Forex is no stranger to schemes, and Eaconomy raises suspicion with the way it operates and its background full of lawsuits and fraudulent activities. Eaconomy’s history is full of lawsuits, allegations of fraudulent activities along with connections to previous scams like the SilverStarLive forex fraud scheme.
Eaconomy’s financial management, regulatory compliance, and business model resembles a pyramid scheme. The promises of high profits through automated trading services are not supported by clear, proven evidence. Eaconomy is a risky company in terms of its operations, and your money may not be safe with them.
Is Eaconomy Safe? General Concerns
- The company’s history isn’t without problems. People and businesses linked to Eaconomy have been involved in scams and frauds in the past. Eaconomy’s activities are similar to the SilverStarLive forex fraud scheme.
- There are accusations against Eaconomy executives for misusing company funds. These allegations suggest financial mismanagement and a lack of transparency.
- Eaconomy has engaged in activities that could be considered securities fraud and has faced issues with following regulations.
- Their business model, especially relying on a constant influx of new customers and offering special deals to top-performing affiliates, looks like a pyramid scheme.
- They promise big profits with automated trading services, but there isn’t clear, verifiable evidence of their effectiveness and legality, which is worrisome.
- Their operations, compensation plan, and financial transactions lack transparency.
- Reports of them using high-pressure tactics to push for investments and larger deposits are signs of a potentially fraudulent operation.
- There are mixed reviews and reports of users losing money with their trading bots and tools, which raises doubts about their effectiveness and legitimacy.
- Users have faced problems withdrawing funds, and their policies are unclear.
- They frequently change their business practices, names, and strategies without transparent communication to clients and investors, which is concerning.
- They operate globally without complying regulations.
What is Eaconomy?
Eaconomy is a company that offers forex and crypto trading signals. The company was launched in 2019 and has gained a bad reputation due to the scams it has been involved in, along with various controversies and allegations of fraudulent activities since its inception. Prior to Eaconomy, there was the SilverStarLive forex fraud scheme, and Eaconomy appears to be no different. If you examine SilverStarLive’s history closely, you can see parallels in Eaconomy’s operations.
One notable incident in Eaconomy’s history is the Ali Saleh case. A New Jersey man filed a lawsuit against Eaconomy and Hassan Mahmoud for his unpaid commissions. He mentioned a special contract he had signed in 2022, alleging that it entitled him to 65% of the revenue generated by his crypto team. Things escalated when Eaconomy executives Candess Ross and Michael Talento blew the whistle on Mahmood’s alleged misuse of company funds.
Following this dramatic revelation, Mahmood stepped down as CEO, citing terminal illness, but then refused to avoid a contractual fallout. Subsequently, Ross leaked confidential contract details, including Saleh’s hidden agreements, which upset other partners.
In May 2023, Saleh was presented with a choice: either withdraw the allegations or give up on his special deal. Saleh did not back down and contended that this stance violated his special agreement. Eaconomy did not back down either and accused Saleh of inappropriate behavior with female affiliates. After his departure, Saleh sued Eaconomy for the money they owed him.
Eaconomy’s history is no stranger to schemes and allegations. Candace Ross was blacklisted by merchant providers, and there were allegations that Sal Leto and his team stole the software and started a new company for themselves. Eaconomy’s regulatory profile is no better either. They have been engaged in activities that can be classified as securities fraud, as they were selling their subscriptions without complying with any geographical restrictions. The company no longer functions in the US due to its troublesome profile.
With its dirty history, Eaconomy doesn’t paint a very reliable picture for its users. These red flags about the businesses and individuals the company is attached to are enough to raise the suspicion of Eaconomy being a scam. Let’s learn more about Eaconomy’s founder.
Who is Hassan Mahmoud?
Have you ever heard the term ‘omnipreneur’? Well, that’s what he calls himself, an individual involved in multiple entrepreneurial pursuits. Hassan Mahmoud has gone through significant transformations. There was even a time when he was homeless and living in his car while pursuing the dream of becoming a Hollywood star.
His omnipreneur phase began when he was introduced to network marketing. The company was selling water purification systems, and his success in pyramid schemes led him to the forex market. Mahmoud’s involvement in forex trading opened a way to build a substantial network of like-minded people.
Mahmoud, along with his wife Candace, founded Eaconomy, a company that claims to focus on forex education and a pyramid-like structure for its affiliates. Eaconomy offers training and opportunities for its members to earn through referrals.
Eaconomy offers a variety of financial technology services and products specific to forex and cryptocurrency trading.
Eminus is somewhat like a copytrader of Exness; you’ll see predictions and receive personal advice from expert traders through an analyzed picture. They claim to connect beginner traders with pros and allow them to exchange strategies. They also claim that the experts will send you extensive messages with all the reasoning and chart drawings.
Eaconomy’s Manara might be their biggest product. This AI software automates trading for your chosen currency pair, timeframe, and technical analysis patterns. They advocate that emotions are the enemy of a good trader. While this is true, the solution is to learn how to manage your emotions, not to invest all your money in an unregulated platform that offers something too good to be true. Because when something seems too good to be true, it generally isn’t true. They claim that Eaconomy’s Manara can adapt to every market fluctuation, work with any trading style, and scan the market instantly.
