The bitcoin gifting scheme known as 1000 BTC Ezy registered its domain on July 10, 2017, under the name Jermaine Cato, an individual whose listed address appears fraudulent. This lack of transparent ownership is a common red flag for such operations.

Investigators found the email address used for 1000 BTC Ezy's registration previously linked to BTC Fast Double, another cryptocurrency scheme. BTC Fast Double, launched on May 5, 2017, was a Ponzi promising a 200% return on bitcoin within 72 hours. That earlier scheme listed "Tommy Taylor" as its owner, also with a fabricated California address. It is unlikely that either Cato or Taylor are real individuals. Another alias, "Kitty Bitcoin," hosts promotional videos for 1000 BTC Ezy on YouTube.

Analysis of web traffic data for BTC Fast Double showed 84% of its visitors originated from Thailand. This pattern, combined with the poorly translated English on the 1000 BTC Ezy website, suggests the same operator runs both schemes from Thailand. For example, the site asks, "Why different sponsor's bitcoin address and donate bitcoin address? Don't worry! that bitcoin address is a system bitcoin address if after payment completed it will redirection to sponsor bitcoin address automatically." This sentence contains several grammatical errors indicative of non-native English speakers.

1000 BTC Ezy offers no tangible products or services. Its entire model relies on affiliates recruiting new members. These affiliates then purchase memberships themselves. The compensation structure operates as a unilevel gifting matrix. A new participant joins and sits at the top of their personal matrix. Each person they recruit directly falls onto their first level. Individuals recruited by those first-level members form the second level, and so on, down to five levels.

Joining requires a payment of 0.003 BTC. This sum covers a 0.001 BTC administrative fee paid directly to the operator and five "donations" of 0.002 BTC each. These five 0.002 BTC payments are sent to five levels of upline members. By making these payments, a participant "qualifies" to receive 0.002 BTC from up to five levels of their own downline recruits. The scheme also includes a small incentive for social media activity, paying 0.000001 BTC per hour for posting advertisements across platforms.

The scheme describes itself as a "donation system" where "sponsors receive instant payments from donators, with no retention by the system." This claim is false on two counts. The 0.001 BTC administrative fee is directly retained by the operator. Furthermore, true donations are voluntary gifts without expectation of return. In 1000 BTC Ezy, participants "donate" solely to qualify for incoming payments from subsequent recruits. This conditional exchange, paired with the multi-level recruitment structure, clearly defines it as a gifting scheme, not a charity.

Such schemes depend entirely on a continuous influx of new participants. When recruitment inevitably slows, the flow of payments to existing members stops. The mathematical structure ensures that the vast majority of participants, particularly those at the lower levels of the matrix, will never recoup their initial investment. Only a small number of early entrants and top recruiters see any profit, funded directly by the losses of later participants. The US Securities and Exchange Commission and other global regulators consistently warn against schemes that promise returns based on recruiting others, especially when no genuine product or service exists.