Is NovaTech a Pyramid Scheme? Honest MLM Review

novatech review

This post is a to-the-point and impartial NovaTech Review. This is one more MLM company selling memberships related to crypto & forex trading.

NovaTech is a Crypto-based as well as a Forex-based MLM.

In this post, we will share the company profile, joining details and MLM compensation plan followed by the answer to the question, Should I Join NovaTech?

It will also be proved whether Novatech is a Ponzi Scheme, Pyramid Scheme or a legit MLM company.

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NovaTech FX
FounderCynthia Petion
When Started2019
Head Office Kingstown, Vatican City
Opportunity TypeMLM
ProductsMemberships
Websitenovatechfx.com
Joining Cost$49.95

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What is NovaTech FX?

NovaTech claims to be a Crypto and Forex trading platform providing MLM benefits. Cynthia Petion founded NovaTech in the year 2019.

novatechfx founder

NovaTech mainly provides two types of accounts: PAMM (Permanent Allocation Management Module) and MT5.

PAMM account allows users to invest their funds through master accounts that are traded by experienced traders. A part of the profit from such trades is kept by NovaTech. No experience is needed to trade in such an account, but experts must be chosen wisely.

MT5 is the mobile version to do financial trading. This mobile account supports trading activities and helps to check account status, history and other crucial data.

 According to SimilarWeb statistics, major traffic to novatechfx.com is from the United States (75.25%), Canada (6.40), South Africa (2.72%), Colombia (2.38%) and Puerto Rico (1.48%).

Read: Trust Investing Review

Joining NovaTech

There are mainly two ways to be a part of NovaTech: Purchasing Membership or Holding a trading account. The requirements of both are as follows:

  • The yearly Membership charge is $49.95. Members also need to pay a $2.95 service fee every month.
  • If you wish to hold a trading account, you need to make a minimum investment of $99 and pay the monthly service fee of $25.

To become eligible to receive bonuses, the affiliates are required to maintain either of the two.

Read: Kok Play Review

NovaTech Products

There are no retailable products in NovaTech. Instead, the affiliates have to sell NovaTech membership packages.

There are different packages as follows:

Package NameCost (USD)
Builder$99 – $499
Bronze$500 – $2499
Silver$2500 – $4999
Gold$5000 – $9999
Platinum$10,000 – $24,999
VIP$25,000 – $99,999
President$1,00,000 or more

On purchasing the above packages the members get access to a PAMM account with the initial deposit amount equal to the cost of the package.

The commission on selling each package is different which we will discuss further.

Read: ClubShop Review

NovaTech Compensation Plan

There are mainly 7 types of bonuses paid to NovaTech affiliates. They are as follows:

1. Direct Referral Bonus

This bonus is paid when you add a new affiliate to your direct downline. The Direct Referral Bonus ranges from $10 to $5000 depending on which package you have sold.

Package NameDirect Referral Bonus
Builder$10
Bronze$50
Silver$125
Gold$250
Platinum$500
VIP$1250
President$5000

2. Indirect Referral Bonus

The Indirect Referral Bonus is paid up to 7 levels when any new affiliate is added in the downline or existing affiliate upgrades to the new package. The percentage paid as a bonus is as follows:

  • First Level – 5%
  • Second Level – 2%
  • Third – 1%
  • Fourth Level – 1%
  • Fifth Level  1%
  • Six Level – 0.5%
  • Seventh Level – 0.5%

3. Fast Track Bonus

When affiliates enroll a minimum of 3 Bronze or higher members within 45 days of registration, they stay eligible to receive a $100 Fast Track Bonus.

If they enroll a minimum of 3 Silver or higher members within 45 days, receive $500 as a Fast Track Bonus.

4. Check Matching Bonus

The Sponsor earns Check Matching Bonus up to 9 levels from the trading bonuses earned by the direct downline. The percentage earnings are as follows:

  • First Level – 5%
  • Second Level – 2%
  • Third – 1%
  • Fourth Level – 1%
  • Fifth Level  1%
  • Six Level – 0.5%
  • Seventh Level – 0.5%
  • Eight Level – 0.25%
  • Ninth Level – 0.25%

This bonus is paid out weekly.

