It has no doubt happened to all of us at some point in our lives. Probably more likely sometime in the last three years we have been grabbed by the back of the neck, spun around, and enticed by the idea of "getting rich quick".
I mentioned in a post a week or so ago that a friend of my wife has been suddenly posting a lot about cryptocurrency (namely ETH) on her Facebook page. Day after day she has been posting about how ETH is going to blow up and if you have ever considered getting into crypto, now is the time.
Having started the journey into crypto three years ago with my wife, I (and her by default) consider ourselves pretty knowledgeable about the topic.
After about a week of her posting and talking about how much her initial investment has grown, I finally got a little curious and told my wife to ask her what platform she was using.
I said, "just send her a message and say, my husband works for a blockchain company and he is curious to know what you are using". I assumed, like most people she was using Coinbase or something similar like a lot of people do when they first dive into crypto.
Then my wife showed me one of her posts and I saw something about multipliers and levels and I knew she wasn't using a traditional conduit into crypto.
After doing some research, my opinion is much less glowing about the platform than the author of the post I linked above.
Let's be clear, this is not financial advice. I have never used the Forsage platform, so I can't really speak to how legitimate it is or whether you will achieve a return on it.
What I do know is that when I Google something and 8 out of 10 search results about said topic have the words "Ponzi", "Pyramid", or "Multi-level Marketing (MLM)" in them, it is going to raise some red flags.
Despite the bad press they get, MLM systems aren't inherently bad. They are actually pretty ingenious when you think about them. Get a group of people below you to do all the work and you reap the profits. It sounds just about like any manager in corporate America right?
In fact, some of the really work. My brother in law works for AFLAC which could be (is?) considered an MLM business. He does very well and he still goes out and does the foot work just like the people below him.
Sadly, in the case of my wife's friend, I just get this feeling she is going to be left holding the bag when the powers that be decide they have collected enough and decide to cut and run.
That post I linked to indicated that it is fully decentralized and there is no one person that is in charge who could take the money and run. They don't call it a pyramid scheme for nothing, there is always someone(s) at the top of the pyramid.
Maybe I am wrong, gosh, I hope I am. The last thing we need is more reason for people to get disheartened, disillusioned, and despondent over crypto. I have read too many posts over the last week about people getting burned by some crypto scam or exchange hack. They totally gave up on crypto for years before they finally felt comfortable dipping their toes back in.
You can disagree, but in my opinion, that is bad for all of us. Sure, as I posted yesterday, there are big companies investing in crypto and while I do think that is good, we all know it is the people who drive the chain.
Look at how Hive formed. It was despite a large companies investment in Steem.
At this point, I am not sure there is a tactful or easy way to warn my wife's friend about the potential hazards of her investment. Hopefully, I am wrong. Having another person excited about the possibility of cryptocurrency is never a bad thing.
What are your thoughts on Forsage? I'd love to hear about them.
All pictures taken by myself or @mrsbozz
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