Alyx Union, a corporation apparently offering an MLM (Multi-Level Marketing) opportunity, raises concerns about its lack of openness by failing to provide any ownership or executive information on its official website. The website domain, “alyxunion.com,” was privately registered on October 30th, 2023, and web access to the root domain is now disabled. Instead, the MLM opportunity is hosted behind a “dapp” subdomain.
As of the time of publication, the website primarily serves as an affiliate sign-up page, with no identifiable information regarding the individuals or businesses behind Alyx Union. Despite its brief existence of a few months, the company hosted a staged “year-end celebration event” in December.
Furthermore, investigations indicate that the individuals administering Alyx Union may be involved in fraudulent activities, maybe from locations in Hong Kong or Singapore. The lack of openness and affiliation with unethical operations raises issues about Alyx Union’s credibility as a commercial entity.
Furthermore, a humanitarian organization called “A Heart For China,” situated in Shenzhen and directed by Belgian national Ronny Verdoodt, appears to have ties to the corporation, as indicated by the apparent volunteer activity of an individual portraying the part of Ryan Strasser for the charity in 2017. These details add to a complex narrative about Alyx Union’s operations and legitimacy.
The lack of regulation or the presence of poor regulation is a huge red flag. It means Alyx Union is a scam and most likely, an illegal operation.
Companies offering investment services or opportunities without having a license can vanish without leaving a trace. Furthermore, the lack of a regulatory license allows them to get away with it and face no legal consequences.
That’s why it’s vital for you to always check a company’s regulation status as well as its license information. The presence of a license allows consumers to reach out to an authority if something goes wrong.
In the case of Alyx Union, victims have nowhere to go due to the absence of a watchdog or license.
You should ask yourself the following questions when you come across a new investment firm or opportunity:
- Does the investment provider maintain transparency about its CEO?
- Do they have a license from a renowned regulatory authority?
- If the need arises, can I reach out to an authority to report this company as a scam?
Alyx Union stands noteworthy for the lack of real retailable products or services. Affiliates are exclusively responsible for promoting Alyx Union’s affiliate membership. The company does not sell any conventional products.
Alyx Union’s incentive plan is based on affiliates investing $100 or more in tether (USDT). In exchange, clients are guaranteed a passive daily return of 0.3%. This return rate could rise to up to 1.3% each day if affiliates agree to lock up their assets for 100 days. Notably, Alyx Union pays returns in aelf (ELF), a cryptocurrency that witnessed a pump and dump in 2018. There are signs that ELFU, also known as “aelf union,” may be linked to Alyx Union.
Alyx Union also offers a sophisticated staking structure in which returns are dependent on arbitrary payouts that gradually decrease from 16% to 1% over an indeterminate time period. Alyx Union’s MLM strategy focuses on attracting new affiliate investors.
Alyx Union’s compensation plan has ten affiliate tiers, each with distinct qualification criteria:
|Sign up as an Alyx Union affiliate and invest $100
|Invest $10,000, recruit two V4 or higher-ranked affiliates, and generate at least $2,000,000 in total downline investment
|Invest $1000, recruit two V1 or higher ranked affiliates, and generate at least $100,000 in total downline investment
|Invest $20,000, recruit two V5 or higher-ranked affiliates, and generate at least $5,000,000 in total downline investment
|Invest $500, recruit two V0 or higher-ranked affiliates, and generate at least $30,000 in total downline investment
|Invest $10,000, recruit two V4 or higher ranked affiliates, and generate at least $2,000,000 in total downline investment
|Invest $30,000, recruit two V6 or higher-ranked affiliates, and generate at least $10,000,000 in total downline investment
|Invest $40,000, recruit two V7 or higher-ranked affiliates, and generate at least $40,000,000 in total downline investment
|Invest $40,000, recruit two V7 or higher ranked affiliates, and generate at least $40,000,000 in total downline investment
|Invest $50,000, recruit two V8 or higher-ranked affiliates, and generate at least $100,000,000 in total downline investment
Alyx Union’s unilevel compensation system includes a matching incentive. This bonus is calculated as a percentage of daily returns over five levels of the affiliate’s unilevel team, with a range of 12% to 2%.
Affiliates can receive a 20% bonus after obtaining V2 or higher rank. This bonus is calculated as a percentage of personally recruited affiliate investment and is limited to downline affiliates of the same rank.
Alyx Union provides a Community Reward to V1 and higher-ranked affiliates, with different percentages depending on personal staking, direct referrals, and team sales. The reward levels range from 10% and 90%.
However, it’s worth noting that many scammers disable their payment channels before shutting down their operations.
They might give you multiple reasons including:
- A technical error
- A glitch in their system
- Banking issues
- A “hacking attack”
And many others.
But in 9/10 cases, the scammers actually stop making payments and keep the money to themselves. Hence, the payment methods we discussed here might not work.
If you want to get your money back from a scammer, you’d need to file a chargeback.
When it comes to scammers, you should only measure the quality of their customer service if they respond to your complaint.
In the beginning, scammers tend to remain very accessible.
