Ultron (ULX) is the DeFi token with a pyramid scheme project behind it, claimed by many as a new gem. But is it really?
Ultron (ULX): the DeFi token sponsored by Mavie Global using a pyramid scheme
Ranging from YouTube channels to groups on social media, it seems that many are coming out as influencers to promote a DeFi project dubbed “revolutionary”: Ultron (ULX).
This is a layer 1 blockchain with its native ULX token sponsored by the Mavie Global platform, which seems to be capturing attention using a network marketing model that could turn out to be a pyramid scheme.
In these instances, precisely with regard to Mavie Global’s platform, the team was analyzed with the people in question being Michal Prazenica (official CEO), Tobias Sukenik, and Ivana Belakova, who, as described, already have a rather turbulent past.
Typically, precisely to understand whether a project is legitimate or a scam, users rely on reviews (when public) and the trustworthiness of the team in question.
Ultron (ULX): how the blockchain project works with affiliate marketing
According to one review, Ultron appears to have no retail products or services, but affiliates can only trade Ultron affiliation. It is focused on affiliate marketing, namely multilevel marketing or MLM.
What attracts users to the Ultron project is the promise of fairly high staking returns, with a paid ROI on the investment in ULX tokens that is determined by the duration of the investment and ranges from 0.2% per day for the first year to 0.012% per day for the fifth year.
While under the affiliate marketing or MLM aspect, Ultron pays commissions on tokens purchased by recruited affiliates, with a remuneration plan on fifteen affiliate levels.
Not only that, the scheme also pays residual commissions through a binary compensation structure, which places an affiliate at the top of a binary team divided into two parts (left and right).
ULX: the price of the token
Peeking at CoinMarketCap, ULX appears to have started at a price of $0.03 in late August, rising to be worth $0.10 at the time of writing.
The chart, however, does not yet indicate the token’s market capitalization and dominance and describes ULX as a native token on the Ultron Blockchain.
Ponzi and Pyramid schemes continue to survive on the web, despite various actions taken even by governments. As in the case of California, where recently, the DFPI intervened by targeting 11 crypto companies for violations of California securities laws.
The post Ultron: the project’s DeFi token with a pyramid scheme appeared first on The Cryptonomist.
