Kinetic Union ICO Review: Ponzi Binary Referral Scheme

Kinetic Union offers binary compensation plan wrapped with the lending match for its ICO. However, the failure to meet the transparency makes aligns it with other cryptocurrency fraud. Beware! while you make your decision.
Kinetic Union ICO Review: Ponzi Binary Referral Scheme
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There is no information provided on the website about the owner of the company. The domain of Kinetic Union ( was also registered privately making no errors in hiding the faces of those behind the operation of the company. The domain was registered on 11th December 2017 as per the WHOIS search.

The website does not list any verifiable products or services that can be retailed. However, I was only able to verify the affiliate recruitment program which they offer to the members of Kinetic Union. If you wish to join the affiliate recruitment program, you can do it for free and you will be eligible for the referral bonus. But, to get into the full participation, you need to invest a minimum of $50.

But, before you make that decision, always remember, if a company is not transparent and hides crucial information from its affiliates, it should not be trusted with your hard-earned money. So, take your steps wisely.

Kinetic Union – Compensation Plan

Kinetic Union offers KNTU points in exchange of real money. It costs ranges from 0.70 dollars and 1.10 dollars each. Once, these points are earned, they are lent back to the platform for accessing the promised ROI.

There are different ROI plans according to the amount invested. The more amount invested into the platform, the greater is the ROI and bonuses.

  • Plan 1: You need to invest $50 – $1000 for receiving ROI daily for 100 days
  • Plan 2: You need to invest $1001 – $10,000 for receiving ROI daily as well as 0.05% bonus ROI daily for 75 days
  • Plan 3: You need to invest $10,001 – $100,000 for receiving ROI as well as 0.1% bonus ROI daily for 50 days

Kinetic Union – Matching Bonus

Kinetic Union has come up with a variation in the plan and have associated the bonus with a matching bonus. The bonus ranges from 25% to 75% for each lent point in the system.

  • Plan 1: You need to invest $50 – $1000 for receiving a 75% match
  • Plan 2: You need to invest $1001 – $10,000 for receiving a 50% match
  • Plan 3: You need to invest $10,001 – $100,000 for receiving a 25% match

This plan may seem alluring, however, the company has restricted the withdrawal of these matched bonus which are paid as KNTU points and should be lent back for further calculation of ROI.

Kinetic Union – Referral Commission

Kinetic Union provides two formats for residual commission – Unilevel and Binary.

In Unilevel structure, an affiliate is placed on the top of the team and directly recruited affiliates are placed directly under him on level 1. The affiliates recruited by the level 1 affiliates, are placed directly under them on level 2 and so on.

The cap is put on level 6 and the commission paid is through the funds invested by the new affiliate.

  • Level 1 (personally recruited affiliates) – 8%
  • Level 2: 5%
  • Level 3: 3%
  • Level 4: 2%
  • Level 5: 1%
  • Level 6: 0.5%

The binary structure places an affiliate on top order and further down the level, every node is split into two sides, right and left. The top affiliate is split into two positions which is the level 1. At level 2, each level 1 position is split further into two positions, making a total of 4 places and so on.

Both the ends are matched and once $2500 is met at both the sides of an affiliate, a payment of $100 is made and in a day, a maximum of 4 matches are allowed, making the matching commission $400.

Kinetic Union Review

As this opportunity was started a month back, there are not many reviews about the company. However, I was able to find posts of the facebook admin on behalf of Kinetic Union.

Here are the posts:

William Pipkins: Happy New Years!!!!! We are having issues with the countdown ticker on our homepage. We are actively working to resolve the issue. However, KNTU Tokens can still be purchased.

William Pipkins: We apologize for the inconvenience during the beginning of the Pre-ICO/ICO Rounds. We experienced issues with our API co…

William Pipkins: We are still experiencing issues with our mail server. We thank you for your patience as we work to resolving the issue. All emails will be answered immediately upon the issue being resolved.

Conclusion from the above posts

The person vouching for the Kinetic Union as admin, has mentioned the problems with the system which seem ongoing. In addition, I checked the Facebook Profile of William Pipkins and found out that the person is also new on Facebook just like the company itself. The profile does not have a profile picture which is again a red flag.

The Verdict

Kinetic Union has introduced lending match which is different from other MLM schemes. The binary compensation plan is also unusual with most of the companies working into ICO schemes. However, the fraud is similar and can be very well verified by the offering of the company.

Kinetic Union has not mentioned about any other source of ROI payments which makes it clear that they are into affiliate marketing and nothing else. Also, the matched bonuses are not allowed to be withdrawn and should be lent back to the platform, making the whole concept dicey.

The scheme will feed over the gullible clients as almost all of the affiliates would be able to earn a match bonus in addition with the ROI advertised. This would make it infeasible for any company to pay its affiliates, until and unless, it has any other source of income to pay for ROI promised.

Kinetic Union is a sure shot lending Ponzi scheme. Hence, once the recruitment will freeze, the payments will die. Majority of the affiliates will have to face major loss. The anonymous admins will hide somewhere with all the money left and would become difficult to locate.

With this, the platform will collapse, leaving no clue about the whereabouts of the money invested and the promised profit.

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