First of all, we should be vigilant when we talk about the return as hype. High returns are bound to have high risks.
Secondly, no matter how the form of MLM changes and develops, its essence is still to pay the entry fee by purchasing shares, develop offline personnel and form a hierarchy, and take the "performance" of offline personnel as the profit basis.
Therefore, to identify pyramid schemes, we need to look at three characteristics:
1, registration fee
Whether it is necessary to subscribe for goods or pay fees to obtain franchise qualifications or develop others' franchise qualifications to seek illegal interests;
Step 2 pull people's heads
Whether it is necessary to develop others to become their own downline, and pay remuneration to the developed personnel based on the number of people directly or indirectly developed, so as to seek illegal interests;
3. Method of payment
Whether to directly or indirectly develop personnel to calculate remuneration and seek illegal interests.
If it meets the above characteristics, it may be suspected of pyramid schemes.
MLM idioms
1, "Beibu gulf construction", "capital operation", "1040 project", voluntary chain, private mutual financial management;
2. Static income, dynamic income, direct promotion award, layer promotion award, touching award, watching award, leadership award, cultivation award, declaration award and management award.
Tips: The above information is for reference only.
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