Karatbars Scam: Does It Make Sense To Be A Scammer?
What is Karatbars International?
Karatbars International GMBH, an MLM company, specializes in small-sized gold bars and gift items for gold bullion.
Karatbars stands out from other MLM companies because its main product is gold.
Although they don't refer to themselves as Multi-level Marketing companies (MLM), they would prefer that you think of them as an affiliate program-based e-commerce company. However, they appear to be an MLM.
MLM is often associated with selling products to family members and hosting house parties.
An MLM requires that you purchase a product or service in order to fulfill legal requirements. Karatbar doesn't require you to purchase anything. It is only that Karatbar may recommend purchasing a product for your financial security.
The headquarters of Karatbars International and the logistics center are located in Stuttgart, Germany. It handles customer and partner communication, order execution and delivery, support, marketing and customer support. It coordinates the creation of new European countries.
Karatbars offers consumers an attractive and affordable option to buy 999.9 pure bullion as well as gold merchandise, collector's items and gift cards.
They are however DAMN difficult to work with, and orders can take FOREVER.
You also have no chance of earning a recurring income.
It's better to learn a system that allows you to earn passive income and not have to rely on your family or friends to buy.
This system actually earns some members of our staff over $40,000 per monthly!
Karatbars Company and Founder History
Karatbars International CEO Harald Seiz established Karatbars International GmbH in Stuttgart (Germany) in 2011. Through the years, he has continued to internationalize Karatbars with success.
Dr. Harald Seiz was a German-born investment and financial advisor who has been in success since 1983.
In 2016, the Hathe Federal Association for Economic Development and Foreign Trade awarded Senatorial Honors to Mr. Seiz.
Seiz is an entrepreneur driven with extensive knowledge of global financial market. Since 2016, he has dedicated himself to gold as an investment option.
Since then, this concept has been reflected in Karatbars International’s product portfolio.
As a long-term, stable investment, gold should be available to as many people possible.
What does Karatbars sell?
Karatbars offers gold bars and gift products with purity of 24 Karats 999.9% in the following gold bullion denominations.
- One gram
- 2.5 grams
- 5 grams
They are fully insured, and they will be delivered promptly and reliably to the address of the customer. These bars of gold are made in Turkey.
Each individual bar of gold bears a trademark symbol and the imprint from the quality assurance company. Hologram stickers are available on the reverse of the plastic card for added security.
Karatbats also sells Classic cards, which is why it is their most-loved product. Classic cards are made from one-gram gold pieces and attached to high-quality cards.
Karatbars is particularly interested in small-sized and light-weighted items because they are more convenient to transact with and can be used as a means of exchange or payment.
Another popular product in the Karatbars Group is the Collector Karatbar. Karatbars cards have gold nuggets in them.
Collectors who are passionate about collecting Karatbars should consider them. Collectors who are devoted to historical events and famous athletes can create special collections. They are also limited editions and will increase in price over time.
You can exchange your gold for cash at Karatbars' "daily guaranteed buyback rate" or any other registered K-Exchange centre.
What are KCB coins? Is KCB A Good Investment?
KBC is a cryptocurrency based on blockchain technology that can be used to make electronic payments for anyone who regards gold as a trusted, reliable, secure and stable medium.
Mixed Reactions to KBC Investment
KBC Coin is generally considered a good investment because it is backed with gold.
Analysts believe that it is a poor long term (1-year) investment due to its low market capitalization. The KBC price can be easily manipulated making it a high-risk option for investment.
Some predict that the Karatgold Coin's price will drop from 0.00550 USD down to 0.000561 US Dollars. This is a negative investment because it will result in a change of -89.796%.
It is possible that the prediction and analogy of it replacing or surpassing bitcoin in the near future will not be realized.
The KBC coin could crash due to its low price and small market capitalization during the next bear markets cycle. If current market conditions are maintained, the KBC coin may not reach $1 in a year.
Proponents, on the other hand claim that KBC coins have a high probability of producing a profit. The cryptocurrency's character has been characterized by its wavy nature based on its daily rates for the past six months. There is a high chance that the KBC Coin will hit new all-time highs in future.
The KaratGold Coin is a cryptonyzed form of gold that meets all global requirements. Each coin is a fictional weight of gold and can be exchanged for physical or digital gold. It will be possible to exchange it for fiat currencies and cryptos around the world in the future.
