Dwayne Golden's 1x2 Marketing Suite, which launched recently, claims Michigan as its operational base. The new venture raises immediate concerns given Golden's history with prior online schemes, particularly its reliance on new affiliate money to pay existing members. A promotional video for 1x2 Marketing Suite features Golden as its chief executive.

Golden's past includes Blue Bird Bids, a scheme that began in late 2012. Blue Bird Bids operated as a penny auction Ponzi clone, similar to the notorious Zeek Rewards. Complaints about auction bots generating fake bids circulated widely. By January 2013, Blue Bird Bids was faltering and soon collapsed.

Golden later reappeared in 2014, operating Ingreso Cybernetico. This earlier venture functions as a five-tier matrix cycler. Affiliates pay between $50 and $3,500 for positions within the matrix. Recruitment of new members promises returns on investment up to $10,000. Ingreso Cybernetico remains active today, primarily targeting consumers in South America.

1x2 Marketing Suite itself offers no retail products for sale outside its affiliate program. Instead, it bundles an "online marketing suite" with affiliate memberships. This suite comes in three tiers. The Basic tier costs $100 and includes social posting tools, an RSS publisher, Twitter tracking, and a mobile site builder. The Manager tier, priced at $300, adds a drag-and-drop page builder, templates, integrations, an image editor, a copywriting library, and custom domains. The Executive Director tier, at $500, offers a funnel builder, product listings, coupon creation, affiliate invitations, and adaptive payment options. These tools are never sold to external customers.

Affiliates purchase positions in a 1x2 matrix for $100, $300, or $500. Each affiliate occupies the top slot, with two slots directly below them. These lower slots fill when new people join the matrix. Payouts, termed "cycles," occur once both slots are filled.

Basic positions, costing $100, pay $30 per cycle, or $35 if the affiliate is on "Smart Order." Each position then cycles into a new Basic matrix. Manager positions cost $300 and return $90 per cycle, or $105 on "Smart Order." These positions cycle into another Manager matrix. Executive Director positions require $500 and pay $150 per cycle, or $175 with "Smart Order." They cycle into another Executive Director matrix.

Qualifying for "Smart Order" payouts requires an active Ingreso Cybernetico membership, which costs an additional $25 per month. Without this separate membership, affiliates must recruit at least one new member every 180 days to remain eligible for commissions.

Referral commissions extend two levels deep. They pay out when personally recruited affiliates, and their direct recruits, complete a cycle. Basic tier cycles generate $10 per downline cycle, or $15 on "Smart Order." Manager tier cycles pay $30, or $45 on "Smart Order." Executive Director cycles return $50, or $75 on "Smart Order."

A Fast Start Bonus rewards affiliates for their first two recruits at any tier. Basic tier recruitment pays $10, or $15 on "Smart Order." Manager tier pays $30, or $45 on "Smart Order." Executive Director tier pays $50, or $75 on "Smart Order." A Performance Bonus duplicates these amounts once an affiliate recruits four members.

Total affiliate membership costs vary. The matrix position itself ranges from $50 to $500. Full access to all tiers reaches $850. The Ingreso Cybernetico membership adds $25 monthly for the higher commission rates associated with "Smart Order."

Golden directly addressed the purpose of 1x2 Marketing Suite in a promotional video. He stated that Ingreso Cybernetico recruitment had slowed. "This is not about Ingreso Cybernetico. The only thing connecting this to Ingreso Cybernetico is we wanted to allow our members to join it first. That's why we gave time for our members to join it, till today. We wanted the advantage to go to our members so they could first to start generating money. No one has been able to recruit from the outside, until today."

Matrix cyclers like 1x2 Marketing Suite disproportionately reward early participants. Golden's statement confirms that 1x2 Marketing Suite preloaded positions with existing Ingreso Cybernetico affiliates. New, external participants are now expected to fund payouts for these earlier members.

1x2 Marketing Suite functions as a three-tier matrix cycler Ponzi scheme. Investments ranging from $100 to $500 generate returns primarily from the recruitment of two new individuals. Indirect recruitment also generates income. The Fast Start and Performance Bonuses further incentivize this recruitment. The "marketing suite" itself acts as window dressing. It does not sell to retail customers and serves mainly as a compliance façade.

Ponzi schemes inherently collapse when new recruitment slows or stops. Every bonus and payout within 1x2 Marketing Suite depends on continuous cycling. A lack of new affiliates means commissions cease, ensuring most participants will lose their initial investment. Each commission paid to an earlier member represents a loss for a newer recruit.

Should regulators investigate 1x2 Marketing Suite, its terms and conditions attempt to shield the company. The agreement states: "BY ACCEPTING THIS AGREEMENT YOU WAIVE AND HOLD HARMLESS 1x2 Marketing Suite FROM ANY CLAIMS RESULTING FROM ANY ACTION TAKEN BY 1x2 Marketing Suite DURING OR AS A RESULT OF ITS INVESTIGATIONS AND/OR FROM ANY ACTIONS TAKEN AS A CONSEQUENCE OF INVESTIGATIONS BY EITHER [1x2 Marketing Suite] OR LAW ENFORCEMENT AUTHORITIES." Such 1x2 cycler schemes typically pay out to initial participants before failing within weeks or months. The need for Golden to launch a feeder suggests Ingreso Cybernetico's recruitment is already declining, potentially leading both operations to collapse.