are filled, a commission is triggered and paid. However, this payment structure is cyclical, and every time the matrix positions are filled down the line, you get a cut depending upon the matrix you or your downline completed for you.
Becoming a part of the company is quite simple; all a person has to do is buy 0.05 ETH from their website to become a member of Forsage. Only then can the person recruit more affiliates and get a commission out of it. The benefit of this MLM method is that joining the company and earning commission is pretty simple, especially when the organization is dealing with cryptocurrency, it is more pragmatic to get the tech-savvy members to rope in.
Problems begin here
Although everything seem pretty and right until now, the problems begin to show when you dig deeper into their inner workings. The company doesn’t specifically say where it originated and is very shy about disclosing the founders or the entities behind the organization that operate it. The website has no information about who runs the company. Moreover, the company claims it does not have an admin to proclaim it to be an independently running tech-based organization.
However, our internal research team managed to find that the website’s default language is Russian. This gives us the clue that either the founders are from Russia or the organization is based out of Russia.
US and India are the targets
Though the company seems to be originating from Russia, the primary source of traffic for the website are the US and India. You should be warned that if a company is discreet about revealing its management or ownership, it is highly risky. You should think harder before joining such an organization that sells its products because there will always be a concern of the company being shut down without any proper notice.
Dummy product offering
Forsage has no products that can be bought or sold, but you can only purchase the affiliate membership to join the organization. The company has no product offering for its members. It is essentially running as a Ponzi scheme rather than selling products worth the value. With no products in hand, any member willing to join the company must be aware that you are not getting anything but a hollow promise that you could get something over time.
What is interesting is that the company goes a step ahead and claims on its website that your profits are directly from the new affiliates who join the company. Remember, you don’t earn anything from its crypto offerings. The claim proves that the company is illegal because it is a Ponzi scheme that operates under the garb of blockchain and cryptocurrency offering.
These kind of MLM schemes only benefit the top, and the downline who join the pyramid late will be the ones paying commissions to their top member out of their pockets. Essentially, whoever created the website will benefit from the scheme and leave other members helpless and with lesser money.
It doesn’t matter what the company claims; its hollow Blockchain offering is nothing but a fake promise to rope in as many members or affiliates as possible and help the owners get rich. Please do follow us on LinkedIn to know get updated with our latest articles and in below section share your thoughts or comments.