Before we have a look at Powerhashing, a brief explanation of MLM.
MLM is a predatory system of commission payments which is attaching itself to the promotion of crypto schemes.

MLM = multi level marketing.
An American idea, recruit a 'downline' to market a product or service and get paid for it. Time and time again.
The product can suck, not exist or be barely profitable, it doesn't matter. MLM is about selling a dream to the suckers, using lots of motivational type language and as few details as possible about the actual product.
And getting paid thru the matrix. No, not Neo's, a multi level money making machine
like so



There are many different forms of this, add-ons with silly names and quite anal refinements, but they all have the same goal: money rises to the top of the matrix in a pyramid fashion.
Hence Pyramid Scheme.
They are sort of illegal in a lot of countries, but generally don't get too high on policing priorities as investigating is quite labor intensive and the schemes, especially Bitcoin ones, are global.
The rewards for the <1% Inner Circle can be huge, so they have access to lawyers and offshore structures to help prolong the life of these scams, and the arrival of Bitcoin has given them a whole new ball game to play.

But, apart from the admins, everybody else is a sucker



So, there's MLM 101 for you.
Put it together with the core business being "Bitcoin mining" offering impossible ROI and what have you got?

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Powerhashing.com.

Let's have a look at their website. Registered with that slag Bob Parsons, so no whois details, but we know who they are. (later)

Landing page


and a really impressive shot of server racking (maybe even Bitcoin miners to a newbie)

 

stolen from Nutanix tho



But hey, everyone steals photos of other people's operations right? Means nothing, right?


About us


More on the actual company later, but I've heard that spiel somewhere before.....


and, come to that


BitClub Network....I guess is the MLM/Bitcoin pioneer, and still going, still enriching the Chosen Few...


This pisses me. Crowd funding has nothing to do with MLM. It's a buzzword they latch onto for credibility, nothing else. Legit crowdfunding ventures  (the few that come to anything) will pay benefits back to angels, but do not come with a matrix affiliate system attached.


Yeah, that's what we want. So where is it? What is it? How many Ph/s?
No details there tho, so onto the next page


"Passive income" is an MLM/scammer's favorite buzz phrase, usually accompanied by pics of swimming pools. Just think about it, it's what we all want right? Just sit on our asses and watch the money roll in, looking out over the HashOcean...

But mining, we want to know about the mining!
All we get are more generalities...


Bulk purchases, special relationships, cheap hardware. Sounding goood....
Several farms, sound like they're in Iceland I guess. Sounding greeeat...

But that's it, no details, just a couple of crappy Fiverrrr vids and that's that page done.

Onto
FAQs

Not one Q/A about miners, pools, hashrate, halving effect, nothing, just generic bullshit about accounts.

Next page
CONTACT

Blank enquiry form.
And a map.
A map of 1500 Gateway Blvd #220, Boynton Beach Florida....WTF? I thought Powerhashing was in India???


and the last tab
START MINING TODAY

CREATE YOUR FREE ACCOUNT, START MINING TODAY and a form to fill in, with your sponsor ID already filled in. Who is he and why?

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So, we've been thru the whole Powerhashing website and no details of anything to do with Bitcoin mining apart from generalizations, very disappointing.
Let's have a quick look at T&C's while we're here

Looks like a standard HYIP? type set of terms, but then we get to


Who?
CRYPTO CURRENCY ARBITRAGE NETWORK....let's Google that.
Top result is moneymakersgroup, the scammers reference site for all things bent, impossible and just plain shit.
CCAN is listed under "Closed, Inactive & Offline HYIPs", some bullshit scam that closed down and the admin ran off after a few months.



What's that got to do with Bitcoin Mining in India?

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Next installment soon: how much will we earn, how will we earn it, and who are these three sharp dudes?

I could say these fake cloud minings would be match well if they were called MLM rather than Ponzi because they always having referral/affiliate which promising big reward,they count on how many new users will come and funds were invested not like Ponzi even close,but why people still call it Ponzi? maybe because it's already on their mind,even both MLM and Ponzi are shitty satanic thing

Ponzis and Pyramid schemes are definitely different things, but they can co-exist in the same scheme.

