The ESPORTS.COM Narrative: From Ambition to Collapse
Much like a modern-day fairytale, the ESPORTS.COM venture began with grand aspirations. Originally launched by gaming and betting entrepreneur Uwe LENHOFF and his associates, the project aimed to revolutionize the eSports industry through blockchain technology. Frontmen Benjamin FÖCKERSBERGER and Philipp GEPPERT were put in place to represent the initiative and appeal to crypto-hungry investors. The objective? Launch an ICO, distribute eSports Reward Tokens (ERT), and raise approximately $20 million.
According to a February 2018 article in Hessen Depesche, German MLM figure Michael THOMALE was involved from the early stages. The only tangible asset at the beginning was the premium domain name esports.com, acquired for a seven-figure sum. The narrative sold to investors promised that ESPORTS.COM would become the world’s leading eSports platform.
Yet, within just two months, the project lost its shine. FÖCKERSBERGER was pushed out, and leadership shifted to Michael BRODA and LENHOFF. ESPORTS.COM became closely linked with a Crypto-MLM structure, and its ICO ended in what many regard as a spectacular failure.
What Happened to the eSports Reward Token (ERT)?
Initially, the ERT token was promoted as having utility in sports betting, a key component of its value proposition. However, that functionality was later removed—undermining its original appeal.
Instead, ERT is now proposed for:
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Crypto mining operations using ETH-based gaming rigs
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Future investment in “ESPORTS.COM-approved” ICO projects
This pivot raises eyebrows, especially considering the original ICO’s failure. It seems contradictory that a project unable to successfully launch its own token sale now claims expertise in vetting others.
In reality, the ERT token currently holds little to no intrinsic value. However, there’s speculation that it could be revived through distribution via NEXUS GLOBAL, a crypto-based MLM platform.
The 8Crypt Wallet Connection
From its inception, ESPORTS.COM integrated with the 8Crypt wallet (www.8crypt.com). According to the website, users must connect their 8Crypt wallets to their ESPORTS.COM accounts to manage ERT tokens. This wallet is also linked to VELTYCO’s infrastructure and plays a central role in payment handling within the ecosystem.
The Rise of NEXUS GLOBAL’s Crypto-MLM Model
Warning: Crypto-based MLM platforms often resemble High-Yield Investment Programs (HYIPs) and in many cases, Ponzi schemes. NEXUS GLOBAL fits this mold, targeting inexperienced investors with unclear terms and vague product offerings.
Notably, NEXUS GLOBAL was associated with Amit BHARDWAJ, a crypto entrepreneur from India who was arrested in April 2018 for allegedly operating a crypto-MLM scam (report). This connection raises further concern about the legitimacy of NEXUS GLOBAL’s operations.
“This was our hard-earned money.”
— Investor Nikhil Jain via Twitter after losses in a crypto-MLM scam
Unlike ICOs, which are often publicly discussed, reviewed, and scrutinized, crypto-MLM schemes operate in private spheres—closed Facebook groups, invite-only events, and opaque sales channels. The lack of transparency makes them especially dangerous.
A Sales Engine for VELTYCO?
NEXUS GLOBAL is being structured by Michael THOMALE and Christian Michel SCHEIBENER, both with backgrounds in network marketing. The platform appears to be a distribution mechanism for VELTYCO-linked ventures, including ESPORTS.COM.
NEXUS GLOBAL Business Model Overview
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Step |
Action |
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1 |
Investors join NEXUS GLOBAL under a typical pyramid structure |
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2 |
Sponsors earn commissions on sales generated by their referrals |
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3 |
Net funds (after commissions) are invested into VELTYCO-linked products like ESPORTS.COM, Bet90, and Tradologic |
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4 |
Payments are processed through the 8Crypt wallet (currently not functional for fiat transactions) |
As of now, NEXUS GLOBAL has not published any detailed product or investment information. Neither VELTYCO nor its subsidiaries have disclosed the terms of their cooperation with NEXUS GLOBAL, making the entire operation a black box. The only products currently listed on NEXUS GLOBAL’s website are generic crypto mining packages.
Global Reach, Local Questions
The scale of NEXUS GLOBAL’s ambitions is vast, but its structural opacity and regulatory risks are even greater. Our assessment suggests that the system is unlikely to sustain itself long-term. Investors should approach with extreme caution.
Call for Information
We encourage our readers and affected investors to continue sharing insights and documents related to NEXUS GLOBAL, ESPORTS.COM, or VELTYCO. The more transparency, the better for all.