KBC Coin is secure, cost-effective, and borderless. It can also be transferred in real time. Because gold is stable and has a long history, its value is predictable. The KaratGold Coin could be widely accepted all over the globe. The cryptocurrency could see a rise in market capitalization, making it an attractive investment.
Is Karatbars A Legit MLM? Or Is Karatbars A Scam?
In The Money Show's Bruce Whitfield scam pyramid interview, Warren Ingram, personal finance expert and financial advisor. Galileo Capital's Executive Director is Warren Ingram.
"They're talking about desperate people... It is very hazy... Criminals can profit from this... Extreme caution. There are many ways to buy gold via established channels ..."
- Warren Ingram [Galileo Capital]
Bruce Whitfield interviewed another listener, who was at a Karatbars conference held in Cape Town.
I was invited to the conference... It wasn't what I expected. There was an overwhelming emotion... It was almost like being on stage with a rockstar.
- Susan Miller [Karatbars Conference delegates]
Bruce Whitfield also spoke to Tony De Gouveia (one of Karatbars International’s main South African affiliates).
It's not a pyramid scheme... Karatbars won an appeal in Canada...
I get paid when people in the network purchase the product... I would venture to guess that more than 10 000 South Africans are in Kartbars and buying gold.
- Tony De Gouveia [South African affiliate - Karatbars International]
Is Karatbars A Pyramid Scheme?
The Bank of Namibia flagged Karatbars International as a pyramid scheme.
Namibia's main financial regulator is the Bank of Namibia (BON).
In a media release, the BON stated that Karatbars International was a pyramid scheme after an investigation.
According to the Banking Institutions Act, pyramid schemes are prohibited in Namibia.
The NOB has imposed a ban on Karatbars International and its promoters from doing business in Namibia because they are involved in a pyramid scheme.
South Africa's FSCA has made a dramatic U-turn and abandoned all efforts to regulate Karatbars International.
Karatbars informed FSCA in response to its initial warning about securities fraud in November 2019 that it sells two products in South Africa, gold bullion as well as a crypto-asset.
The FSCA warned that Karatbars and its affiliates had heavily promoted KBC shitcoin's passive investment potential.
Instead of investigating Karatbars claims, which would have quickly shown KBC promotion dates back at least July 2018, FSCA seems to have taken the claim at face value.
In an update published December 13, 2019, the FSCA stated that Karatbars products do not fall within the definition of a financial service or product.
They are therefore not registered with FSCA and are therefore out of their jurisdiction.
A German watchdog ordered Karatbars' blockchain-based business to be shut down in 2019 after it was accused of luring customers into a pyramid program.
Karatbars International received a warning from the Ontario Securities Commission in July 2020 about securities fraud.
The OSC warns that Karatbars International, Karatbit, and Karatbit (including Karatbit Exchange), are not licensed or recognized in Ontario, Canada for the purpose of engaging in the business of selling or buying securities.
Karatbars International had been warned by Canada's AMF of securities fraud in March 2014. This led to an outright ban in 2016.
OSC's latest warning seems to be a repetition of Karatbars International's illegal solicitation for investment from Canadian citizens.
What happened to Karatbars International?
Karatbars, following regulatory warnings in the past few years as well as those from Namibia, Germany and South Africa, announced that it would change its names to Freebay in September 2020.
This reboot is in the wake of the devastating 2019 KaratGold Coin Ponzi Coin launch that resulted in large investor losses.
V999 is a Ponzi token that Karatbars use to defraud investors is now available on Freebay. The KaratGold Coin (KBC) has been retired.
Are You able to make money in the Karatbars Compensation Plan
There are many ways to make money in Karatbars' Compensation plan.
Distributors receive package commissions for every new package they sell to the distributors they recruit.
Distributors receive Unilevel Commissions in proportion to the money they spend on distributors below them, based on their rank.
The unilevel commission rate for a distributor is 0.5% with a maximum of 5.5%.
Distributors can earn binary commissions based on the downline's spending through a binary compensation model.
After each leg has sold a certain amount of units, these are then distributed generationally.
Worldwide Turnover Bonus
It is unclear how the pool is distributed among distributors. The compensation plan does not help.
It seems to be a percentage bonus pool that is 95 cents per gram of gold that Karatbars sells.
This pool is composed of 1% Karatbars International lump-sum purchase of gold. I believe this includes both package and individual gold purchases of more than 50 EUR ($55).