A Pyramid Scheme (scammers go "rah, rah everything is a pyramid scheme!" Not so, there is a big difference between a Pyramid Scheme and a pyramid structure) is where referral commission money rises to the top of a matrix, with new investors buying in simply to resell positions in further level of the tree, also sometimes believing that the underlying business model will make them money, which it hardly ever does because it is unprofitable or non existent.

A Ponzi Scheme (not a ponzi game which was a poor attempt to convince newbies that they could have a fair gamble on a "last one in loses" basis)is where new investors money is used to pay existing commitments to old investors because the underlying business model is unprofitable or non existent.

Both types, or the hybrid, can exist for a long period of time depending on the greed of the admin, but both ultimately fail because of the need for a continually expanding investor base.

So, mining proof.....

They say


This is fairly standard bullshit. No specifics, nothing.
The last sentence implies a cold environment with geothermic/hydro energy, fashionably usually Iceland, Scandinavia or the wilds of China.
Being Indian based, maybe the Himalayas?
Maybe a State-of-the-Art installation, cooled with crystal clear mountain spring water, lovingly tended by Sherpas on their day off?
Maybe not..

Time for a YT video uploaded a couple of weeks ago, 33 seconds of mobile phone video shot by the looks of it in a disused shop, with about 24 x S5's and 15 x KNC Neptunes perched on some wooden shelving, wiring by a blind knitter and cooled by leaving the door open.

LADIES AND GENNLEMEN, I GIVE YOU POWERHASHING'S GLOBAL BITCOIN FARM 

https://youtu.be/8UJEiJieAxI








State of the Fucking Art indeed....let's put some manufacturers spec numbers for this pile of obsolete crap thru a calculator.
I'll give them a generous $0.06 electric/overhead cost and a 2% pool fee.

Company master data about Power Hashing Solutions Pvt Ltd from Ministry of Corporate Affairs...



Amist Jaiswal & Abhishek have also registered another company called 3 ACES CRYPTO TRADERS PRIVATE LIMITED on 12/07/2016 with CIN U74999DL2016PTC302856.

India has many scammers, these guys (Indians) are major investors and creators of MLM, HYIP and CLOUD MINING sites. they are second only to Brazilians and Russians!

These scammers irritate me when they say they have a "team" when everyone knows that they do not have any team.

People before registering these sites not investigate if they have:

Company headquarters

registry (documents issued by the government to carry out such activity) only believe that the company was registered because they saw the  site writing: "registered company UK"

Do not call to see if the phone number that the site works or not.

Gotta love the "business" address:

BASEMENT BACK PORTION NEAR METRO PILLAR NO. 563

Cheap-ass scammers can't even afford a properly scammy mail-drop "office".

I laughed a lot, especially when I saw this:




He calls himself "coach".







These guys must have left straight from hell to earth.
He is the forcing many situations to promote and achieve steal money from as many people he can.

One thing that MLM schemes scams love is Social Media. They plaster it with inspirational memes about self belief and being confident in a bright new fututre, in order to draw potential victims into a relationship, on which they can build and extract money from the gullible.
Facebook facilitates this as part of its business model.
Don't under estimate the power of this. To most people who have a clue about how this stuff works, it's laughable. But what FB does well is lowest common denominator. It is full of so much trivial garbage that, in comparison, this aspirational stuff can look quite believable.

Have a look at https://www.facebook.com/PowerHashing/ , it's full of nonsense like this







Facebook also has a product review system, where clients of a business can leave their view of a companies performance and service.
Abusing this is standard operating procedure for scammers. Usually they buy Facebook accounts and at least make an attempt at diguising their fraud. (this is fraud, making a misleading statement knowingly to encourage a third party to take a certain course of action).

Powerhashing aren't that subtle/professional in their scamming. They just leave themselves 5* reviews in their own names lol.



Sleaze.