5. Residual Income

This bonus is paid up to 9 levels from direct downline as a percentage of the services fees paid by the members. The percentage is as follows:

  • First Level – 5%
  • Second Level – 2%
  • Third – 1%
  • Fourth Level – 1%
  • Fifth Level  1%
  • Six Level – 0.5%
  • Seventh Level – 0.5%
  • Eight Level – 0.25%
  • Ninth Level – 0.25%

6. Rank Achievement Bonus

The affiliates are motivated to achieve higher ranks by paying out Rank Achievement Bonus. The bonus amount is as follows:

RankBonus
Platinum Associate$100
Junior Executive$500
Executive$1000
Senior Executive$2500
Junior Director$5000
Director$10,000
Senior Director$25,000
1 Star Ambassador$50,000
2 Star Ambassador$1,00,000

7. Profit Sharing

10% of the company’s profit is placed in the Profit Sharing Pool and the Senior Executives, Directors and Ambassador stay eligible to receive a part of this profit as follows:

  • Senior Executive – 2%
  • Director – 3%
  • Ambassador – 5%

Read: InCruises Review

To Be Concluded

This was all about NovaTech and its compensation plan. Till here everything seems to be perfect and positive but there are a few things we need to inspect.

Fake Information

One of the biggest red flags of any MLM company is false information. The official site and social media accounts include addresses of Griffith Corporate Centre, Beachmont, Kingstown, St. Vincent & Grenadines. But Google Map Review denotes location is fake and frequently used by scammers & shell companies.

NovaTech-FX-Scam

NovaTech claims to be legally registered as Saint Vincent and the Grenadines, but we are unable to verify incorporation details. Even though, if it is registered in Saint Vincent and the Grenadines, it doesn’t make any sense as most members are from the USA, Canada and South Africa (as per similar web).

Nasty Founder History

Cynthia Petion and her husband Eddy Petion have been top promoters of AWS Cryptocurrency MLM.

NovaTech-Founder

At first, AWS seemed to be a crypto earning opportunity but at a later date was proved to be a Ponzi scheme.

AWS was served a securities fraud cease by the Texas Securities and at that time none of the company people, as well as neither Cynthia nor Eddy came forward to defend it.

Moreover, NovaTech FX has received a fraud warning in Russia by CBR (The Central Bank of the Russian Federation). While in the future authorities from other countries as well going to issue warnings.

Not Authorised

Being an MLM company, NovaTech FX is also providing investment services that require authorization from financial regulators of different countries of operation, which certainly NovaTech doesn’t have.

It means NovaTech is doing securities fraud. To provide brokerage services, strict regulations are needed to follow while NovaTech is even failing to provide the correct address.

NovaTech is Ponzi Scheme

“NovaTech is operating for the past 3 years and paying regularly” this argument is frequently used to support NovaTech.

While this is a common phenomenon of the Ponzi Scheme scams. They pretend to be MLM and actually pay on time to attract more people.

Most probably, There is no actual trading made. Instead investment of new people is used to pay early investors and the same phenomenon goes on.

But as the MLM network (Ponzi Scheme) spread exponentially, most investors lose their money in the end.

Strategically it designs to lure maximum people, do money circulation and then disable withdrawal to do an exit scam.

Is NovaTech a Scam?

Till now NovaTech is working fine and the users are happy with ROI and affiliate commission.

Factually, NovaTech FX is a scam. It is doing securities fraud and a Ponzi scheme that can collapse at any time.

We will highly recommend staying away from it, as the government will not be able to help if you lose your money to it.

Read: Rodan + Fields Review

NovaTech

$49.95
2.7

Company Profile

1.0/10

Compensation Plan

5.0/10

Products

2.0/10

8 thoughts on “Is NovaTech a Pyramid Scheme? Honest MLM Review”

  1. Thank you so much,I am happy investing in my business. My friend was about to recruit me talking of how people are investing upto 60k

  2. Just reached out to the leasing company in the Grenadines, and this was their response:

    “Dear Sir/Madam,

    Please be advised that our firm is the Registered Agent for Nova Tech Ltd., the apparent owner of NovaTechFX, which means that we registered this Company in St. Vincent and the Grenadines for the client…”

    “…We do NOT own or operate this Company whatsoever, Furthermore, this Company does NOT operate from our address. It is a Registered Address ONLY…”

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