Beware of Enigma Network – Review

Enigma Network works in the MLM sectors of forex trading and cryptocurrencies.

According to reports, Dave Wiltz, the company’s founder, and president is in charge.

Describe Dave Wiltz. No clue. He doesn’t seem to have any online presence save the promotion for Enigma Network.

However, it doesn’t matter since…

J. Joshua Beistle and Doug Wellens are the real brains of Enigma Network.

As co-founders of Essential Access Network, Beistle and Wellens were last seen by BehindMLM in 2020.

Subscription services for telemedicine were offered by the Essential Access Network. The business’s website is still accessible, although Alexa rates its traffic as “n/a”.

Practically, Essential Access Network is no longer an MLM organization.

About the MLM backgrounds of Beistle and Wellens;

In 2013, J. Joshua Beistle made his debut on BehindMLM in the role of the head of the JubiRev Ponzi scam.

JubiRev, which was essentially a reload of the infamous Zeek Rewards Ponzi scam, crashed a few months after it was introduced.

Midway through 2014, Beistle made a comeback with the short-lived pyramid scam BrandOnline365.

As a co-founder of Infinite Leverage, Doug Wellens made his debut appearance on BehindMLM in 2014.

A marketing platform and a pyramid scam were combined to establish Infinity Leverage.

2015 saw the return of Infinite Leverage as Traffic Authority. 2018 saw the relaunch of Traffic Authority as Finish Line Network.

Richard Anzalone, vice president of sales at Enigma Network, is another person I want to mention.

Anzalone was charged with a crime in connection with Infinity2Global in 2017.

Infinity2Global was a $25 million pyramid fraud run by Rick Maike.

One of the top earners at Infinity2Global, Anzalone took home $800,000. Multiple counts of mail fraud and money laundering are brought against him.

Anzalone may spend decades in jail if found guilty.

The trial for Anzalone and his co-defendants is set for July 2022.

A shout-out to Enigma Network’s claimed “legal staff” would also be remiss:

The worst mistake made by Wellman and Warrens to date was endorsing iPro Network in 2017.

In 2019, the SEC filed a lawsuit against iPro Network, claiming it was a $26 million pyramid fraud.

In 2018, Warren’s legal evaluation of Crypto World Evolution left us unimpressed as well.

Enigma Network lists its corporate address as being in Las Vegas, Nevada, on its website.

According to Alexa, the Philippines (34 percent) and the US are now the top two countries sending visitors to Enigma Network’s website (19 percent ).

Discover more about the MLM opportunity offered by Enigma Network by reading on.

Products from Enigma Network

For $60 per month (4 weeks), Enigma Network offers the standard MLM cryptocurrency fluff:

Academe de Learning Crypto

RFX College

Portal Defi

Trading using a template

Study and Earn

a cellular app

Access to an automated trading bot is the actual product being offered.

As mentioned before, Enigma Network affiliates invest money using the trading bot of Enigma Network.

Then, allegedly, passive gains are obtained through forex and cryptocurrency trading.

The trading bots from Enigma Network aren’t described in any detail.

The trading bot from Enigma Network requires an extra fee.

four weeks of access to the forex or cryptocurrency bots for $99 each month;

Access to the forex or cryptocurrency bots costs $999 per year; or

Access to the FX and cryptocurrency bots costs $2499 per year.

Plan of Compensation for Enigma Network

Enigma Network’s MLM division makes money via affiliate and retail membership fees.

The passive returns trading bot and education packets are included in the subscription costs (details are above under “products”).

Commissions for Education Packs

Using eleven-deep rating criteria, Enigma Network pays education pack commissions:

Customer: Sell three memberships and keep them active to avoid paying your own $60 monthly subscription price.

Tutor 250: Continue to sell 3 subscriptions directly and produce a total of 10 subscription sales through your downline (divided 4/4/2).

Maintain 3 memberships that you individually sold and create 25 subscription sales overall (divided 10/10/5) for Tutor 500.

Maintaining 3 memberships that you directly sold while producing 75 subscriber sales overall (divided 30/30/15) for Tutor 1000.

Maintain 3 memberships that you individually sold and create 250 subscription sales overall (divided 100/100/50) for Tutor 2000.

Coach 5000: Sell and retain 6 memberships, resulting in a total of 500 subscription sales (divided as 400/400/200).

Maintain 6 subscriptions that you individually sold, and sell a total of 1000 subscriptions through your downline (400/400/200).

Coach 20,000: Maintain 6 memberships that you directly sold and produce 2500 subscription sales overall (divided as 1000/1000/500).

