Update! After investigation EverFX disclosed not having an agreement with CashFX or financial transactions between the companies. Read more
Update! Trustpilot warns about Cash Forex Group (CashFx). Read more
MLM company Cash FX is accused of being a pyramid scheme! In addition, Finansinspektionen in Sweden and other parts of the world warns the public about the company.
One company that apparently does not offer any real product other than membership recruitment is the Panama-based company Cash Forex Group (abbreviated Cash FX Group), which Finansinspektionen warned the public about at the end of last year.
British FI: Could be investment fraud
Finansinspektionen's announcement to the public regarding Cash FX Group refers to a warning from its British counterpart, the Financial Conduct Authority (FCA).
In its warning, FCA writes that there is reason to believe that Cash FX Group conducts business that is subject to registration without having the necessary permits. It also warns that many companies that conduct financial activities without a permit are so-called investment frauds.
Reviewer: Cash FX Group is a pyramid scheme
Behind MLM is a website that reviews companies in the borderland between MLM and pyramid schemes. They believe that there is no evidence whatsoever that Cash FX Group would conduct foreign exchange trading to pay its members.
Instead, the company must pay its members with new members' money. A classic pyramid scheme, says Behind MLM.
Delayed payments
Cash FX Group is led by Huascar Lopez, who is the CEO of the company. In early April, Hauscar Lopez acknowledged that the company had recently had trouble paying its members. He blamed this on bitcoin's fluctuating price and the ongoing corona crisis.
According to Behind MLM, the late payments may be a sign that the company is collapsing - something that, according to the laws of mathematics, eventually happens in all pyramid schemes.
FCA warning against CashFx Group: "This firm is not authorised by us and is targeting people in the UK. CashFX is not authorized within the EEA." Several countries has now issued regulatory warnings e.g. Spain, Norway, Bahamas, Canada, Great Britain (UK). Cash FX Group is not registered to offer securities in the US.