At the heart of Kuvera Global’s “we don’t need to register with the SEC” pseudo-compliance, is the claim that their mining services are provided on an individual basis.
A Kuvera Global affiliate invests in a graphics card, Kuvera Global set that up and then run it to generate a ROI.
We offer Crypto Mining Packages that consist of computer/GPU hardware, operation and maintenance services to provide individuals access to crypto mining.
Our mining hardware (hosting) facility is arranged through contractual partnership and located in Romania.
Each GPU processing card is specific to the package purchased, is individually serial numbered, and the customer may request their hardware to be shipped to them at any time.
We believe our mining services which are physically housed, monitored and maintained in a dedicated facility eliminates variables associated with other mining services that are typically cloud based.
Investview, Kuvera Global’s parent company, argues this fundamental difference exempts them from having to register and disclose the specifics of their mining opportunity with the SEC.
Thanks to the ethereum blockchain, we can confirm that’s baloney.
Earlier today BehindMLM reader Laurie sought comment on a Kuvera Global marketing video, uploaded to YouTube on June 17th, 2018.
The video features Kenny Gardner and John Lavenia pitching Kuvera Global’s mining opportunity.
At [35:55] into the video, an Ethereum address for “KuveraPool” appears on-screen.
Thanks to the transparency of the blockchain, the KuveraPool account isn’t difficult to look up.
What we quickly learn is that the KuveraPool account has mined 948 ETH over the past 90 days or so.
Every week, a withdrawal sum is transferred to this unnamed account, from which Kuvera Global affiliates are paid a weekly ROI in ethereum.
Kuvera Global’s commission account currently hold 116.81 ETH as a I write this.
The mining account holds 225.66 ETH.
While the figures might be academically interesting, of far more importance is confirmation that Kuvera Global is generating ROI revenue through a single account.
This is crucial, because it satisfies the “common enterprise” prong of the Howey Test.
Under the Howey Test, a transaction is an investment contract if:
-It is an investment of money
-There is an expectation of profits from the investment
-The investment of money is in a common enterprise
-Any profit comes from the efforts of a promoter or third-party
When it comes to MLM investment fraud, the Howey Test is pretty much the blueprint for establishing a securities offering.
With respect to Kuvera Global;
- There is no question that affiliates are investing funds with Investview and Kuvera Global
- There is no question Kuvera Global affiliates are investing funds on the expectation of profit
- Kuvera Global is a common enterprise affiliates invest in, and KuveraPool is clearly a common enterprise used to pay investors
- While specifics are not disclosed, there’s no argument that Investview and Kuvera Global are providing a passive ROI to their affiliate investors
For anyone who wants to argue the point, cloud mining opportunities have already been established as securities in the US.
Although we contend Investview is offering a security even if their individual GPU mining claims were true, the KuveraPool address proves the company is engaged in securities fraud.
What with Investview being a publicly listed Utah company registered with the SEC, one can only wonder how long it’ll be before the regulator takes action.