MMM Global has announced that it is closing its Republic of Bitcoin, a website promising up to 100% returns on donations. The company, called a "Ponzi" scheme by many, stated in a blog that the Republic of Bitcoin was an experiment that has failed. The…
MMM Global has announced that it is closing its Republic of Bitcoin, a website promising up to 100% returns on donations. The company, called a “Ponzi” scheme by many, stated in a blog that the Republic of Bitcoin was an experiment that has failed.
The post said the Republic of Bitcoin is closing because it could not pay 100% per month. MMM required participants to donate funds to acquire “Mavro,” which appear to be a point system. The site indicated a yield of 100% month was possible.
Participants’ “RB-Mavro” have transferred to MMM-structures in participants’ countries, the post said. In countries with no MMM structure working, such a structure will be created in two weeks.
The MMM Global website provided weekly updates and made references to “financial apocalypse” being inevitable. The website said MMM is not a bank, does not collect “your” money, “is not an online business, HYIP, investment or MLM program. MMM is a community where people help each other.”
The Chinese government warned citizens that MMM Global operated illegally in that country, according to EconoTimes. The report noted MMM Global was registered in Russia and its servers were not located in China.
Fin24.com, a South African website, reported that Sergey Mavrodi, who various news reports refer to as the person operating MMM Global, has gone into hiding. The report said MMM South Africa was one of nine companies the South African Police Services Specialized Commercial Crimes Unit is investigating.
Behind MLM, a site that reviews multi level marketing (MLM) activity, reported on Dec. 10, 2015 that there was no information on the MMM Global website indicating who owns or runs it. The report noted the website domain was registered on Feb. 4, 2014, but the domain registration was set to private.
Last month, Ventures Africa reported MMM Global was flourishing in Nigeria despite the fact that China and South Africa warned their citizens against it.
Ventures Africa reported that in January the bank accounts of an investor in MMM Global in South Africa were frozen due to violating the Consumers Protection Act.
A Reddit post five months ago noted that the Republic of Bitcoin is a rerun of a Ponzi scheme.
Last modified: January 25, 2020 11:17 PM UTC