USI-Tech Scam? Yes It Is In My Opinion!
Update: USI-Tech has lowered the cost to become part of the Ponzi scheme they are offering. This does not change the scam. With a Ponzi scheme, payments are made to early investors as long as new investors can be found. Don’t give these scammers your money just because someone has shown you a payment they have received. The FTC does not provide approval for money making opportunities like this. I would not believe their claims that it does.
There seems to be a never ending stream of investing scams that are rolling out these days. Automated investing combined with FOREX seems to be the sweet spot. Add a dash of Bitcoin and the story is complete. Take something that few people understand and automate it. What could possibly go wrong? My subscribers have requested that I take a look into USI-Tech. Here is what I have found.
USI-Tech Scam Claims
IN THE PAST WE HAVE MANAGED TO OBTAIN A PROFIT OF UP TO 150% FOR OUR CUSTOMERS!
The objective for USI-Tech was the logical development of a fully automated trading software, with which “smaller” investors may also participate in the FOREX market. Originating from the technical complexity and many characteristics of the FOREX market this project could now be successfully completed, after 7 years of intensive development work. As a result, today, the company can offer a fully automatic trading software to its customers. In numerous intensive tests consistently outstanding results were achieved, in practice, with excellent profits.
Average 1% Daily Payout, 5 days per week.
Here is how this money making opportunity is presented:
USI-Tech Scam Reality
USI-Tech claims to have its headquarters in Dubai. The address they provide is a P.O. Box: USI – TECH Limited P.O Box 122036 Dubai UAE. USI-Tech began its pre-launch in September 2016.
I was unable to find USI-Tech listed as a registered company in Dubai. Their registration number ICC20160282 returned not found. It turns out they are registered as a company in Ras Al Khaimah. Ras Al Khaimah is a common place for offshore companies to register a company in the UAE. There is no way to know where USI-Tech is actually located at with this type of offshore company registration.
The founders of USI-Tech are Jao Severino and Ralf Gold.
Jao Severino (JOÃO FILIPE FERNANDES SEVERINO) has been barred from financial activity in Portugal because he was involved with another scam called AMC INVEST. AMC Invest offered 10% interest per month on investments and it ended up scamming hundreds of people before it was taken down by the authorities. People were arrested for this scam.
Ralf Gold has promoted many money making scams in the past as well:
- AdsProfitReward 2012
- MX FAST MONEY 2013
- WORLD CONSUMER ALLIANCE 2013
- HourlyRevShare 2013
- AdsProfitWiz 2013
- APR CLICKS 2013
- UPPERGAME 2014
Celso Rico & Ralf Gold
CEO UPPER GAME
In my opinion, USI-Tech is just another money making scam. They use software and Bitcoin investment packages to get people to participate in a recruiting scam.
Here is how the scam works:
- They use ridiculous rates of return to get you to purchase their products.
- They get you to recruit your friends and family into a pyramid scheme.
The Bitcoin Package they offer is a Ponzi scheme. It offers overly consistent returns for an investment that is incredibly volatile: Average 1% Daily Payout, 5 days per week. Also, the Bitcoin Package is used as the “product” in a product-based pyramid scheme.
Many Ponzi schemes share common characteristics. Look for these warning signs:
- High investment returns with little or no risk. Every investment carries some degree of risk, and investments yielding higher returns typically involve more risk. Be highly suspicious of any “guaranteed” investment opportunity.
- Overly consistent returns. Investment values tend to go up and down over time, especially those offering potentially high returns. Be suspect of an investment that continues to generate regular, positive returns regardless of overall market conditions.
- Unregistered investments. Ponzi schemes typically involve investments that have not been registered with the SEC or with state regulators. Registration is important because it provides investors with access to key information about the company’s management, products, services, and finances.
- Unlicensed sellers. Federal and state securities laws require investment professionals and their firms to be licensed or registered. Most Ponzi schemes involve unlicensed individuals or unregistered firms.
- Secretive and/or complex strategies. Avoiding investments you do not understand, or for which you cannot get complete information, is a good rule of thumb.
- Issues with paperwork. Do not accept excuses regarding why you cannot review information about an investment in writing. Also, account statement errors and inconsistencies may be signs that funds are not being invested as promised.
- Difficulty receiving payments. Be suspicious if you do not receive a payment or have difficulty cashing out your investment. Keep in mind that Ponzi scheme promoters routinely encourage participants to “roll over” investments and sometimes promise returns offering even higher returns on the amount rolled over. – Source sec.gov
The software they offer can’t offer the regular returns they claim it does. The software is used as the “product” in a product-based pyramid scheme.
“Most robots, if not all, are designed to make money for the creators and not for the users. Forget about them and learn how to trade.” – babypips.com
At the time of this post they recommend two shady brokers for you to use with their software:
- Pure Market
Modern pyramid schemes generally do not blatantly base commissions on the outright payment of fees, but instead try to disguise these payments to appear as if they are based on the sale of goods or services. …While the sale of goods and services nominally generates all commissions in a system primarily funded by such purchases, in fact, those commissions are funded by purchases made to obtain the right to participate in the scheme. Each individual who profits, therefore, does so primarily from the payments of others who are themselves making payments in order to obtain their own profit. – Source FTC Division of Marketing Practices James Kohm
USI-Tech does offer a free affiliate program you can participate in and make money from selling people their products. This does not change the scam that is being run with the actual products this company offers.
FOREX Lifetime – €600 (One Time Fee) Includes 12 month Agency Licence
Agency License – €600 (Annual Fee) extended Uni-Level Qualification (12 Level)
Bitcoin Package – €50 (Unlimited Buy Amount)
Automated trading systems specifically tailored to the MT4 trading platform for the FOREX market.
Bitcoin Investment Packages.
To fully qualify to take part in the compensation plan you must purchase a software licence and recruit three people that purchase the software licence or purchase 12 BTC packages.
To maintain full qualification you need to purchase an Agency License each 12 months.
Without qualification you earn 10% for everyone you sponsor and 3% on your 2nd level.
Forex and CFDs are leveraged products and involve a high level of risk. It is possible to lose all your capital. These products may not be suitable for everyone and you should ensure that you understand the risks involved. Seek independent advice if necessary.
You have 14 days to cancel the FOREX Lifetime License.
USI-Tech Scam Conclusion
In my opinion, USI-Tech is another recruiting scam that uses ridiculous claims of returns for their products to get people to buy them and join the scam. You have to pay them to participate in the 12 level compensation plan. The founders of this scam have a long history with other money making scams. FOREX and Bitcoin have massive risks in investing in them. USI-Tech does not have the answer to lowering your risk and making you consistent returns. The Bitcoin Package they offer is a Ponzi scheme. The software they offer can’t offer the regular returns they claim it does. The software is used as the “product” in a product-based pyramid scheme. They expose you to shady FOREX brokers as well. USI-Tech claims to have its headquarters in Dubai. They are not registered as a business in Dubai. They are registered as a company in Ras Al Khaimah. Ras Al Khaimah is a common place for offshore companies to register as a company in the UAE. There is no way to know where USI-Tech is actually located at with this type of offshore company registration. USI-Tech does offer a free affiliate program you can participate in and make money from selling people their products. This does not change the scam that is being run with the actual products this company offers. I would not invest my money in USI-Tech.