Full description of the business activities of the entity with supporting documents
There are several defamatory, false claims and unjustified allegations circulating against Crowd1 Network Ltd, our business model, and its affiliate members. Crowd1 and the Crowd1 network is portrayed and accused of being a scam, pyramid scheme, and bluff and has recently been scrutinized by several media outlets and authorities. Authorities in certain countries have even prevented Crowd1 from offering services and membership registration in their country. The following article is intended to oppose, challenge, and to clarify the accusations imposed on Crowd1. The article also contains supporting documents, including terms and conditions and privacy policy. The legal documents are attached to these documents, however, they can also be accessed on our homepage.
Crowd1 is not a pyramid scheme
The definition of a pyramid scheme is a fraudulent system where the financial capital only comes from the affiliation and recruitment of an ever-increasing amount of members. In a pyramid scheme, the recruiter of the new members is monetarily compensated as the new affiliate invests in the business and affiliates more members or when it purchases products or inventory from the business. The model is called a pyramid scheme since all the accumulated financial capital ascends towards the assemblage of people that entered the business in the beginning.
With Crowd1, it does not cost anything to become a member and members do not make money by involving others into the Crowd1 community, nor do members sell products to each other. The financial capital is accumulated when your Crowd1 network sells or markets the products or services of the Crowd1 partners. The Crowd1 business model is, therefore, not in line with the definition of a pyramid scheme. Members are monetarily compensated as their network and sell products, not by the inclusion of new members. Furthermore, products and services are marketed to external parties rather within the Crowd1 network, which does not comply with the definition of a pyramid scheme. Crowd1 rewards based on efforts, all members can, therefore, make any desired amount of money, regardless of their position in the organization.
During Crowd1 pre-launch, Crowd1 had a limited number of products, but at least it was always about the products, the main intention of the Crowd1 business was never strictly on the money. The affiliation process and inclusion of new members to the Crowd1 sales network was, therefore, never the central aspect of the Crowd1 legit business model. On July 4 2020, Crowd1 launched several new products for the Crowd1 sales network, including SAfer and LifeTRNDS, and throughout 2020 Crowd1 will be launching even more products that the members can build companies around, sell, recommend, or consume.
Suspicions and criticism towards Crowd1
The MLM industry is heavily criticized and there is an underlying suspicion towards almost all companies that operate within the industry. This is primarily caused by the fact that there, unfortunately, have been several unserious parties with malicious intent that have been attracted to the industry which makes it difficult for serious companies to create long-term and sustainable businesses. The MLM industry is complicated and intricate, which is a prominent factor in why Crowd1 is sometimes defined and portrayed as a pyramid scheme. The incompetence and unwillingness to learn about the industry are factors as to why media outlets and authorities are drawing incorrect conclusions and parallels to other companies with a dark past. This generally makes the narration of the Crowd1 exposed reviews one-sided, not including factors that could potentially refute the arguments proposing that Crowd1 is a scam.
Crowd1 and compliance:
Crowd1 is a multinational company that is still in the “start-up” phase and, therefore, does not have full presence in the global market and that its practice in direct sales / multilevel marketing is recognized by the European Community legislation which includes the following rules:
Consumer Rights Directive (2011/83 / EU)
Directive on Alternative Dispute Resolution (2013/11 / EU)
Unfair Commercial Practices Directive (2005/29 / EC)
Deceptive Advertising and Comparative Advertising Directive (2006/114 / EC)
Directive on certain aspects of the sale and guarantees of consumer goods (1999/44 / EC)
The company is currently working intensively to operate on the European market. This requires the necessary work to be recognized by EU authorities on the one hand, and to join Direct Selling Associations in Europe on the other. Crowd1 Network Ltd. offers a range of products and services that are particularly focused on digital or electronic configuration (applications, apps, and others), mainly in the markets of developing countries
Most multinational companies today have some form of incentive for existing customers to recommend and to affiliate new customers to them, by for instance offering them discounts and other types of beneficial rewards. However, since Crowd1 is operating within the MLM industry, the affiliation process of Crowd1 is directly portrayed as a pyramid scheme. Crowd1 will eventually be able to get the software to developing countries that they otherwise would have waited 10–15 years for, however, such beneficial factors are rarely considered by media outlets or authorities. We have a strong community and passionate employees in the company who are as enthusiastic about this vision.
Crowd1’s international network consists of millions of highly ambitious members with a love for entrepreneurship and sales and for the first time ever, we are giving members the unique opportunity to take part in the latest tech and innovation in order to build their own business and earn an income long-term. The simplicity and efficiency of the Crowd1 network marketing motivate our entrepreneurs and salespeople to perform at their fullest potential.
Products offered by Crowd1
Crowd1 does not sell any financial products and consequently does not need any license to sell financial products, therefore, there is no need for the company to be registered as a provider of financial products or services Crowd1 Educational packages include a voucher with videos and other forms of education services for the affiliates’ own use or to re-sell. We supply Crowd1’s affiliates with a library of products, apps, websites, and other services from our partners through the usage of crowd marketing.
An example of a product that is offered to all Crowd1 members is the education provided by MyGrithub. When purchasing a package with Crowd1, the member receives a generous voucher at MyGrithub to use or to sell. The real estate market is a highly lucrative industry and the education provided by mygrithub is intended to offer all users the ability to learn all intricacies of the market and to apply it in real-time. MyGrithub gives all members the tools to become entrepreneurs and learn more about how they can benefit from the market of real estate investments. MyGrithub provides the necessary education and guidance through the process of investing in real estate. The members get informed on how to handle their real estate investment, and what to consider in terms of soft values as well as other relevant and necessary information. When someone starts investing in real estate, it is like starting another business. A successful education process for real estate involves a combination of both study and application.
On the 4th of July, Crowd1 presented 3 new products to their existing product line. This is something that Crowd1 of course would have loved to have launched at an earlier stage but due to the Covid-19 pandemic, these launches were postponed until recently. Crowd1 also has a really strong product pipeline with additional products that will be launched in the next coming months. Crowd1’s most distinct and disruptive contribution is that it leverages both the crowd- and the sharing economy.
The future with Crowd1
As the first digital multi-level marketing company, Crowd1 addresses the challenge of long-term sustainability, and there is no doubt that the crowd marketing business model is sustainable. Crowd1 is the next generation of online networking and marketing and we are for the first time ever opening up for one of the world’s largest markets for millions of people to benefit from, a market that was previously closed and only available for a handful of large international companies.
We have attached the Privacy Policy as well as the Terms & Conditions for Crowd1 (this information is also available for the public on crowd1 for everyone). These legal documents cover the questions and the concerns around the nature of the business, who we are, and what we represent.
It is strictly mentioned in Crowd1’s Terms & Conditions that “We are not a registered financial advisor and are not a financial instrument, but merely an educational offering that you as an affiliated member or a paid affiliate partner have decided to be a part of. Crowd1 does not offer any token of ownership in a shared profits pool.
To read more reviews about crowd1, please visit the Crowd1 review site and if you enjoyed this article be sure to also check out our article about How to create a Positive Impact and why LifeTRNDS will strike further momentum on the global gig economy