Selling and maintaining 9 memberships will bring in a total of 5000 subscription sales from the adviser’s downline (divided 2000/2000/1000).

Adviser 100,000 – retain 9 subscriptions that were individually sold and produce 10,000 subscription sales overall (divided by 4000/4000/2000).

Mentor 250,000, produce downline sales of 40,000 subscriptions (divided into 16,000/16,000/8000), and sell and keep 12 subscriptions.

The downline leg subscription sales percentages are referred to as the “split.” The figures given are the minimums to be sold over three legs of the downline.

Keep in mind that subscription purchases to retail customers don’t result in downline legs.

As a result, starting with Tutor 250, each Enigma Network affiliate is required to find and keep at least three affiliates who were personally recruited and have an active membership in an education pack.

According to rank, the following corresponding education pack commission payments are made:

250 tutors make $62.50 each week.

$500 tutors make $125 per week.

1000 tutors make $250 each week.

2000s tutors make $500 per week.

Coach 5000s are paid $1250 weekly.

$10,000 coaches make $2500 per week.

A coach making $20,000 per week makes

50,000 advisers make $12,500 per week.

A $100,000 advisor makes $25,000 each week.

Every week, Mentor 250,000s make $62,500.

Ranks for Trading Bot Affiliates

The second set of affiliate rankings is connected to the trading bot commissions offered by Enigma Network:

Become an Enigma Network affiliate by signing up.

create 20,000 GV as a builder

Pro Builder: produce 50,000 GV.

create 100,000 GV, as a manager

create 200,000 GV as a senior manager

Regional Director: produce 350,000 GV

Directors should produce 500,000 GV.

Senior Director: 750,000 GV in revenue

Regional Director: Produce 1.5 million GV

Influencer: 2,500,000 GV generated

Senior Influencer: 5,000,000 GV generated

10,000,000 Global Influencer GV are generated.

The compensation scheme for Enigma Network is ambiguous as to whether the GV amounts mentioned above are cumulative needs or monthly payments.

Residual Commissions from Trading Bots

A uni-level compensation system is used to pay out residual commissions for trading bots.

An affiliate is put at the head of a unilevel team in a unilevel pay system, and each affiliate they recruited is positioned immediately under them (level 1):

New affiliates brought on by any level 1 affiliates are added to the original affiliate’s unilevel team at level 2.

If any level 2 affiliates bring on new affiliates, they are promoted to level 3, and so on down a theoretically endless number of levels.

Thirteen is Enigma Network’s maximum number of paying uni-level team levels.

The following is the proportion of trading bot subscription volume used to calculate residual commissions:

Affiliates who have been personally recruited get 25% on level 1 and 5% on level 2.

Building contractors make 25% on level 1, 5% on level 2, and 2% on level 3.

Professional builders make 25% on level 1, 5% on level 2, and 2% on levels 3 and 4.

Managers receive a salary of 25% at level 1, 5% at level 2, and 2% at levels 3 through 5.

Senior Managers make 25% on level 1, 5% on level 2, and 2% on levels 3 through 6.

Regional Managers make 25% on level 1, 5% on level 2, and 2% on levels 3 through 7.

Directors make 25% on level 1, 5% on level 2, and 2% on levels 3 through 8.

Senior Directors make 25% on level 1, 5% on level 2, and 2% on levels 3 through 9.

Regional Directors make 25% on level 1, 5% on level 2, and 2% on levels 3 through 10.

Influencers make 25% on level 1, 5% on level 2, and 2% on levels 3 through 11.

Senior Influencers make 25% on level 1, 5% on level 2, 2% on levels 3 through 11, and 1% on level 12.

Global Influencers receive 25% on level 1, 5% on level 2, 2% on levels 3 through 11, and 1% on levels 12 and 13.

Bonus Coded Trading

A 20% Coded Bonus is paid by Enigma Network on the total volume of trading bot subscriptions.

Builders receive a 2% Coded Bonus rate.

Professional Builders receive a 4% Coded Bonus rate.

Managers receive a coded bonus rate of 6%.

Senior managers receive a coded bonus rate of 8%.

Regional Managers are compensated with a 10% coded bonus.

Directors are paid a coded bonus rate of 12 percent.

Senior Directors are paid a coded bonus rate of 14%.

Regional Directors are paid a coded bonus rate of 16 percent.

Influencers receive an 18% Coded Bonus rate.

Senior Influencers receive a coded bonus rate of 19 percent.

Global Influencers receive a 20% coded bonus.

