JOHANNESBURG - The recently launched Crowd1 scheme might be under investigation and even banned in some countries, but that has not deterred South Africans hoping to cash in from their investments.
The operation doesn’t offer tangible products but claims to use multi-level marketing to sell packages and shares to investors. It purports to sell educational packs and shares in casinos across the world but the only way for investors to profit is through the recruitment of others, who have to fork out at least R1,800 to join. But in order for members to make a profit, they have to recruit others into their teams.
Another woman, who joined Crowd1 last month, said that she was not really sure how it worked but was taking a leap of faith."I haven't gotten any payouts because I haven't got anyone signed up underneath me but every Wednesday, you get weekly points and those points are like a rewards thing, and [it] pays out every three or four months, I think. I'm not really sure."