Another service they offer is Hercules, which is different from forex but not entirely different from Eaconomy’s Manara. It’s basically Manara for cryptocurrencies. Eaconomy’s Hercules allows you to purchase Bitcoin, Ethereum, or Ripple when they are most profitable.
Eaconomy introduces itself as a community focused on personal growth, development, and achieving financial goals. They claim that they have a global presence with affiliates in more than 50 countries and identify themselves as a direct marketing company.
Eaconomy can seem harmless since they just claim to be an educational platform, but is it enough to trust them with your savings? You should weigh the potential profit along with the associated risks. When you look at the company’s history, there are more than enough reasons to be skeptical.
Is Eaconomy a Ponzi Scam?
Eaconomy’s connection to Ponzi schemes goes back, particularly to the collapsing of SilverStarLine securities fraud scheme. SilverStarLive ended with a Commodity Futures Trading Commission fraud lawsuit, along with the individuals involved in these fraudulent activities, such as OneCoin and iPro Network.
Eaconomy is a forex trading bot, and its business model is quite similar to the SilverStarLive’s. Only difference is that SilverStarLine was focused on CFTC while Eaconomy is focused on forex trading. Even though the branding is different, the bots used in Eaconomy had been previously employed in other schemes. Believe it or not, this is a common practice in forex scams; if something works, why fix it, right?
Internal conflicts and accusations were also prevalent, which is typical of these kinds of structures. As mentioned earlier, there was an instance with Leto stealing the software and starting another business. They also had an agreement with Blue Edge Financial, which provided software assistance for trading platforms. This agreement was essentially for trading-related services and products, including Forex and crypto trading education, trading tools like Titan X, and various other resources. It backfired with mixed reviews, some users reported losing money with their bots, which also tarnished Blue Edge Financial’s reputation.
How Eaconomy’s Ponzi Scheme Works
- Eaconomy promises significant profits through it’s automated trading services.
- Ponzi begins when a few investors come. The company, in this case Eaconomy offers high returns with low risks.
- Since there are no actual profits, initial investors live a high life with the money of new comers.
- These initial investors become success stories for the company and they’ll start bringing new victims to the scheme.
- As long as there’s a steady stream of new investors, the scheme can survive.
Is Eaconomy a Pyramid Scheme?
Eaconomy has been issued with a securities fraud by Quebec’s Autorite des Marches Financiers before. The legitimacy of the company has always been doubtful, but it was always hard to find reliable resources on their operataions. Eaconomy makes specials deals like which they have been sued before, They need a constant cash flow in order the turn the wheel and how can they get new customer regularly? A pyramid scheme. They offer special agreements to high-performing affiliates to facilitate the user flow for the system. They showcase the so called success of the high performing affiliates and bring more, with each affiliate they get payments.
Eaconomy affiliate program is designed to keep the system running. As long as there is a constant cash flow through new customers, system works itself in a constant and increasing debt since there is no actual profit.
- Joining the Affiliate Program: To become an affiliate with Eaconomy, you need to register and pay a fee. Initially, there’s a $29 activation fee, which then reduces to $15 per month. This fee provides access to a replicated website, back-office, funnel marketing system, Affiliate Academy, and weekly live webinar trainings.
- Earning Commissions: Affiliates earn commissions by selling Eaconomy’s trading tools on a subscription basis. The tools include a crypto bot, trade signals, and an AI-powered trading robot. Commissions are earned as long as customers continue subscribing to these tools.
- Training and Support: As an affiliate, you will receive training and insights on marketing, sales, trading, and customer support.
- Compensation Plan: The compensation plan includes various ways to earn money, such as fast start bonuses, binary team commissions, and lifestyle bonuses. Fast start bonuses are a one-time $50 bonus for each customer package enrolled by the affiliate. Binary team commissions are based on the affiliate’s business organization, paying up to 85% on the organization. Affiliates can potentially earn from $100 to $1,000,000 monthly based on rank and sales volume.
- Rank Advancement: The ranks range from Apprentice to Legend, with specific requirements for volume, total students enrolled, and personal volume. To advance in rank, affiliates need to maintain a certain number of enrolled students.
- Customer Referrals: Affiliates can earn a free membership by referring three active customers. The membership remains free as long as the referred customers remain active.
Eaconomy Forex VPS
Eaconomy offers an AI-based trading bot called Aithena, which is designed to operate without the need for a Forex Virtual Private Server (VPS). Unlike many other trading bots that requires a VPS or continuous running of a trading platform like MT4 or MT5, Aithena functions independently on its own server. This setup reduces the need for technical expertise from the user and minimizes the risk of interruptions due to computer updates, power outages, or internet issues.
The Aithena trading bot uses artificial intelligence to trade in the financial markets, automatically executing trades based on predefined conditions and a variety of data inputs. This AI-driven approach is positioned to potentially create advantages for traders by analyzing and responding to market conditions more efficiently than manual methods.
