A company banned for being a pyramid scheme in Norway. Fined millions in Italy. Cleared of charges in Austria despite repeated investigations. Lyoness has spent two decades operating across Europe under various names while regulators struggle to permanently shut it down.

The Austrian company, founded by Hubert Friedl in 2003, operates today as myWorld—a deliberate rebrand after Norway banned it in 2018. Before that, it operated as Lyoness and Lyconet. The cashback shopping portal runs under the name Cashback World. The name changes appear designed to complicate regulatory efforts and confuse investigators tracking the operation's history.

The legal trouble started piling up fast after 2015. Australia's competition regulator bungled a pyramid scheme case against the company that year. But elsewhere, authorities were more successful. Austria convicted Lyoness of deceptive business practices in 2016. A Vienna court found its affiliate terms illegal. A Swiss court ruled it was a Ponzi scheme and invalidated affiliate contracts.

Sweden's police dropped their pyramid scheme investigation, claiming it was too complicated. Poland grouped Lyoness alongside notorious Ponzi schemes and warned the public. But Norway took action. In 2018, Norwegian authorities declared Lyoness an illegal pyramid scheme and banned it outright. That's when Friedl and company rebranded as myWorld.

The consequences kept coming. Italy's regulators found Lyoness was a pyramid scheme in 2019 and slapped the company with a €3.2 million fine. Four years later in 2021, even after the rebrand, Italian authorities again found myWorld operating as a pyramid scheme and fined it another €3 million. Poland's Office of Competition and Consumer Protection reached the same conclusion in 2020.

Despite this track record spanning multiple countries and years, Austrian authorities have never successfully shut the operation down. Criminal charges were filed against Lyoness and Friedl in 2016 and again in 2019. Norway opened a criminal case in 2019 but abandoned it in 2020, citing lack of resources. Yet the company continues operating.

The business model reveals why regulators have repeatedly classified it as illegal. MyWorld offers no actual retail products. Affiliates cannot sell anything except membership itself—a Premium membership. The Cashback World shopping portal provides discounts at various retailers, but it's free to use regardless of membership status. The company has never clarified whether it uses a third-party discount platform or operates the system independently.

This structure—where the money flows primarily from recruiting new members rather than genuine retail sales—is the defining characteristic of pyramid schemes across every jurisdiction that examined it.

🤖 Quick Answer

What is myWorld and its connection to Lyoness?
myWorld is the current operating name of an Austrian company founded by Hubert Friedl in 2003, previously known as Lyoness and Lyconet. The company operates a cashback shopping portal called Cashback World and has undergone multiple rebranding efforts following regulatory actions across various European jurisdictions.

Why did myWorld rebrand from Lyoness?
The company rebranded to myWorld following Norway's ban on Lyoness in 2018. Regulatory authorities in multiple countries have investigated the company's business model, with successive name changes appearing strategically designed to complicate regulatory tracking and enforcement efforts.

What regulatory challenges has the company faced?
The company has faced significant legal challenges across Europe since 2015, including a pyramid scheme ban in Norway, substantial fines in Italy, and repeated investigations in Austria. Australia

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