To be eligible for the gold pool, a distributor must have at least three unilevel legs with at least 9000 points.
To determine how many Gold Pool shares distributors can get, the points are divided by 1000.
Karatbars compensation plan is extremely complicated and 25 pages long. It is hard to imagine what information a distributor or sales representative would need in order to close a deal.
It sounds complicated, right?
It is, and it's right.
It shouldn't take this much to get money, and it shouldn't take this long to find out how much you owe!
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What is the cost to join Karatbars?
Karatbars membership costs nothing, however, in order to receive their commissions, you will need to purchase one of their packages.
Each package's price will vary depending on what content, products, and bonuses you choose.
- Bronze Package - $135
- Silver Package - $350
- Gold Package - $800
- VIP Package - $2,000
The biggest difference between packages is how much money you will earn each cycle. The bronze package will earn you around $10. The VIP package will make you more than $100.
Are Karatbars International still banned in Canada?
Karatbars are still prohibited in Canada, as far as I know.
The Ontario Securities Commission sent a warning about securities fraud to Karatbars International as recently as July 2020.
Karatbars Scam Review: Should You Invest in Karatbars Gold Bars or Not?
According to Investopedia gold is a good investment.
It asserts that gold (1) holds its value well over time, especially when it falls in value like 2008, (2) protects against inflation and (3) is almost immune to political problems. (4) Demand for gold will only increase.
Karatbars makes it easy to invest in gold by offering small amounts of gold bars.
Karatbars lets you purchase as little as one gram, whereas most people start with an ounce.
Karatbars rates for one gram 24K gold are around 60 EUR, or $66 USD. What is the current market value for 24K Gold? The current price per gram for 24K gold is close to $40 USD.
Karatbars has increased their gold prices by 50% This means that there is no reason to purchase gold from Karatbars regularly. To become an affiliate member of Karatbars, the only reason to purchase gold from them is for financial gain.
Karatbars does not have a solid product.
They create a smokescreen to hide the fact that Karatbars MLM consists of an affiliate program in which a new recruit transfers money to the founders who then distribute a portion of the profits to an older affiliate.
This makes the MLM company in danger of becoming a pyramid scheme.
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Our review team discovered a program that is top-notch in the real estate industry!
It's digital, but not real estate.
Karatbars is lacking in scalability.
You have a limited amount of time and you only have so many people to reach.
MLM companies understand this! MLM companies know this and will push you to recruit others for your downline. You won't make it big as a one-man/woman show.
What if you could make more money from your local websites? Without spending hundreds of dollars on expensive products or spending a lot of time recruiting people who will sell under your brand?
This digital real estate program will allow you to make a recurring monthly income, even if you don't sell as often to your friends or recruit!
Does it sound too good to be true?
It does, of course! It isn't, in fact, many business owners wish they had this skill.
You can simply build and rank a local website, and then forward the jobs to a business owner.
This applies to any service-based business such as tree service, plumbing, or towing.
What are the best ways to get paid?
It's simple, once you have sent the jobs to a business owner, he makes some money from them, you just ask for mutual benefit.
Based on the industry, a fair price per lead is between 10-20 %... let's take the tree service industry as an example and use the worst-case scenario.
Let's suppose you rank the site, and that only 10 jobs per month are received. Tree service jobs can range from $500 to $2000.
This means that you should have at least $500 per month in assets!
It's digital real estate, which is why they call it now. This is a rent payment.
It is easy to scale. There are no worries about:
Remember Karatbars? If you reach a monthly quota, you only get what's left of it...
You can actually get huge FLAT RATE DEALS by taking the course that we recommend. This is truly passive income!
This training program will take making money online to another level. You will be guided by the owner of the program, who will also share his screen and occasionally speak to you.
Learn the importance of keywords and website names, how to send calls notifications via email, backlinking, and other details.
After the training program is complete, you will have access to a Facebook Group that we think is better than the Karatbars MLM. This group is more active.
You could get 10-20x the amount you would at Karatbars.
Businesses will always need more leads and more jobs. It doesn't matter if the job isn’t coming from their website. They see it as it is...expanding their digital real estate.
Like Karatbars but a lot more people are able to leave their 9-5 jobs.
You can have passive income from digital real estate, but most of your time will be spent with your friends and not selling to them.
You probably have a lot of questions.