If I'm not mistaken, that was defined as scam a short time ago. Everything looks like ponzi to me.
You are not wrong, it is ponzi in full sense of that word and any users of this forum who promote such scams should be tagged for promoting such things. We have recently question from one member in Beginners & Help about this token, and just by quick search I fund information which confirms what is it all about.
Cloud Token’s website provides no information about who owns or runs the company.
The Cloud Token website domain (“cloudtokenwallet.com”) was privately registered on January 27th, 2019. Cloud Token has no retailable products or services, with affiliates only able to market Cloud Token affiliate membership itself.
Cloud Token affiliates invest $500 or more in CTO tokens, on the promise of an “average 10-15% per month” ROI.
Commissions are paid when Cloud Token affiliates recruit others who do the same.
Cloud Token pays referral commissions via a unilevel compensation structure.
A unilevel compensation structure places an affiliate at the top of a unilevel team, with every personally recruited affiliate placed directly under them (level 1)