MLM schemes: Anyone have experience with these guys?

Project86

Golden Member
Nov 12, 2002
1,001
3
81
I just came across something about these companies online the other day, and it brought back a bunch of memories. When I was in high school, 1998 and 1999, I had a bunch of seemingly bright classmates fall for this scheme called 2by2.net. It was all over town actually: you pay money ($420) to become a rep (they say you are your own business at that point) and try and get more people to sign up under you. Classic pyramid scheme, but they also have a 'product' and a 'service' that they sell, so that's how they remained semi-legal. Anyways, there were a couple of kids around town in their early 20s driving nice cars with big 2by2.net logo's on the side (NSX, M3, S4 I think). These were supposedly purchased with their big earnings. The people who went to school with me become instantly brainwashed, and tried to sell this to all their friends and family., It was really wierd.

Fast forward to now: It looks like that company changed their name to IXP.net, and kept making their way east through the country suckering kids (mostly minorities and less educated kids who didn't know much about the internet) out of their money with promises of getting rich. They have now turned into another company, this time selling VOIP under the name Yor.net. Some of the original people have split off and formed their own scams which have come and gone as well.

For some reason this whole thing just fascinates me, and I don't know why. Usually when you hear of something like this, they just take people's money and run. But these guys actually keep the scam going, and have all sorts of training meetings (which you pay to go to each time). They get everyone to wear Armani and other expensive clothes ('fake it til you make it' is the motto). They have some of their higher up people driving Lambo's and Porsches, all to convince you that if you join, you can get that too. It's almost cult like the way they get people to ignore reality and buy into the dream. At one point I read that 2by2 had over 70,000 reps. All of whom payed $420 to join. That's a LOT of money that some of the higher up people were raking in.

Anyways, my whole point here was to ask if anyone had been involved in, or had friends/family involved in, these or any similar companies. I'd like to hear about it.... like I said it fascinates me. I know it is totally wrong, and I hope the founders all end up in jail (some have)... but it's like reading about true crime stories... It is interesting to me.
 

Syringer

Lifer
Aug 2, 2001
19,333
2
71
You can definitely make money from MLM and many have..to mislead everyone into thinking they can and using gullibility as a sales tactic is not a crime at all.
 

Project86

Golden Member
Nov 12, 2002
1,001
3
81
Originally posted by: Syringer
You can definitely make money from MLM and many have..to mislead everyone into thinking they can and using gullibility as a sales tactic is not a crime at all.

Let me guess... you work in MLM? I know it is not a crime all by itself, I work in law enforcement and have experience with the law. I'm just pointing out that several of the people behind this particular operation have ended up in jail for one thing or another. I assume there is probably a lot of drugs involved, and some young people being taken advantage of, and other things that ARE crimes. But yeah, if you want to rip people off, but don't want to technically commit a crime, MLM might be your thing. Good for you for having a conscience.