More of the same – false Promises to Investors
Unfortunately, we experience an awful lot of scams and Ponzi schemes in the crypto-investment ecosphere. Evidently, the Crypto-MLM scheme NEXUS GLOBAL seems to be another questionable project with many red flags for investors.
From what we learned over the last couple of weeks, NEXUS GLOBAL investors will never receive the announced Crypto-Debit Card that should come with the 8Crypt Wallet. We already explained in our last report on 8Crypt that the experts we interviewed doubt that the 8Crypt wallet is compliant with the existing regulatory financial framework (read our report here). Without this compliance, no credit card network (VISA, MASTERCARD, AMEX, etc.) and/or bank will accept 8Crypt and/or NEXUS GLOBAL as a debit card issuing and/or distribution partner. The same is true for banks FIAT transactions – they are not possible today via 8Crypt wallet.
No Debit Card, No FIAT, No Trust, Much Fake
NEXUS GLOBAL promises investors that its “1. Multi-Wallet” will be associated with a debit card, a cryptocurrency exchange, and a FIAT interface. The later is necessary to transfer real money to the wallet or receive real money from the wallet. To operate a cryptocurrency exchange it not only need a lot of experience and cash but in the near future also a permission from regulators.
These promises seem to be a hoax or bullshit if one prefers that term. If you are already a registered investor with 8Crypt and NEXUS GLOBAL you for sure have recognized that there is no debit card available, no possibility to transfer real money to or from the wallet, and no crypto-exchange, right? Wait a minute! These are maybe just some future features that will come sometime in the far away future!? Maybe, but investor should be aware that VISA and the other credit card networks just recently terminated partnerships with companies which are not compliant with their standards and the regulatory financial framework.
8Crypt, Money Laundering and What?
The intention of our investigations and analysis is to raise awareness with investors. We, of course, can be wrong with our analysis and/or conclusions but even then we accomplish our mission – to raise investors’ awareness. We would be more than happy to be proved wrong because this means that investors win.
If our analysis is correct, 8Crypt is a system that is designed for “privacy” (i.e. for money laundering) because of its “One-Time-Pad” encryption technology and the “stealth mode” option. Theoretically (and practically), 8Crypt admins have the possibility to turn the stealth mode “on” and make transactions invisible for any investigating authority. One person close to VELTYCO and 8Crypt reported, for example, that the 8Crypt project was the reason why VISA’s terminated the Gibraltar-based financial services company WaveCrest as a network partner. With WaveCrest’s termination, most of the Crypto-Debit Cards stopped working. Among the victims of this VISA action was TenX, a Singapore-based crypto-payment services provider that raised some USD 70 million in its ICO in 2017. TenX issued its crypto-debit card in a partnership with WaveCrest – and has no debit card today. No WaveCrest, no TenX crypto-debit-card. In an interview with TenX, the co-founder Julian HOSP confirmed that they have no solution in place to offer a crypto-debit card anytime soon. The same will be true for 8Crypt, we guess.
Supporting Ponzi Schemes may cause legal consequences
There is one thing potential crypto-MLM investors should have learned over the last couple of months. If you are aware that the system is working with false promises and thus potentially cheats investors, you should be aware of the red flags. If you ignore those red flags and, consequently, lose your money, it’s your problem. If you lead other people into the system, it’s your problem too and you may be prosecuted for that.
If you are selling such Ponzi schemes to your friends just to earn some commissions you become part of a criminal system and risk being prosecuted for that. Think twice.
Bottom Line Analysis
Without a crypto-debit card, the integration of FIAT, and a working crypto-exchange, 8Crypt is a threat to investors. You have to recognize the many red flags, do your due diligence, and should stay away!