Sincere Systems began operations in late 2019. It was a straightforward token Ponzi scheme centered on the concept of “sincere tokens.”
Sincere Systems pretended to be a “UK company,” but Russian and/or Ukrainian scammers actually ran it.
Sincere Systems went bankrupt in the middle of 2021. The Ponzi scheme was relaunched as “S-Group” in August 2021.
S-Group maintains the pretense of a British corporation by referring to itself as a “British Investment” company.
It’s far too easy to expose S-Group’s deception.
S-Group does not disclose the ownership of its subsidiaries on its website. The majority of the scammers in charge of the company’s marketing efforts are from Russia and Ukraine.
According to Alexa, the only significant sources of traffic to S-Group’s website are Russia and Ukraine (57 percent and 15 percent respectively).
This corresponds to Sincere Group’s Alexa traffic figures, albeit recruiting outside of Russia and Ukraine appears to have slowed significantly.
The Bank of Russia issued a pyramid scheme warning for Sincere Systems and S-Group in August 2021.
Sincere Systems is mentioned explicitly by name. The domain name of S-Group’s website is included on the list of malicious URLs.
Before joining or transferring any funds to an MLM that isn’t completely transparent about who runs or owns it, remember to consider twice.
What’s Up For S-Group’s Products?
S-Group does not provide any retailable items or services.
Affiliates can only promote S-Group affiliate membership.
The Compensation Plan
Affiliates of S-Group invest in s-token (SNT) to assure a portion of the reported monthly return.
- Invest between $100 and $499 in SNT and earn 50% of the monthly ROI;
- Invest between $500 and $1499 in SNT and earn 60% of the monthly ROI;
- Invest between $1500 and $4999 in SNT and earn 65% of the monthly ROI;
- Invest $5000 to $9999 in SNT and earn 70% of the monthly ROI;
- Invest between $10,000 and $24,999 in SNT and earn 75% of the monthly ROI;
- Invest between $25,000 and $49,999 in SNT and earn 80% of the monthly ROI;
- Invest $50,000 or more in SNT and get 85% of the monthly ROI.
S-Group sells SNT to affiliates at the cost of ten cents per unit.
The amount of SNT that an S-Group affiliate may hold in their affiliate account is dependent on the amount of annual membership fees they pay:
- Free – no membership price, limited to 500 SNT;
- Standard – $100 subscription charge, limited to 10,000 SNT;
- Pro – $300 subscription fee, limited to 50,000 SNT;
- Business – $500 subscription fee, limited to 100,000 SNT;
- Premium – $1000 subscription fee, limited to 1,000,000 SNT.
S-Group maintains Sincere Systems’ monthly average ROI of 15.5 percent in its marketing.
Staking of SNT tokens is also possible.
Staking entails affiliates investing 10,000 or more SNT in exchange for the guarantee of a thirty-day return on investment.
The particular rate of return on investment is not specified. According to S-Group, it is determined by the amount of SNT spent in staking and the “total number of transactions on the blockchain.”
S-Group penalizes affiliates who remove their investment during twelve months.
- Withdraw between 4 and 6 months and you shall be charged a 30% withdrawal fee;
- Withdraw between 7 and 9 months, and you shall be charged a 20% withdrawal fee;
- Withdraw between 10 and 12 months, and you shall be charged a 10% withdrawal fee.
Withdrawals made after twelve months are not subject to a penalty.
It’s worth noting that investments are required to be locked during the first four months.
The Affiliate Ranks
S-compensation Group’s scheme has eleven tiers.
They are as follows, along with their respective qualification criteria:
- Rank 1 – Become an S-Group affiliate and make a $100 investment in SNT tokens;
- Rank 2 – Invest personally or build a downline of $3000 Volume of SNT token investments;
- Rank 3 – Invest personally or build a downline of $10,000 Volume of SNT token investments;
- Rank 4 – Develop a downline of $25,000 Volume of SNT token investments;
- Rank 5 – Spend $500 in SNT tokens and build a downline of $50,000 Volume of SNT token investments;
- Rank 6 – Spend $1,000 in SNT tokens and build a downline of $100,000 Volume of SNT token investments;
- Rank 7 – Spend $5000 in SNT tokens and build a downline of $500,000 Volume of SNT token investments;
- Rank 8 – Invest $10,000 in SNT tokens and build a downline of $1,000,000 Volume of SNT token investments;
- Rank 9 – invest $30,000 in SNT tokens and build a downline of $3,000,000 Volume of SNT token investments;
- Rank 10 – Spend $100,000 in SNT tokens and produce a downline of $10,000,000 Volume of SNT token investments;
- Rank 11 – Spend $250,000 in SNT tokens and develop a downline of $25,000,000 Volume of SNT token investments.
Commissions on Investment Referrals
S-Group will pay a referral fee on monies invested in SNT tokens by directly recruited affiliates.
