BITZOLKIN

DESCRIPTION OF EVENTS

"BitZolkin is one of the world’s leading cryptocurrency managers. We build long-term and trusted relationships with our clients – wherever they are and wherever they invest."

"Our profits are fee based from the wallet, exchange, buying and selling, and more; there are also profits from trading Crypto/Forex and mining operations. A complete and global financial currency, destined to feed the future of blockchain technology innovation. Our wallet has an optimal support in transaction and payment systems, thus achieving safety and efficiency in one place."

"According to experts, around $13 billion is exchanged over the crypto market every day. The majority of those transactions are subject to a transaction fee. A small fee ranging from a fraction of a percent to maybe 5 or 10% depending on the transaction.

Our profits are fee based from the exchange, buying and selling, wallets, ATM’S and more."

"Their site says they've "provided their clients with impressive growth year over year." Well guess what? Their website was made 2 months ago (check the WHOIS database).

They're supposedly based in Mexico City, but the photo of their "office building" (on their "Contact Us" page) is of Maxim Park in Scotland.

Maybe they're not native English speakers, but they say the word "Bitcoins" many times. Anyone who actually knows what they're talking about just says "Bitcoin" with no "s" on the end. What makes it worse is that they use both words interchangeably, further pointing out they don't know how to use it. Once is a mistake. Many times over is obviously a scam. The general grammar of the site is awful also.

That's just a few things. All of these things I've pointed out (at least the first 2) can be looked at by someone who doesn't know much about crypto and make any logical person go "Uhhh....yeah probably a scam."

Lastly, if you know nothing about crypto, know this: It's more volatile than the stock market and anyone who says that they can definitely make you a profit is lying."

"He was introduced to a company named Bitzolkin. I can't find anything on Google about them besides their website. The premise sounds fishy - they are promising huge returns, they pay out in BTC, etc. Can any of you take a look and weigh in? My crypto knowledge is limited. Thanks."

"Through their fraudulent conduct, Defendants have raised at least $12 million from over two thousand investors across the United States and from various countries throughout the world."

"Daniel F. Putnam, age 46, resides in Layton, Utah. Putnam has operated in the multilevel marketing industry for several years. Putnam is a member of MMT Distribution, LLC and R & D Global, LLC."

"Jean Paul Ramirez Rico, age 37, resides in Medellín, Columbia, and is a Columbian citizen. Ramirez purports to have experience and licenses in the securities industry and partnered with Putnam to conduct digital asset trading activities."

"Angel A. Rodriguez, age 43, resides in Provo, Utah. Rodriguez introduced Ramirez to Putnam and serves as an interpreter and intermediary between Putnam and Ramirez."

"MMT Distributions, LLC (d/b/a Modern Money Team, Eyeline Trading, and WealthBoss), is a Utah limited liability company headquartered in Orem, Utah, and controlled by Putnam."

"R & D Global, LLC (d/b/a Modern Money Team, Bitzolkin, Bzlogin), is a Utah limited liability company headquartered in Layton, Utah and controlled by Putnam and Putnam’s father, Richard T. Putnam. R & D Global received funds from investors in Modern Money Team."

"Beginning in at least July 2017 and continuing until at least November 2019, Putnam has operated three multilevel marketing businesses (“MLMs”)—Modern Money Team, Eyeline Trading, and WealthBoss (the “Putnam MLMs”)—that have offered investors opportunities to profit from two digital asset-related investment opportunities."

"According to the Modern Money Team website, investors could purchase “a share in the hashing power of the mining operation” for “as little as $50” on a two-year contract or could purchase a “complete rig with a lifetime contract” for $2,000."

"Putnam allowed mining operation investors to pay him in fiat currency or with digital assets. Some investors therefore wired or deposited funds into the accounts of R & D Global, MMT Distribution, LLC, into Putnam’s personal bank accounts, or paid Putnam directly with cash."

"In one instance, a single investor delivered to Putnam $100,000 in cash to invest in the mining operations."

"In or around November 2018, D.B. stopped receiving payouts, and Putnam told him that, due to the drop in price of digital assets, mining was no longer profitable."

"D.B. began requesting that he take physical possession of the mining machines he believed he had purchased, but, over the course of several months, Putnam gave excuses for why D.B.’s machines could not be delivered to him."

"Eventually, in February 2020, Putnam told D.B. that he could pick up his machines in Salt Lake City, Utah."

"Upon information and belief, D.B. has still not obtained physical possession of any mining machines from Defendants."

BitZolkin claimed to be a leading cryptocurrency manager, building trusted relationships with clients globally. They generate profits from various sources including fees from wallets, exchanges, trading, and more. However, concerns have been raised about their legitimacy. Their website's recent creation, misuse of terminology like "Bitcoins," poor grammar, and unrealistic promises of huge returns have triggered suspicions. They are alleged to have raised over $12 million from thousands of investors through fraudulent conduct. Individuals involved include Daniel F. Putnam, Jean Paul Ramirez Rico, and Angel A. Rodriguez. Companies controlled by Putnam, such as Modern Money Team and R & D Global, have reportedly operated multilevel marketing businesses related to digital asset investments, promising returns from mining operations. Complaints have emerged regarding unfulfilled payouts and failure to deliver purchased mining machines.

normal_rc comments on I'm afraid my friend may be investing $50k into a crypto ponzi, am I wrong? (Oct 17)
I'm afraid my friend may be investing $50k into a crypto ponzi, am I wrong? : CryptoCurrency (Aug 23)
https://www.sec.gov/files/litigation/complaints/2020/comp24829.pdf (Aug 23)
https://www.crowdfundinsider.com/2020/06/162385-asset-freeze-sec-alleges-cryptocurrency-mining-and-trading-operation-scammed-12-million-from-investors/ (Aug 23)
BitZolkin | (Aug 23)
BitZolkin (Aug 23)

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