AiYellow jumps on crypto bandwagon with Yellow Trading Coin (YTC)
AiYellow’s hopping on the MLM crypto bandwagon is as cookie cutter as it gets.
Before we get into that though, some history.
AiYellow launched in 2005. Although they’ve added bits and pieces to it over the years, the core business model has remained relatively unchanged.
AiYellow is centered around a useless business director (because y’know, the internet itself isn’t big enough itself).
The money side of things sees AiYellow affiliates sign up and pay fees for merchant licenses.
These codes can be sold to merchants (or more likely given away because nobody is paying for them).
Commissions are tied to affiliate recruitment, by way of initial signup fees and forced monthly spends.
Long story short, what have is a company full of affiliates buying merchant codes each month. That’s the main revenue spinner and what drives the compensation plan.
For the most part AiYellow had been limping along, until the company announced its YellowTradingCoin ICO last year.
YellowTradingCoin is an ERC-20 shit token. It serves no purpose other than AiYellow’s owners to suck even more money out of their affiliate base.
Investment in YTC is solicited on the usual comparisons to bitcoin and bullshit promises of lambo riches:
AiYellow themselves literally concede YTC is just a crypto cash grab;
The YTC Token is riding on the massive wave of Momentum created by the Blockchain revolution.
In reality AiYellow was a useless directory and nobody used. Adding a crypto shit token isn’t going to change anything.
Yet despite that, AiYellow maintains it’s an existing use case and is sure to drive up YTC’s value… when it publicly launches in March 2020.
Yes, you read that right. AiYellow is ICO’ing its YTC shit token for one whole year.
YTC was flogged to what’s left of the AiYellow affiliate-base for 2 cents a token. By March 2020 the company plans to go public at 15 cents a token.
No particular reason, it’s just an arbitrary value AiYellow has plucked out of thin air.
Until then affiliates can invest in YTC, however I believe they’re not allowed to sell for 75 days.
The cited reason for this is to “deter speculation as the value increases” (AiYellow arbitrarily sets the internal value of YTC as they see fit).
By now you should be intimately familiar with the MLM crypto scam model. But for those who aren’t;
After extracting as much as it can out of its affiliates, on or around March 2020 AiYellow will get listed on some dodgy public exchange.
Initially there’ll be a pump, during which AiYellow management will dump as much YTC as they can (AiYellow management generate YTC at little to no cost).
AiYellow affiliates will be told YTC is “going to the moon” and encouraged to invest more.
When that’s over the value dumps, leaving YTC bagholders to watch their coins dump to $0.
The fact of the matter is a business directory nobody uses isn’t going to prop YTC up. Even without the crypto nonsense AiYellow’s business directory is an outdated concept (even so in 2012, when we first reviewed the company).
When was the last time you used anything other than a search engine to find information on a company or product? Hell, when was the last time you went to a website to use their business directory?
Back in 2012 AiYellow was headed up by co-founders Martin Naka and Rick Cabo.
Curiously, the AiYellow YTC whitepaper cites Frank Varon as CEO of YellowTradingCoin.
Not really sure how you can CEO of an ERC-20 token but alrighty then.
As per the “corporate team” section of AiYellow’s website, Martin Naka and Rick Cabo are still running the show.
Naka is cited as residing in Thailand and Cabo in the US (Los Angeles).
I don’t know if Varon is actually based out of the scam friendly jurisdiction Saint Marteen, but it should be obvious AiYellow has no physical presence there.
At the time of publication Alexa pegs Colombia (29%), Greece (18%), Thailand (10%), Venezuela (8%) and Brazil (8%) as the top sources of traffic to the AiYellow website.
Despite quite clearly marketing a passive investment opportunity, AiYellow provides no indication it has registered its securities offering in any jurisdiction.
That means that in addition to pyramid fraud, AiYellow, its corporate stafff and affiliate promoters are also committing securities fraud.
Simply put; If regulators don’t step in between now and March 2020, the vast majority of AiYellow YTC investors will lose money in yet another MLM altcoin exit-scam.