The S-Group affiliate rank determines the referral commission rates for SNT token investments:
- Level 1 – 5%
- Level 2 – 7%
- Level 3 – 9%
- Level 4 – 10.5%
- Level 5 – 12%
- Level 6 – 13%
- Level 7 – 14%
- Level 8 – 14.5%
- Level 9 – 15%
- Level 10 – 15.5%
- Level 11 – 16%
Commissions on Residuals
S-Group pays residual commissions using a uni-level compensation system.
In a uni-level compensation system, an affiliate is put at the head of a uni-level team, with every individually recruited affiliate placed right under them (level 1):
If any level 1 affiliates acquire new affiliates, they are assigned to the original affiliate’s uni-level team at level 2.
If any level 2 affiliate recruits new ones, they are promoted to level 3, and so on for an unlimited number of levels.
S-Group has a limit of eight payed uni-level teams.
Referral commissions are calculated as a proportion of the S-Token staking returns paid to downline affiliates at each of the 10 tiers.
The number of tiers on which S-Group pays residual commissions is governed by the amount of subscription fees paid by an affiliate.
- Affiliates on the standard tier receive 5% on level 1. (personally recruited affiliates);
- Affiliates on the pro tier receive 5% on levels 1–3;
- Affiliates on the business tier get 5% on levels 1–5;
- Affiliates in the premium tier receive 5% on levels 1–10.
Marketing Plan Bonuses
S-Group puts aside 1.375 percent of company-wide investment each month and divides it among four incentive pools.
- Produce one downline affiliate with a rank of 11 and a monthly downline SNT token investment volume of $5,000,000 = one share in a 0.5 percent marketing bonus;
- Produce Three Rank 11 downline affiliates and $3,000,000 in monthly downline SNT token investment volume = one share in a 0.5 percent marketing bonus;
- Produce five Rank 11 downline affiliates and a monthly downline SNT token investment volume of $1,000,000 = one share in a 0.25 percent marketing bonus;
- Produce Ten Rank 11 downline affiliates equals one share in a 0.125 percent marketing bonus;
Take note of the following extra Marketing Plan Bonus caveats:
- Up to one Rank 11 downline affiliate is counted per uni-level team leg
- Downline SNT token investment volume is calculated over all uni-level team legs, except those with the requisite Rank 11 affiliates.
Bonuses for Rank Achievement
S-Group offers a one-time Rank Achievement Bonus to affiliates that qualify at Rank 4 or higher:
- Qualifies at Rank 4 and receives $1,000;
- Qualifies at Rank 5 and receives $2000;
- Qualifies at Rank 6 and receives $5000
- Qualifies at Rank 7 and receives $20,000
- Qualifies at Rank 8 and receives $50,000;
- Qualifies at Rank 9 and receives $150,000;
- Qualifies at Rank 10 and receives $500,000;
- Qualifies at Rank 11 and receives $1,000,000;
- Qualifies at Rank 12 and receives $1,000,000.
Joining S-Group Affiliate membership in S-Group is a one-year commitment:
- Free – no charge
- Standard – $100 annual charge
- Professional – $300 yearly subscription cost
- Business – $500 yearly membership fee
- Premium – a one-time payment of $1000
The more fees an S-Group affiliate pays, the greater their earning potential.
A minimum $100 investment in SNT tokens is also required to participate fully in S-earning Group’s opportunities.
The S-Group Ponzi scam is a highly developed variation of the original Sincere Systems Ponzi scheme.
SNT coin has been realized and put into Sincere Systems’ monthly investment plan of 15.5 percent.
Staking has been added, giving an extra monthly return for investors who do not choose to lock their cash for the required four months.
Securities fraud is a problem. S-Group is not a licensed broker-dealer in any country. This would need S-Group to submit audited financial records, which they cannot do due to S-status as a Ponzi scheme.
Even if one disregards the obvious and accepts S-ROI Group’s statements at face value, the math does not stack up.
On December 4th, S-Group celebrated two years in operation in Dubai, the MLM fraud capital of the world.
If we take the claimed 15.5 percent monthly average return and compound it for 24 months, the following must be true:
- $1000 compounded everyday equals $36,275. (502 percent annually);
- $1000 compounded monthly equals $27,625 (435 percent annually);
- $50,000 compounded on a monthly basis equals $1.7 million (502 percent annually);
- $50,000 compounded on a monthly basis equals $1.3 million (435 percent annually);
- Anyone with a trading bot capable of generating 15.5 percent on average each month would secretly operate it for themselves.
You won’t be able to access such a bot for as little as $100 in goofy Ponzi tokens from Ukraine.
S-Group has a pyramid structure since fresh investors must keep the fraud running.
New investors attract new investment, which is necessary for S-Group to survive (again).
The majority of participants, like with other MLM Ponzi schemes, are statistically sure to lose money.