This means their representatives will keep calling you until you invest with them. Furthermore, they will act friendly and make it seem as if you’re one of their most valuable consumers.
However, they do all this just to win your trust.
Scammers understand that in order to convince someone to give them a large sum, they will need to seem like a friend.
Nevertheless, when you have invested a considerable amount of money and need to get it back, their customer support will become inaccessible.
All of a sudden, their numbers would either stop responding or become unavailable.
Still, they might remain accessible to convince you to invest further. Also, they might begin by making a few excuses regarding your payment.
However, in the end, the customer support won’t resolve your issues and become increasingly unavailable.
It’s worth noting that many scammers tend to purchase fake reviews. Buying fake reviews has become extremely easy and it’s a multi-million dollar industry.
Scammers like Alyx Union tend to purchase fake reviews for their online profiles to make themselves seem more credible.
TIME Magazine investigated the fake review industry and estimated it to be worth more than $150 million. Certainly, there are a ton of scammers who want to seem legitimate and a bunch of fake reviews is the most effective way to do so.
That’s why you shouldn’t trust Alyx Union reviews easily.
It’s easy to identify fake reviews as well. You should look out for 5-star reviews that are posted by temporary accounts (profiles which only posted 1 or 2 reviews on the platform). Also, you should see if the positive reviews share any detailed information about their experience with the firm or not.
In the case of Alyx Union, chances are, you wouldn’t find many legitimate reviews.
Another prominent way scammers like Alyx Union enhance their credibility is by burying negative reviews and complaints under a lot of fake reviews.
This way, when you’ll look up “Alyx Union reviews”, you might not find many complaints. Or, you might find them buried within numerous reviews praising Alyx Union.
You should always look out for consumer complaints. In the case of Alyx Union, the most common complaints I found were about:
- Poor customer support
- Delays in payments
- High fees and charges
- Lack of transparency regarding their leadership team
- Aggressive sales staff
Do you have a similar complaint about Alyx Union? You can share your complaint in the comment section or submit an anonymous tip.
Joining Alyx Union as an affiliate is free, however full involvement in the earning possibility requires at least a $100 investment in various cryptocurrencies. Alyx Union’s working concept is similar to a conventional Boris CEO MLM crypto Ponzi scheme. It follows a similar pattern to prior schemes such as SCF and Fintoch, indicating possible links to organized crime elements.
The organization uses cryptocurrency investments to pay out profits to existing investors, similar to a typical Ponzi scam. The absence of retail products or services highlights Alyx Union’s pyramid scheme character.
Alyx Union’s disclaimer, which excludes the United States and some U.S. territories, is a warning flag that is frequently associated with scams. Passive investment programs are not unlawful, but their exclusion from the US market creates suspicions about fraudulent activity.
To function lawfully, Alyx Union would have to register with the SEC and provide audited financial records, something they appear to avoid. According to SimilarWeb data, traffic is predominantly from Italy, Chile, Canada, South Africa, and Kazakhstan, with Alyx Union likely operating illegally in these nations due to a failure to register with financial regulators.
The collapse of Alyx Union is unavoidable if affiliate recruitment slows, resulting in a depletion of new investments and, as a result, a loss for the majority of participants. The math inherent in Ponzi schemes ensures this conclusion, emphasizing the hazards of participating in such operations.
Alyx Union is an unregulated entity. Although they might fall under the jurisdiction of a watchdog, they don’t have the license to offer financial services to consumers.
The lack of a license means they are not answerable to any regulatory authority. As a result, the people behind Alyx Union can run away with your money without any prior notice. You should be extremely cautious when dealing with an unregulated service provider.
The absence of a watchdog also means you cannot report to them to anyone.
Also, due to the absence of specific regulations, there is no provision protecting you from the insolvency of this entity. If they go bankrupt, you won’t be able to do anything about it.
Can You Trust Alyx Union?
All the evidence suggests that Alyx Union is a scam. If you have lost money to them, there is still a chance you can get it back.
To recover your funds, you’d need to file a chargeback.
Is Alyx Union a scam?
Can I withdraw money from Alyx Union?
Where is Alyx Union Located?
How do I get my money back from Alyx Union?
Launch a website/app with a generic name
A website or app with a generic name allows scammers to hide behind common Google search results. Marketing such names is easier as well.
Pay influencers & social media pages to promote the scheme
By getting influencers and social media pages to promote their brand, scammers make their shady company seem more legit than it actually is.
Send thousands of emails and make cold calls to potential victims
It’s common for scammers to buy the contact details of people and spam them through email, phone calls, social media messages and other means.
Make victims feel safe through “small wins”
Such small wins usually include a few payments transferred into the victim’s account. This makes them seem more legitimate.
Convince victims into investing large sums of money
Due to the small wins, the victim is now convinced that the company is legit. Now, the scammers try to manipulate the victim into giving them larger sums.
Disable withdrawals & take down the website/app
Once the scammers have recieved a signicant sum, they either stop responding or cite a technical error to freeze their victims’ funds.
Repeat the cycle
After making the money, the scam will shut down and the people running it will launch another and repeat the cycle.