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OnmaxDT Review-Pyramid Scheme Exposed!

Hope is perhaps the most valuable thing a person can ever possess. However, this value of hope also attracts scammers. OnmaxDT is a cancer that is growing in Sri Lanka and a few other countries. This cancer has claimed the lives of several people to this day and continues to grow despite facing legal accusations.

In today’s OnmaxDT review, we will dive into OnmaxDT’s history, its owner, operational structure, and legal controversies. OnmaxDT is a ponzi scheme fueled by its pyramid scheme structure. Customers have been lured into the trap by misleading company information and false representations of profits.

Is OnmaxDT Safe?

  1. Despite utilizing blockchain technology, which is known for its potential to enhance transparency, OnmaxDT’s operations and financial profile lack clarity.
  2. OnmaxDT has faced legal actions in Sri Lanka, where it was declared an illegal pyramid scheme.
  3. OnmaxDT’s operating system resembles a Ponzi scheme, using new investors’ funds to pay returns to earlier investors rather than generating genuine profits.
  4. The promise of high returns on investment within a short period is often unsustainable and indicative of fraudulent schemes designed to attract new victims.
  5. OnmaxDT’s token DT Token has no real value outside OnmaxDT ecosystem.
  6. OnmaxDT has a history of perceptive practices including publicly claiming a false business address and the lack of a proper business registration.
  7. The company’s compensation plan relies on recruitment over the sale of their services. The operational structure aligns with the characteristics of a pyramid scheme.

What is OnmaxDT?

OnmaxDT is a company that utilizes blockchain technologies in various fields. One that caught the eye of many is real estate. OnmaxDT advertises blockchain as a secure and transparent way of making payments, even though blockchain allows you to make transactions secure, OnmaxDT’s use of blockchain is far from transparency. In this section of our OnmaxDT review I’ll not focus on the scams and schemes OnmaxDT has been involved, instead I’l try to explain who owns OnmaxDT and what are their services.

Blockchain is the technology behind the famous Bitcoin and other cryptocurrencies. One particular aspect of crypto is that it’s untraceable. Scammers often option for cryptocurrencies instead of physical money. OnmaxDT, knowing this aspect of cryptocurrencies, has created its own token called DT Token. In theory users would use DT Token to purchase various partial ownerships.

The system works like this: Investing in real estate requires a lot of money right? Why do you have to miss this opportunity just because you can not buy a whole property? This is the idea of OnmaxDT. Partial ownership is a scam of ages but OnmaxDT has a way of making it more accessible and reachable. Onmax DT allows people to buy a small part of a property, but with what cryptocurrencies? No, OnmaxDT uses DT coins for the purchases in their services, so you’d need to buy their money which has no value outside their services. Platform advertises its services by not relying on the services of any broker or lawyer, like it’s a good thing. Attracting part is that real estate is a profitable and stable investment and by buying a small part of a property with their token you’d be able to liquidate the token without needing to sell the property. The idea of having a partial property without the geographical boundaries and the legal restrictions that comes with it is a compelling dream. Let’s explore if this dream can be true.

OnmaxDT Scheme Exposed!

OnmaxDT’s scheme operates with discrete cryptocurrency transactions. It attracts people into investing money by introducing an app that supposedly allows them to invest in cryptocurrency.

The investors are given an account where they deposit their money, believing it to be an investment. The app displays an increasing balance. This false representation of growing investments build trust among the investors, leading them to deception.

How OnmaxDT Scam Started

Despite being operated through an app, no actual account number is provided for depositing the investment. The money is directly taken from the investors by representatives of OnmaxDT in a manual transaction, by hand, they take the money by hand. After two weeks, the app shows that the earned money has been received in Tether (a stable coin pegged to the US dollar), but the accounts are credited in rupees.

Where OnmaxDT is Located

It has been discovered through investigation that this company, presenting itself as an Australian entity, deposits money into the accounts of various individuals in Sri Lanka through local banks. The address listed for OnmaxDT on its Facebook page is 42 Logan Rd, Woolloongabba QLD 4102, Australia. When you check through Google Maps and, it was found that no such company exists at that location, only a restaurant named The Bungalow Brisbane.

where-onmaxdt-is-located

You need to be registered and licensed by legal authorities before taking people’s money. However, it has been discovered that no such registration was made in Sri Lanka in the name of OnmaxDT. Additionally, an inquiry by the Central Bank of Sri Lanka revealed that this company is not authorized to conduct investment activities in Sri Lanka. Since its founding, complaints have arisen by the victims of OnmaxDT’s schemes.