An Enigma Network affiliate is compensated at the relevant rank bonus rate for each subscription sold for a trading bot.

Up to the point that the first Global Influencer receives the remaining 20% of the total, any excess is paid upline to higher ranking affiliates.

As a result, higher ranking affiliates can benefit from the differential in their Coded Bonus rate with lower ranked affiliates in their downline thanks to coded bonuses.

Trading Bot Match Bonus Check

Enigma Network provides check match bonuses on uni-level team affiliates’ profits.

Affiliates receive a 10% match at level 1. (personally recruited affiliates)

On levels 1 and 2, contractors receive a 10% match.

On levels 1 and 2, Pro Builders are paid a 10% match, while on level 3, they are paid a 5% match.

The match rate for managers is 10% on levels 1 and 2, 5% on levels 3 and 4, and 2% on levels 5.

Senior Managers are compensated at a match rate of 10% for levels 1 and 2, 5% for levels 3 and 4, and 2% at levels 5 and 6.

Regional Managers are compensated at a match rate of 10% on levels 1 and 2, 5% on levels 3 and 4, and 2% on levels 5 through 7.

The match for directors is 10% on levels 1 and 2, 5% on levels 3 and 4, and 2% on levels 5 through 9.

Levels 1 and 2 of Senior Directors are paid a 10 percent match, Levels 3 and 4 a 5 percent match, and Levels 5 through 11 a 2 percent match.

Levels 1 through 2 of Regional Directors and above get a 10 percent match, levels 3 and 4 a 5 percent match, and levels 5 through 12 a 2 percent match.

The check match is paid on either all commissions or simply residual trading bot commissions, according to Enigma Network’s compensation documents.

Extra Pools

Enigma Network allocates 2% of the total subscription volume to three Bonus Pools that are particular to different ranks.

Influencers receive an equal portion of a bonus pool of 0.5 percent.

Senior Influencers receive an equal portion of a bonus pool of 0.5 percent.

International Influencers receive an equal share of a 1% Bonus Pool.

Getting on the Enigma Network

Membership in the Enigma Network is $15 per month.

According to Enigma Network’s compensation model, affiliates are required to purchase the $60 education package (“provides access”).

It also seems to be a need for access to trading bot subscriptions.

Enigma Network exclusively takes bitcoin, even though all of the statistics mentioned in the payout plan are expressed in USD.

Enigma Network Summary

The MLM opportunity offered by Enigma Network may be divided into two separate parts: a trading bot securities scam and a pyramid scheme including education packages.

Retail buyers can purchase the education bundles. However, the requirement for three downline legs among builders favors recruiting over retail.

Since there are no requirements for retail, participation in the retail education package should be almost nonexistent.

This shouldn’t be unexpected considering that the trading bot subscriptions, which are far more expensive, are only accessible through the education package subscriptions.

Enigma Network is providing security in this case by passive return.

Regulators in the US use the Howey Test to prove the existence of an investment contract.

According to the Howey Test, if there is a “financial investment in a common company with a reasonable expectation of gains to be obtained from the labor of others” then an investment contract is present.

Affiliates in the Engima Network can place money in a bot’s account.

A “common enterprise” is the bot. Additionally, it is clear that money is being invested in the bot “with a reasonable expectation of gains”.

Enigma Network, which manages the bot, claims that the revenues come “through the labor of others.”

J. Joshua Beistle, Doug Wellens, and Enigma Network are not SEC-registered as of the time of publishing.

Enigma Network also has to be registered with the CFTC to engage in forex trading, but it is not.

Securities fraud is the practice of selling securities to US citizens without first registering with the SEC. It’s also prohibited to run a passive return FX strategy without CFTC registration.

Enigma Network follows the “lulz can’t touch our money” concept.

The owners deplete the funds through manipulated transactions or accounts are broken when this trading bot model stops working.

When you let a third party, in this case, Enigma Network, access your money, they are free to use it in any way they see fit.

Keep in mind that periodic submission of audited financial reports as required for regulatory registration. This checks if trade businesses are doing as they represent themselves to be.

The regulatory registration process and the submission of audited financial reports are not substituted by social media marketing.

Math ensures that most participants in a pyramid scheme lose money, which is true of the Enigma Network’s pyramid component.

When membership costs are taken into account, the majority of affiliates will lose money because the trading bot will continue to function until it stops.

These two elements must not be disregarded. Nevertheless, Enigma Network’s top regulatory worry is securities fraud.

To understand how MLM organizations conducting securities fraud play out, one simply needs to look at the individuals involved and their prior schemes.

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