To use Aithena, users need to connect their brokerage account to the AI trading bot through Eaconomy, after which the bot operates autonomously. The system is designed to be user-friendly, requiring minimal technical skills or trading knowledge for setup and operation. Aithena trades in various forex markets, including pairs like AUDUSD, USDCAD, and EURCAD.
Eaconomy offers a low-risk approach while using Aithena. High-risk settings can lead to significant losses, so it’s advised to start with lower risk levels to understand the bot’s performance and trading style.
As a part of Eaconomy’s offerings, Aithena is included in their suite of tools that aim to provide accessible AI trading technologies to a broader audience.
Deposit and Withdrawals with Eaconomy
Eaconomy’s processes for deposits, withdrawals, and their refund policy are structured as follows:
- Refund Policy: Eaconomy offers a seven-day, 100% money-back satisfaction guarantee to all members. This policy allows members to request a full refund of all membership fees paid within the first seven days from the date of initial product or service enrollment or payment. After this seven-day period, members can still cancel their membership at any time as per the terms of the Membership Agreement, but they will not be eligible for a refund of fees paid. Refunds are issued to the original payment method and are processed in US dollars.
- Eaconomy Pricing and Payment Methods: The cost for Eaconomy’s services, including setup fees, is $149 for the first month and $99 for each subsequent month. Payments can be made via credit card and other methods like online banking. Eaconomy operates without a subscription model or contractual obligations, allowing clients the flexibility to discontinue the services at any time. Additionally, clients who recruit new members can get Eaconomy’s products for free and have the opportunity to earn additional money.
- Product and Services Overview: Eaconomy provides training, signals, and automated trading systems for Forex Trading. The company relies on Multi-Level Marketing (MLM) to recruit new customers, with an emphasis on group dynamics and member satisfaction to encourage the recruitment of new members. The company’s main product is an automated trading software.
Eaconomy.best: New Era of The Scam
When I wrote this review, Eaconomy was continuing its services on the eaconomy.io domain. However, it has since changed, and Hassan Mahmoud and Eaconomy continue their scheme at a different address, eaconomy.best.
Even though the domain name has changed, the scam remains the same. Eaconomy relies on customer flow just to feed the people running the scam. It’s a classic Ponzi scheme. Please be aware, Forex is no stranger to brokers changing names.
Why did Eaconomy.io Change to Eaconomy.best?
- Evading Detection: By frequently changing domains, Eaconomy can attempt to stay ahead of regulatory action and avoid being easily tracked by authorities or by individuals looking to expose or take action against their activities.
- Reputation Management: The old domain has been associated with negative reviews and fraud accusations, moving to a new domain can be an attempt to reset their online presence and escape the bad reputation.
- Market Expansion: They might want to appeal to different regions or markets to lure new victims into their scam.
- Marketing Strategy: Eaconomy.best might be a part of a rebranding strategy to attract new investors or to give an impression of growth or change, which can be appealing to potential new members.
- Legal Loopholes: Changing domains and the business entity associated with them might be a tactic to exploit legal loopholes or to make it difficult for unsatisfied customers or law enforcement to pursue legal action.
Eaconomy’s scheme relies on the customer flow, the use of a new domain could be part of a strategy to maintain the facade of a legitimate business and to continue recruiting new investors to support the payouts to earlier participants. This is a typical practice in typical Ponzi and pyramid schemes.
Eaconomy Customer Reviews
Accusations of Scam and Fraud
- Multiple reviewers label Eaconomy as a scam or fraudulent operation, there is a strong consensus of distrust.
- Eaconomy’s customers are aware of the company structure that focuses on affiliate marketing, implying the business may prioritize recruitment over product quality or legitimate investment opportunities.
Poor Customer Service
- Customers report being charged for unknown reasons even after canceling memberships. When they tried to resolve their disputes, they say they faced dishonesty from the customer support team.
- There are mentions of technical issues leading to significant financial losses. The lack of reliability and stability of their trading platform and systems proves that the main selling point is not the product itself but the hope that it promises.
- The lack of timely and transparent communication from the company further increases customer frustrations.
Affiliate Program Concerns
- In Eaconomy’s pyramid scheme, affiliates and success stories are marketing tactics for attracting new customers, reviewers are also resambling Eaconomy’s marketing strategy to a pyramid scheme structure.
- Reviewers have also noticed that positive reviews could be incentivized or falsified, which is a common tactic used by companies trying to maintain an illusion of success.
In conclusion, Eaconomy is an unsustainable scam that will sooner or later collapse. The company’s reliance on a constant flow of new customers to sustain its operations is a classic characteristic of a Ponzi scheme.
Their focus on affiliate marketing and recruitment over product quality means that Eaconomy’s primary objective is to expand its network rather than providing genuine trading services. The numerous clients accusing Eaconomy of scam and fraud, coupled with their poor customer service and technical issues, further decrease the credibility of Eaconomy. Potential investors and affiliates should exercise caution as its operations bear all the hallmarks of a financial scheme that is likely to collapse once the flow of new investors dries up.