When was OnmaxDT Founded

onmaxdt-website

OnmaxDT has been conducting financial transactions since 2020, but the domain name Onmaxdt.com was registered in the second quarter of 2021 and renewed in 2023-05-30. It means that OnmaxDT has been operating without even a public website for some time. This is quite unsual for a company that claims to be working with blockchain technologies.

onmaxdt-scam-detector

When you check their website on scam detector, which is a source for detecting scam websites, it will give you 0 out 100. OnmaxDT’s website lacks some legal documents and the legitimacy of the ones that exist is highly doubtful. Another website that also checks scammer websites, scamadviser.com, also gives OnmaxDT’s website 0 out of 100.

onmaxdt-scam-advisor

Where Did OnmaxDT Operate

Propaganda of OnmaxDT’s scheme has cover a major area in Sri Lanka, particularly in the Hambantota district cities like Ambalantota, Ranna, and Lunugamvehera. There are government officials, businessmen, and the general public among the victims of this scheme. Some individuals have even mortgaged their lands to invest. With police officers and some government officials involved, OnmaxDT’s scam exceeded its territory.

We said that the company was based in Australia, when we look at their visitors most of the visitors are from Sri Lanka. Forget being regulated by the Australian authorities, seems like OnmaxDT’s customer base is from everywhere except Australia. This wide spreading of the company makes it more dangerous.

One victim said: “The leader of OnmaxDT is Dane Basnayaka from Australia. I’m also just an investor here. I don’t know much about it. You can get more information from Sampath in the Sri Lanka team,”

onmaxdt-australia

OnmaxDT Pyramid Scheme

One victim of this scam said: “When we deposit about $1000 in crypto (approximately three hundred and seventy-five thousand rupees), we are told the amount will be returned to us in about four months, providing us three times the initial investment over 15 months. Additionally, recruiting more people into the scheme promises further commissions.”

OnmaxTD lied to investors about their money is being invested in Australia and that the profits from such investments would be distributed among them. However, there is no indication that the investment process conducted by the company’s representatives or any portion of the investment is meant to be distributed as dividends.

Investigations into the social media pages of those involved in this scam reveal photos and comments suggesting significant financial gains. Attracting more individuals into OnmaxDT’s fraud is the only way to profit from it. It’s all part of a ponzi scheme but we’ll cover that later on. Posts related to collecting millions in cash and vehicles showcase the high level of money collected, sometimes in questionable ways.

onmaxdt-victim
onmax-victim-scam

OnmaxDT’s Legal Issues

The police also have the authority to expose the incomes of these people. However, it is regrettable that law enforcement officers, including the police, local authorities are connected to this scam one way or another. This connection makes it harder to kill the virus at its core. This cancer that annihilates the poor community in less developed countries and grow day by day.

In many attempts to contact several representatives of the Central Bank of Sri Lanka, there wasn’t a satisfying return until March 2023. This March, Central Bank of Sri Lanka (CBSL) certified OnmaxDT as an illegal pyramid scheme. CBSL stated that OnmaxDT had received several complaints(!). In its statement CBSL stated that: “OnmaxDT have conducted prohibited schemes in contravention of the provisions of the Banking Act”.

onmaxdt-scam-exposed

In November, five directors of ‘OnmaxDT’ were arrested by the Financial Crimes Investigation Division (FCID) due to allegations of conducting a fraudulent pyramid scheme. Those five directors, Indika Sampath, Gayeshan Abeyratne, Samith Sandaruwan, Indika Jayasekara, and Dhananjaya Gayan, were released on bail. Each director was granted release following the completion of three separate payments of Rs. 10 million each. The directors are required to report to the Criminal Investigation Department (CID) on the last Sunday of every month.

On August 24, prior to the arrests, the Central Bank of Sri Lanka (CBSL) had banned ‘OnmaxDT’ along with 8 other entities for conducting pyramid schemes, which are illegal in Sri Lanka. The CBSL issued a warning that anyone involved in such schemes would face legal consequences.

How OnmaxDT Ponzi Scheme Works?

OnmaxDT Compensation Plan

  1. Investment: OnmaxDT offers various investment plans where affiliates can invest their tether (USDT). Each plan requires a different initial investment amount, ranging from $100 to $50,000.
  2. Return on Investment (ROI): OnmaxDT promises a fixed ROI of 300% on the invested amount. This means that if an affiliate invests a certain amount, they will receive three times that amount as a return over a period of 15 months.
  3. Payout Structure: The returns are paid out daily, with a variable daily return rate ranging from 0.75% to 1.25%. This implies that affiliates will receive a portion of their total return every day for the duration of the investment period.
  4. Investment Plans: The investment plans are categorized into different tiers: PowerMax, SuperMax, and UltraMax. Each tier offers different investment amounts and corresponding returns.
  5. MLM Aspect: In addition to earning returns on their own investments, affiliates can also earn through the MLM (Multi-Level Marketing) side of OnmaxDT. This likely involves earning commissions or bonuses for recruiting new affiliates or building a downline network.

For instance, if an affiliate invests $100 in the PowerMax P1 plan, they will receive a total return of $300 over 15 months. This return will be distributed daily, with varying daily payouts based on the specified range.

In summary, affiliates invest tether in OnmaxDT’s investment plans, with the promise of a fixed ROI over a 15-month period. Returns are paid out daily, and affiliates can also earn through the MLM component of the system.

