Crowd1: How safe is your money?

The only way to get your money out is to either buy a gift card for someone else to buy a package through Bitcoin.
The only way to get your money out is to either buy a gift card for someone else to buy a package through Bitcoin.
Bloomberg

PERSONAL FINANCE


Despite claims during the South African Crowd1 sales webinar that the company is registered in Spain with claims of protection through EU law for investors, it is in fact registered in Dubai in the United Arab Emirates.

Payments made for packages appear to go through a bank in Malta. One is discouraged from buying packages through bank transfers or credit card transactions.

Instead, Bitcoin is the preferred payment.

All information provided regarding any of the products and services provided by Crowd1.com is solely for informational purposes only.
The terms and conditions

The only way to get your money out is to either buy a gift card for someone else to buy a package through Bitcoin.

Crowd1 has created its own currency based on Crowd1 Business Points (BP) with one BP equal to €0.1.

The terms and conditions have been very carefully written to absolve the organisation of any responsibility:

“All information provided regarding any of the products and services provided by Crowd1.com is solely for informational purposes only. As such, no legal responsibility is assumed by us, and the accuracy or reliability of information, quotes, opinions or advice that results from any of our products or services is absolutely not guaranteed.

“Every ‘SUBSCRIBER’ assumes sole legal responsibility for his or her decisions to follow suggestions made in any of the products and services offered on Crowd1.com,” it states.

The ICT group website, which provides products to Crowd1, clearly states: “The ICT Group does not sell any products of its own: it merely markets other companies’ products and services via the Crowd1 member network.”

In other words, neither Crowd1 nor ICT take any responsibility for the products offered, which means if they are duds, you have no recourse against them and would have to seek recourse against the supplier.

Crowd1 also states that the organisation reserves the right to cancel an affiliate’s account at its absolute discretion, and no refund will be due for whatever reason.

This also means that all e-wallet balances and reward privileges will be subject to suspension.

Investors will have to decide for themselves whether this sounds like a feasible business or if it is just a cover for a pyramid scheme.

However, if you are looking to recruit people into Crowd1, keep in mind that authorities are investigating this business and many, many questions are being asked about its credibility. Is this a venture you are prepared to encourage family and friends to risk their money by joining?

NOTE: City Press emailed Jonas Werner, but received no response. We also emailed and sent a WhatsApp message to Johan Staël von Holstein, who also had not responded by the time of going to print. 


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Maya Fisher-French 

Personal Finance Editor

+27 11 713 9001
personalfinance@citypress.co.za
www.citypress.co.za
69 Kingsway Rd, Auckland Park

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