The new crypto playground for MLM
Blockchains and cryptocurrencies are said to have a great potential for change. They would be disruptive technologies, as Silicon Valley jargon puts it. A first industry has already undergone lasting changes – that of network marketing and multi-level marketing (MLM). Instead of perfumes, food supplements or plastic dishes, crypto-mining and crypto-trading packages are now sold to investors. Most Crypto-MLMs bill crypto-mining as a sort of private money creation with high returns and a low-risk profile.
2017 was a fantastic year for those crypto-MLMs as it was for ICOs. With the rising prices of Bitcoin, Ether & Co, some of the crypto-MLM investors have actually achieved really good returns, at least on screen. Hundreds of millions dollars worldwide have been invested in Crypto-MLM’s and, unfortunately, a considerable part of this has already been lost in the course of scams like OPTIOMENT, GAINBITCOIN, or GBMINERS. Most of those Crypto-MLM’s are bump-and-dump schemes with extremely short life-span. Thanks to cryptocurrency, it’s super-easy to anonymously grab investors’ funds and run.
The advantage of crypto-MLM’s is their global reach. Potential investors can be approached worldwide via the Internet and the social media. Despite its announcement that it will no longer allow crypto advertising, Facebook is the Crypto-MLM’s playground. Investors are acquired in many Facebook groups and corresponding cheering messages are spread. Leading MLM distributors often maintain huge Facebook groups with tens of thousands of members. We estimate that there are currently up to 500,000 crypto-MLM investors worldwide.
An Austrian moved out to conquer the crypto world
A great player in this crypto MLM game is the Austrian Robert VELGHE. VELGHE sold electricity contracts before entering the crypto-MLM scene. In this respect, one could say that his entry into crypto-mining was almost a logical step. Electricity and crypto-mining are related topics, as crypto-mining is a huge power guzzler. Worldwide bitcoin mining already has a power requirement of a small state. VELGHE founded its crypto-MLM OMNIA TECH in 2017, initially under the domain www.omnia-tech.eu. His co-founder, partner, and CEO was Christian Michel SCHEIBENER.
VELGHE is always busy with polishing his OMNIA TECH and diligently produces bullish announcements about the OMNIA TECH universe. A partnership with the world’s leading crypto-mining company Genesis Mining was announced, for example, but Genesis Mining publicly disputed this partnership.
3/5 There are no special relationships with Omnia in this regard. Only the service of providing hashpower and related mining expertise.
— Genesis Mining (@GenesisMining) August 22, 2017
OMNIA TECH would only be one of many customers in the company’s mining facilities, Genesis Mining made clear. VELGHE subsequently announced the opening of mining centers in Sweden, Austria and most recently in Armenia.
The world’s largest crypto-mining center?
In Armenia, OMNIA TECH and the Armenian Multi Group wanted to build the world’s largest crypto-mining center with investments of more than 2 billion dollars. According to a press report, VELGHE also said that he would expect Facebook, Google, and Amazon to join the project:
“We are going to establish the biggest production of cryptocurrency in the world with more than 150,000 machines for producing bitcoin, ethereum and other cryptocurrencies,” co-founder of Omnia Tech Robert Velghe said. Velghe revealed that this is just the beginning of the company’s cooperation with Armenia as, according to him, they are planning to implement other technological projects too, with 500 companies, including Facebook, Google and Amazon set to join (Source: Horizon Weekly)
Bad luck for VELGHE that the Armenian head of government had to leave the office shortly after VELGHE’s announcements (but not because of that) and the project lost its political support.
Furthermore, there are always doubts and massive critics in reviews and comments that OMNIA TECH doesn’t have the mining capacities it says it has. Everything sounds very impressive in the first place, doesn’t it? But the fact is that OMNIA TECH is referred to in many reviews as Ponzi scheme or scam. Maybe everything sounds too good to be true? But maybe negative reviews are simply wrong? However, it is certain that there have been massive problems with OMNIA TECH.
The break-up, stolen money, and an announced million-dollar lawsuit
Everything have always been gigantic at OMNIA TECH. Everything is big and super-impressive since the Crypto-MLM scheme was launched in summer 2017. Following the “think big paradigm“, VELGHE also brought on board the famous ISLAM brothers, who are among the superstars of the MLM scene and allegedly have a network of 31,000 distributors. Moyn and Monir ISLAM also held 25% of the shares in OMNIA TECH, they said. The big OMNIA TECH kick-off show in London with the ISLAM brothers resulted in an equally big chaos within a few weeks.
VELGHE’s partner Christian Michel SCHEIBENER left after a few months and founded its own crypto-MLM NEXUS GLOBAL. Allegedly there were problems between SCHEIBENER and the ISLAM brothers.
The ISLAM brothers then separated from OMNIA TECH a few weeks ago and reported massive irregularities at OMNIA TECH and stolen money in an email to their downline distributors. We have received the corresponding communication and in it, the ISLAM brothers purport that they plan to sue OMNIA TECH for 20 million dollars and suggest to do a class action against VELGHE and OMNIA TECH.
Robert VELGHE, on the other hand, told us that actually, he had fired the ISLAM brothers because they had stolen from OMNIA TECH. Whatever the real circumstances, stability looks different. Both parties agree that a lot of money was stolen from OMNIA TECH. They blame each other for the stealing of funds. We hope, that it doesn’t turn out that both parties took their share. Unfortunately, OMNIA TECH has not disclosed information on these circumstances. Silence is better than bad news, obviously.
A necessary restart after just a few months does not generate investor confidence. The turbulence has spread to the domain. OMNIA TECH has been redesigned under the domain www.omniatek.com With offices in Gibraltar and Armenia and Milan SORMAZ as CEO. Whether and how things will continue after the turbulence with OMNIA TECH remains to be seen.