Expo R&M Review: Virtual shares investment fraud

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Expo R&M operates in the cryptocurrency MLM niche.

The company represents it is headed up by “official beneficiary” Cesar Barmejo.

Barmejo doesn’t exist outside of Expo R&M’s marketing material.

Barmejo’s personal Twitter account was created in November 2020, and exists solely to promote Expo R&M.

Barmejo appears in one Expo R&M marketing video. He speaks in Spanish and is sitting in the usual rented office environment.

All of this marks Cesar Barmejo as a prime Boris CEO candidate.

Expo R&M has ties to the Ukraine and Russia through its EU Regional Ambassador, Agris Chukurs.

Chukurs’ provided Facebook profile was created in 2009 and reveals he is a frequent traveler between the Ukraine and Russia.

Chukurs appears to be an actual person, however there’s nothing linking him to the MLM industry outside of Expo R&M.

This is odd seeing as Expo R&M claims Chukurs ‘worked as a network sales executive for a U.S. company.’

Expo R&M’s ties to the Ukraine match up a staged “expo event”, held in Kiev in October 2020.

This is around the time Expo R&M launched. The company’s website domain was privately registered in May 2020.

Despite only existing for a few months, on its website Expo R&M falsely represents it has been around since at least 2017.

In an attempt to appear legitimate, Expo R&M provides a basic incorporation certificate for IH Expo Research and Management Global LTD.

The company was incorporated in Cyprus in July 2020. Basic incorporation anywhere is meaningless with respect to MLM due-diligence.

Basic incorporation in dodgy jurisdictions like Cyprus are even more meaningless.

Alexa currently ranks two countries as providing the majority of traffic to Expo R&M’s website; Argentina (41%) and the Ukraine (15%).

The ties to Argentina are probably linked to hiring of whoever Cesar Barmejo actually is.

Putting all of this together, Expo R&M appears to be a case of Ukrainian admins scamming South Americans.

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.

Expo R&M’s Products

Expo R&M has no retailable products or services.

The company’s affiliates are only able to market Expo R&M affiliate membership itself.

Expo R&M’s Compensation Plan

Expo R&M affiliates pay six-month subscription fees.

  • Expo1 – $10 every 6 months
  • Expo2 – $50 every 6 months
  • Expo3 – $150 every 6 months
  • Expo4 – $300 every 6 months
  • Expo5 – $500 every 6 months

These fees are used to pay recruitment commissions and virtual share ROIs.

Commission Caps

Expo R&M caps commissions based on how much an affiliate has spent on membership fees:

  • Expo1 tier affiliates can earn up to $27,672
  • Expo2 tier affiliates can earn up to $138,361
  • Expo3 tier affiliates can earn up to $415,084
  • Expo4 tier affiliates can earn up to $830,169
  • Expo5 tier affiliates can earn up to $1,383,615

Although not explicitly clarified, I believe these caps apply for the total of a six-month membership.

If the cap is reached, a new Expo R&M membership is required to continue earning.

Direct Recruitment Commissions

Expo R&M affiliates earn a 10% direct recruitment commission.

Residual Commissions

Expo R&M pays residual commissions via a 3×10 matrix.

A 3×10 matrix places an affiliate at the top of a matrix, with three positions directly under them:

These three positions form the first level of the matrix. The second level of the matrix is generated by splitting these first three positions into another three positions each (9 positions).

Levels three to ten of the matrix are generated in the same manner, with each new position housing three times as many positions as the previous level.

Expo R&M pays residual commissions as a percentage of affiliate membership fee payments made across the 3×10 matrix as follows:

  • level 1 – 10%
  • level 2 – 8%
  • level 3 – 7%
  • level 4 – 6%
  • levels 5 and 6 – 5%
  • levels 7 and 8 – 4%
  • levels 9 and 10 – 3%

Virtual Shares Investment Scheme

Expo R&M sells virtual shares for $50 each.

25% of all membership fees paid in are used to pay returns on each share.

Returns are calculated on Expo R&M virtual shares twice a month for a year (365 days).

At the end of a year affiliates sell their shares back to Expo R&M at whatever the set internal value is.

Expo R&M’s official compensation plan provides a 7% to 20% monthly ROI projection.

Virtual Shares Commissions

Expo R&M pays commissions on virtual share investment 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.

Expo R&M cap payable unilevel team levels at twenty-five.

Virtual shares commissions are paid out as a percentage of $50 share investment across these twenty-five levels as follows:

  • level 1 (must have an active Expo1 or higher subscription) – 4%
  • level 2 (generate $1000 in total share investment volume) – 5%
  • level 3 (must have an active Expo2 or higher subscription and generate $2000 in total share investment volume) – 6%
  • level 4 (generate $3000 in total share investment volume) – 7%
  • level 5 (must have an active Expo3 or higher subscription and generate $5000 in total share investment volume) – 8%
  • level 6 (generate $7000 in total share investment volume) – 8.5%
  • level 7 (must have an active Expo4 or higher subscription and generate $10,000 in total share investment volume) – 9%
  • level 8 (generate $15,000 in total share investment volume) – 9.5%
  • level 9 (must have an active Expo5 or higher subscription and generate $20,000 in total share investment volume) – 10%
  • level 10 (generate $25,000 in total share investment volume) – 10.5%
  • level 11 (generate $35,000 in total share investment volume) – 11%
  • level 12 (generate $50,000 in total share investment volume) – 11.5%
  • level 13 (generate $70,000 in total share investment volume) – 12%
  • level 14 (generate $100,000 in total share investment volume) – 12.5%
  • level 15 (generate $150,000 in total share investment volume) – 13%
  • level 16 (generate $250,000 in total share investment volume) – 13.5%
  • level 17 (generate $500,000 in total share investment volume) – 14%
  • level 18 (generate $1,000,000 in total share investment volume) – 14.5%
  • level 19 (generate $2,000,000 in total share investment volume) – 15%
  • level 20 (generate $5,000,000 in total share investment volume) – 15.5%
  • level 21 (generate $10,000,000 in total share investment volume) – 16%
  • level 22 (generate $15,000,000 in total share investment volume) – 16.5%
  • level 23 (generate $30,000,000 in total share investment volume) – 17%
  • level 24 (generate $50,000,000 in total share investment volume) – 17.5%
  • level 25 (generate $100,000,000 in total share investment volume) – 18%

