Daniel Butts appears to operate Rocket Cash Cycler, a $315 recruitment scheme that launched its website in October 2012. The scheme uses private domain registration and offshore hosting in Belize, obscuring its true ownership and location. Butts previously ran a similar venture, EZ Wealth Formula, starting in mid-2012.
Rocket Cash Cycler does not sell any retail products or services. Members pay $315 for "affiliate membership." This fee grants access to a contact manager, a Skype tool, list builder software, and a collection of ebooks. The scheme's core activity is recruiting new members.
The compensation plan requires new recruits to sign up two other people before they can earn money. After this, they enter a 2x3 matrix structure. Participants fill positions in the matrix by recruiting directly or by having existing members from other matrices placed below them.
A person at the top of a fully filled 2x3 matrix receives $300. They then get free entry into another 2x3 matrix, along with a new 2x2 matrix. The 2x2 matrix has fewer positions but works similarly. When someone cycles out of a 2x2 matrix, they earn $5,000 and receive free re-entry.
This recycling mechanism creates an appearance of continuous payouts. In reality, it simply moves money from new recruits to those higher up. The $315 entry fee and the mandatory recruitment of two people before qualifying for any earnings are signs of a pyramid scheme.
The compensation structure depends entirely on a constant stream of new recruits. Members cannot make money selling goods because no retail products exist. Earnings come only when fresh recruits join below them in the matrix. As these schemes grow, fewer people can recoup their initial investment, and most participants lose money.
Butts has operated variations of this model before. EZ Wealth Formula, his earlier scheme, used identical principles: membership fees, no retail products, and mandatory recruitment. His involvement with Rocket Cash Cycler suggests he has rebranded the same scheme, targeting new recruits unaware of its history. The private domain registration, offshore hosting, and hidden ownership are not accidental. They are deliberate barriers designed to prevent accountability.
When recruitment slows and members stop making money, there is no clear target for complaints or legal action against the operators.
