Napston Review: 150 day ROI crypto trading bot Ponzi scheme
Napston provides no information on their website about who owns or runs the business.
Napston’s website domain (“napston.com”) was first registered in 2013. The domain registration was last updated in August 2018.
Adam Koller of “Napston Network Solutions Limited” is listed as the owner, through a virtual office address in Hong Kong.
Neither Adam Koller or Napston Network Solutions has a digital footprint outside of Napston’s domain registration.
At the time of publication Alexa cites Brazil as the only signficant source of traffic to Napston’s website (76%).
Although not definitive, this strongly suggests that whoever is running Napston is probably based out of Brazil.
As always, if an MLM company is not openly upfront about who is running or owns it, think long and hard about joining and/or handing over any money.
Napston has no retailable products or services, with affiliates only able to market Napston affiliate membership itself.
Napston’s Compensation Plan
Napston affiliates invest bitcoin on the promise of an advertised return.
- Starter – invest $100 in bitcoin and receive a 1% daily return for 150 days
- Advanced – invest $1000 in bitcoin and receive a 1.25% daily return for 150 days
- Expert – invest $5000 in bitcoin and receive a 1.5% daily return for 150 days
Napston pays referral commissions via a unilevel compensation structure.
A unilevel compensation structure places an affiliate at the top of a unilevel team, with every personally recruited affiliate placed directly under them (level 1):
If any level 1 affiliates recruit new affiliates, they are placed on level 2 of the original affiliate’s unilevel team.
If any level 2 affiliates recruit new affiliates, they are placed on level 3 and so on and so forth down a theoretical infinite number of levels.
Napston caps referral commissions at ten.
Referral commissions are paid out as a percentage of funds invested across these ten levels based on how much an affiliate invests.
- Starter affiliates receive 7% on level 1 (personally recruited affiliates), 3% on level 2 and 1% on level 3
- Advanced affiliates receive 8% on level 1, 4% on level 2, 2% on level 3 and 1% on levels 4 and 5
- Expert affiliates receive 10% on level 1, 4% on level 2, 2% on level 3 and 1% on levels 4 to 10
Napston affiliate membership is tied to a $100 to $5000 investment in bitcoin.
Napston claims to generate external ROI revenue through a “automated cryptocurrency trading platform”.
Beyond CGI marketing videos on YouTube, there is no evidence of Napston trading cryptocurrency.
Nor is there any evidence of any other source of external revenue being used to pay affiliates.
Furthermore Napston’s business model fails the Ponzi logic test.
If Napston’s anonymous owners actually had an automated crypto trading bot capable of generating a fixed 1.5% daily return, what do they need your money for?
And why are they selling access to such a golden goose for just $100 in bitcoin?
As it stands, the only verifiable source of revenue entering Napston is newly invested funds.
The use of newly invested funds to pay existing Napston affiliates a daily return makes it a Ponzi scheme.
Additionally, Napston are also committing securities fraud.
As per their own admission, Napston admit to offering a passive investment opportunity.
How do packages work?
You can earn passive interest with our cryptocurrency trading operations.
Napston provides a virtual office address in Hong Kong on their website, but still claims it’s “duly registered and based in Hong Kong.”
If we take that at face value for the purpose of securities law due-diligence, securities in Hong Kong are regulated by the Securities and Futures Commission.
A search of the Securities and Futures Commission reveals Napston is not licensed to offer securities in Hong Kong.
Nor does Napston provide any evidence they are registered to offer securities in Brazil, currently their largest investor market.
Despite committing securities fraud in both Brazil and Hong Kong, Napston maintains it operates in “full compliance”.
As with all MLM Ponzi schemes, once affiliate recruitment dries up so too will new investment.
This will starve Napston of return revenue, eventually prompting a collapse.
The math behind Ponzi schemes guarantees that when they collapse, the majority of participants lose money.