Total share investment volume is counted from share investment by all downline affiliates (directly and indirectly recruited).

Rank Achievement Bonuses

There are ten affiliate ranks within Expo R&M’s compensation plan.

Along with their respective qualification criteria, they are as follows:

  • Manager – generate $5000 in downline membership sales volume
  • Senior Manager – generate $25,000 in downline membership sales volume
  • Executive Manager – generate $50,000 in downline membership sales volume
  • Lead Manager – generate $100,000 in downline membership sales volume
  • Expo Manager – generate $300,000 in downline membership sales volume
  • Mentor – generate $1,000,000 in downline membership sales volume
  • Expo Mentor – generate $4,000,000 in downline membership sales volume
  • Master – generate $15,000,000 in downline membership sales volume
  • Senior Master – generate $60,000,000 in downline membership sales volume
  • Expo Master – generate $100,000,000 in downline membership sales volume

Expo R&M’s compensation plan states that rank qualification downline membership sales is counted at “50% value of the highest performing branch”.

They don’t specify whether this is one of the three matrix legs or one unilevel team leg.

Corresponding Rank Achievement Bonuses awarded for qualifying at Manager and higher are as follows:

  • qualify at Manager and receive a set of Apple AirPods or Samsung AirBuds
  • qualify at Senior Manager and receive an Apple Watch or Samsung Watch
  • qualify at Executive Manager and receive an iPhone 12 or Samsung Galaxy S20
  • qualify at Lead Manager and receive a “trip for 2”
  • qualify at Expo Manager and receive an Apple Macbook 13″ or Dell XPS 13″ laptop
  • qualify at Mentor and receive a “cruise for 2”
  • qualify at Expo Mentor and receive a car valued at up to $40,000
  • qualify at Master and receive a car valued at up to $100,000
  • qualify at Senior Master and receive an apartment valued at up to $600,000
  • qualify at Expo Master and receive “real estate” valued at up to $1,000,000

Joining Expo R&M

Expo R&M affiliate membership is tied to a $10 to $500 package purchase:

  • Expo1 – $10 every six months
  • Expo2 – $50 every six months
  • Expo3 – $150 every six months
  • Expo4 – $300 every six months
  • Expo5 – $500 every six months

Note that these packages must be purchased in sequential order.

The primary difference between the packages is income potential via Expo R&M’s compensation plan.

Conclusion

Expo R&M markets itself on the premise its affiliates

EARN FROM 7% UP TO 20% MONTHLY ON DIGITAL TECHNOLOGIES

In reality Expo R&M is a pretty standard Ponzi pyramid hybrid.

There’s a bunch of baloney in Expo R&M’s marketing material about future products and services.

None of it matters so I haven’t bothered to cover it.

By their own admission, Expo R&M take

  • 75% of affiliate membership fees paid and use them to pay recruitment commissions
  • 25% of affiliate membership fees paid and use them to pay returns on share investment

Using 75% of affiliate membership fees to pay commissions on the recruitment of new affiliates is straight up pyramid scheme territory.

Using 25% of affiliate membership fees to pay returns on virtual shares constitutes both an unregistered securities offering and Ponzi fraud.

Expo R&M is not registered to offer securities in any jurisdiction. This includes Argentina and the Ukraine, it’s two primary sources of recruitment.

Securities fraud is illegal the world over.

By recycling 25% of affiliate membership fees paid in to pay returns, Expo R&M operates as a Ponzi scheme.

There are promises of external revenue but none exist – it’s all just a marketing ruse.

As with all MLM Ponzi schemes, once affiliate recruitment dies down so too will new investment.

This will starve Expo R&M of ROI revenue, eventually prompting a collapse.

The math behind Ponzi schemes guarantees that when they collapse, the majority of participants lose money.

One last thing to note is, although there’s no mention of it anywhere in Expo R&M’s compensation plan, Agris Chukurs’ Facebook profile header suggests a token exit-scam.

When the time comes, Expo R&M will stop paying out actual money and switch to EXST and EXPT tokens.

These will be shit tokens Expo R&M creates on whatever platform.

Expo R&M might honor token withdrawals for a while longer through their internal exchange/wallet.

The last phase of the exit-scam will be initiated when EXST and EXPT are dumped on some dodgy exchange.

After an initial pump, allowing Expo R&M admins and top promoters to cash out even more, both tokens dump to zero.

This is your classic token exit-scam model, leaving the majority of affiliates bagholding worthless tokens they can’t sell off.

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