VELTYCO and NEXUS GLOBAL: A New Multi-Level Marketing Operation Emerges

The MLM Collaboration: VELTYCO x NEXUS GLOBAL

Since early 2018, we have been tracking the development of NEXUS GLOBAL, a new multi-level marketing (MLM) venture launched by seasoned marketers Christian Michel SCHEIBENER and Michael THOMALE (see our previous updates). The platform recently entered its pre-launch phase, enabling investor and participant registrations.

According to official materials, NEXUS GLOBAL claims it will invest in a range of financial products and services, including:

• Crypto mining

• Initial Coin Offerings (ICOs), such as Cointed and ESPORTS.COM

• Sports betting

• Forex trading

• Binary options

Notably, both Cointed and ESPORTS.COM have already been deemed unsuccessful projects.

A Quiet Joint Venture with VELTYCO

Behind the scenes, NEXUS GLOBAL appears to operate as an unofficial joint venture between a Hong Kong-based entity named NEXUS GLOBAL Ltd (no public records found) and the UK-listed company VELTYCO GROUP PLC.

Despite their evident cooperation, neither entity has provided public disclosures about the partnership—particularly concerning, given that VELTYCO is listed on the AIM market, where transparency is a regulatory requirement. At the heart of the marketing push is VELTYCO’s proprietary digital wallet, known as 8Crypt, which is being developed in Sofia, Bulgaria, home to VELTYCO’s core tech team.

8Crypt Wallet: The MLM’s Central Product

The 8Crypt Wallet (www.8crypt.com) is promoted as a key component of the NEXUS GLOBAL ecosystem. Developed by Varkasso Ltd, a VELTYCO subsidiary in which VELTYCO holds a controlling 51% stake, the wallet is designed for:

• Fund management by MLM investors

• Administration of downline distributors within the MLM system

This wallet is being positioned as a central tool in VELTYCO’s blockchain roadmap. According to the company, it has already been integrated into the ESPORTS.COM platform and is expected to be added to Bet90, a VELTYCO-affiliated sports betting website (source: Morningstar press coverage).

Red Flag: 8Crypt Is Not a Blockchain Wallet

While 8Crypt is marketed as a “blockchain wallet,” this description is misleading. True blockchain wallets allow users to verify transactions through publicly accessible ledgers such as Etherscan, Blockchain.info, or Blocktrail. These platforms allow full transparency of all movements on-chain.

In contrast, 8Crypt is not a blockchain wallet in the traditional or technical sense. Instead:

• It is an off-chain solution

• All wallet data, balances, and transactions are stored privately on company-owned servers (specifically, via Microsoft Azure)

• There is no public ledger, no distributed network, and no verification by third-party nodes

In essence, 8Crypt is a proprietary payment platform that uses cryptographic encryption but offers no blockchain transparency or traceability. From an ethical blockchain standpoint, this closed system raises serious concerns. Such architecture is often associated with financial opacity and could potentially be exploited for money laundering or unregulated transactions.

We believe this type of private wallet system should not exist in a blockchain-aligned MLM project. The lack of transparency is a major red flag for both regulators and investors.

Why It Matters: The Future Use of NEXUS GLOBAL

Based on our findings, it appears that NEXUS GLOBAL will be used as a distribution network for VELTYCO’s brands, including:

• ESPORTS.COM

• Bet90 (http://bet90.com/)

• Other entities linked to VELTYCO’s former executive, Uwe LENHOFF

Key Risks at a Glance

Next Steps and Open Questions

We have reached out to Melissa BLAU, VELTYCO’s newly appointed CEO, as well as Christian Michel SCHEIBENER, to request comments and further details on the joint strategy between VELTYCO and NEXUS GLOBAL.

In the meantime, we urge all potential investors and participants to exercise extreme caution, given:

• The ambiguous business model of NEXUS GLOBAL

• The misleading marketing of the 8Crypt wallet

• The historical failures tied to similar ventures

More detailed reports on 8Crypt and related technologies will follow shortly.