PlanInvestmentReturn
PowerMax P1$100$300
PowerMax P2$250$750
PowerMax P3$500$1500
SuperMax S1$1000$3000
SuperMax S2$2500$7500
SuperMax S3$5000$15000
UltraMax U1$10000$30000
UltraMax U2$25000$75000
UltraMax U3$50000$150000

OnmaxDT Affiliates

In any pyramid scheme, participants earn primarily through recruiting new members, rather than selling a legitimate product or service. Similarly, in the OnmaxDT structure, affiliates progress through ranks by recruiting new affiliates and building a network.

OnmaxDT’s structure also bares similarities of a ponzi scheme. There is no evidence, but in ponzi schemes, scammers use new investors’ capital to pay returns to earlier investors rather than generating legitimate profits. The promise of a fixed ROI within a specified time frame in the OnmaxDT structure raises concerns similar to those in Ponzi schemes.

RankQualification Criteria
AffiliateSign up as an OnmaxDT affiliate and maintain an active investment
AgentRecruit two affiliates and generate 1000 USDT in downline investment volume
Senior AgentMaintain two personally recruited affiliates and generate 2500 USDT in downline investment volume
ManagerRecruit two Agents and generate 8000 USDT in downline investment volume
Senior ManagerRecruit two Senior Agents and generate 20,000 USDT in downline investment volume
ExecutiveRecruit two Managers and generate 75,000 USDT in downline investment volume
Senior ExecutiveRecruit two Senior Managers and generate 250,000 USDT in downline investment volume
Onmax SpecialistRecruit two Executives and generate 600,000 USDT in downline investment volume
AmbassadorRecruit two Onmax Specialists and generate 2,000,000 USDT in downline investment volume
Elite AmbassadorRecruit two Ambassadors and generate 4,5000,000 USDT in downline investment volume
Global AdvisorRecruit two Elite Ambassadors and generate 9,500,000 USDT in downline investment volume

OnmaxDT’s Pyramid Scheme

  1. Basic Structure: At the top of this model, there is an affiliate (let’s call them the “primary affiliate”). Directly beneath them, on what’s called level 1, there are affiliates that they have personally recruited. This forms a “unilevel” team.
  2. Recruitment and Levels: When these level 1 affiliates recruit new members, those new members are placed on level 2 of the primary affiliate’s unilevel team. If level 2 affiliates recruit new members, these new recruits are placed on level 3, and so on.
  3. OnmaxDT’s Cap: In the case of OnmaxDT, the company caps the payable levels at eight. This means that the compensation from recruitment activities is calculated up to the 8th level beneath the primary affiliate.
onmaxdt-pyramid-scheme

Referral commissions are the payments for the affiliates based on the investments brought into the company. OnmaxDT pays these commissions as a percentage of the USDT (a stable coin equals to the US dollar) invested by new recruits across the eight levels. The percentage varies by level and by the tier of the affiliate:

  • PowerMax Tier: Affiliates at this tier earn 10% on investments by their level 1 recruits, 3% on level 2, 2% on level 3, and 1% on level 4.
  • SuperMax Tier: These affiliates earn the same percentages as PowerMax for levels 1 to 3 but also earn 1% on levels 4 to 6.
  • UltraMax Tier: The highest tier, these affiliates earn the same as SuperMax for levels 1 to 6, but also earn 1% on levels 7 and 8.

Conclusion

OnmaxDT is a company that claims to utilize blockchain technology for various investments including real estate, crypto, forex and more. OnmaxDT offers partial ownership through its proprietary DT Token in its ecosystem. Even though the company promotes the advantages of blockchain for security and transparency, OnmaxDT’s operations are far from transparency and close to fraudulent activities.

In conclusion, ONmaxDT’s multi-level marketing (MLM) business structure promises high returns on investments through both personal investors and recruiters. However, your assets are not safe with OnmaxTD as their operations rely on a ponzi scheme fueled by the customer flow that a pyramid scheme brings. Operating without any proper licensing, a history full of misleading information publicly released, and real arrests are enough reasons for you to stay away from OnmaxTD.

OnmaxDT FAQs

Is OnmaxDT a scam?

Yes, OnmaxDT is a scam, as it operates as a Ponzi scheme fueled by a Pyramid scheme structure. The company has been blacklisted in Sri Lanka, and its directors have been arrested with allegations of running a pyramid scheme.

Who is the owner of OnmaxDT?

One of the victims of OnmaxDT has mentioned a name Dane Basnayaka, but there is no evidence that this Dane personality is a real person. The company keeps the founders discreet, but there are known directors during the arrests related to its pyramid scheme cases. The names of these individuals were Athuka Indika Sampath, Gayashan Abeyratne, Sampath Sandaruwan, Saranga Randika Jayatissa, and Dhananjaya Jayan.

Is OnmaxDT a pyramid scheme?

Yes, OnmaxDT operates as a pyramid scheme that compels individuals to join by offering rewards for recruiting others into the system.

Is OnmaxDT a Ponzi scheme?

Yes, OnmaxDT is a Ponzi scheme. It operates by using funds from new investors to pay returns to earlier investors. This constant flow generates revenue for the earlier investor without any legitimate profit.

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