What Is Crowdrising.net – A Cash Gifting Scam, Or Legit Opportunity?
Crowdrisising.net claims that it is a very simple and intelligent system, that will make it incredibly easy for you to make a lot of money for your family.
But is this really a great way to make money?
How Does Crowdrising work?
When you sign up to Crowdrising.net, you make “donations,” to your upline, (who ever invited you) starting with $20.
As you make donations to your upline, you can advance to higher levels. The first level is fixed with five positions below you and you need to recruit five people under you, who each donate $20.
They advise you to move on to level 2 prior to these five levels being complete, which is costs $40 to enter- levels then move up systematically, both in cost to enter and income opportunity.
Those who are recruited below you, pay you in order to reach higher levels also. The people in your downline recruit people below them, who will also earn from their own downlines – and so it goes on.
Note: I definitely do not recommend this program, this video is just for information.
Are Cash Gifting Schemes Legal?
Cash gifting schemes are a from of pyramid scheme, that tried to avoid being detected as such originally, by calling the money exchanged between individuals “gifts,” or “donations.”
However, there is no gifting or donations actually occurring, as all money exchanged is done so with the intention of reaping several fold back.
Cash gifting schemes are illegal – they have no tangible products or services exchanged, there is only money being exchanged.
As it’s predicted over 90% of anyone entering into a pyramid related scheme, will lose their investment. It is a good way of making a very small number of people, very wealthy- namely, those who created the program.
In addition, these schemes are either eventually shut down, or the creators shut it down once the donations start to dry up and they predict it’s due to collapse – they then often run off with any funds left in the pot.
The creators of cash gifting schemes will claim that they can bring you in money, for years and years to come. The reality is, most of these schemes come and go in a flash.
In the first stage, you join with $20 and find people to join under you. If you can get 5 people to join under you, your profit will be $100.
So, you are locked into making $100 at level 1 but they suggest you buy into level 2 after you get a couple of referrals and before you reach that $100 stage. This is where you buy into level 2 for $40.
From level 2, your projected earnings would be $1000, but you would need to have built up a downline of 25.
The levels and the amount you must pay to join each one, then goes up, as you can see below.
You are told it gets really exciting as you progress and that you can make many thousands of dollars.
This is the same thing that all similar schemes will claim. They will make ridiculously high claims of income potential – but this is not how it will turn out.
Just look at the last levels in the above picture. To reach level 10, you’d need a downline of over 9 million.
These schemes always collapse and more often than not, the creators manage to disappear with whatever money remains.
They have a little quote in one of their videos:
“Perhaps that 20 dollar bill you sent your nephew last month for his birthday was illegal. Nope, it wasn’t!”
Here, they are trying to claim that by joining this system, all you are doing is exchanging cash “gifts.” Cash gifts are legal in every day life, but these are not in this scenario.
There is a big difference when you exchange money within a cash-gifting-scheme and that difference is also recognised by law.
Because, in a cash gifting scheme, you are expecting a return on your investment – with a real cash gift, you expect nothing in return from anyone.
I’ve written a post explaining the difference between sending a gift of cash and cash gifting here.
Sometimes These Schemes Will Have A Smokescreen Product:
Now days, many cash gifting schemes and pyramid schemes, at least try and appear as though they may have some product or service on offer – as a smokescreen for what really is going on.
The products will be irrelevant and not the reason anyone is partaking in the program, but it will be an attempt to not be detected as an illegal scheme.
But here they don’t bother with any of that. There are zero products or services at all and that is quite clearly stated.
For example, in a program I recently reviewed, they were using “advertising space” as their product – although clearly no one was purchasing advertising space at all.
Red Flags And Warning Signs:
- There is no information about the owner on this website.
- The owner has been revealed to be Gerhard Rempel, the creator of several Ponzi schemes that have collapsed.
- There are no refunds available.
- Cash-gifting schemes are illegal – pure and simple.
- They claim that payments are not collected by admin – make no mistake, admin will have the largest share of cash.
- Why would you ever trust the creators of this program? They main creator is not openly declaring who he is on the website, yet he has been revealed already the creator of previously collapsed schemes.
- By supporting cash gifting schemes, you are lining the pockets of scam artists who will have no qualms with taking your money or ripping off innocent people who are in often in desperate financial need.
- Paypal is very likely to freeze any accounts associated with this program, they’ve done it on many other occasions once it’s apparent this is a cash gifting scheme – so, be aware.
Is It Only $20?
You may think it’s only $20 to partake, but you will quickly feel compelled to add more money to reach higher levels, before each level is complete.
They encourage you quickly to move on to level two, after just a couple of recruits – in case you miss out and your recruits below are wanting to move to the next level.
You should also be wary whether these positions later on are even taken up by real individuals. You really have no idea what’s going on behind the scenes.
The chances are stacked against you, a majority of people who join these schemes will lose any investment.
Conclusion: What Is Crowdrising.net?
Crowdrising is simply another cash gifting scheme.
If you’re going into this scheme with your eyes open and you know exactly what this is and the high risk it entails, then that is your choice.
However, if you’re bringing people into this scheme, without letting them know the reality behind what they’re getting into, that is completely wrong.
Lots of people get into these schemes because they’re desperate for money and they’re sucked in my the promises of great wealth and fortune – they do not realise the high risk involved, or the fact that a majority of people lose their investment.
If you can’t afford to lose whatever money you put in, do not take that risk and do not encourage other people you know to join without them having done their own research.
Absolutely anyone can sign up to this program and get a referral link, so you’ll get plenty of people on YouTube telling you what a wonderful opportunity it is, or sharing their link all over social media, so they can build up their own downlines.
There are lots of scams that I could have made money promoting, but I only promote legit opportunities and those are thin on the ground.
I see so many more scams or useless programs online, than I do opportunities I would be happy to promote. That is just an unfortunate reality of the internet.
If you’re sick of getting caught in these schemes and losing your money, maybe you should start thinking of going the legit route online.
You can see my review tab for a bunch of programs I recommend, or else see check out my #1 rated choice here.
Have you joined many programs like this? Let me know in the comments!
All the best…