Smashfund claims to be a public benefit corporation that does absolutely nothing it says it will do. If you are looking for reviews about Smashfund, you might have already read other promotional or fictitious reviews from other site. Whatever conclusion you might have drawn thus far, please do not give any of your credit card details to Smashfund or any Smashfund related site.
In fact, I would go further to recommend not giving up any form personal details to Smashfund.
CEO: Robert Towles
Price: Free till July 2016, then $149 each month
Verdict: Potential Scam…
What is Smashfund?
Or what it claims to be…the first social crowdfunding network?
Which is pretty confusing. Smashfund is definitely not going to be the first crowdfunding platform when I can easily name at least 5 crowdfunding services off my head. And I said “not going to be” because whatever the Smashfund website and CEO Robert Towles claims it will do or going to do, it has nothing to show thus far.
Also, how does jamming the words crowdfunding and social network together going to help?
You would expect the site itself or the video address by CEO Robert Towles itself to be enlightening but it is not. While it highlighted the very real problem of getting funding for projects when crowdfunding, it does not explain how Smashfund being also a social network is going to help users achieve their funding goals.
Just because the CEO claims Smashfund is “innovative” on the video address does not mean that it is. I will even go on to say it is pointless that Smashfund “is trying” to lump social networking and crowdfunding together.
Currently, all crowdfunding sites I know will allow you to share your funding project on most of the social network you might be on. As such, I don’t really see why I need to go through the hassle of building another social network profile on Smashfund.
Why $149 a month?
While the platform is free to join when I was writing this review, Smashfund will charge the subscription fee of $149 a month come July 2016. This on top of the transaction fees the platform will charge for its crowdfunding transactions. Why would a crowdfunding platform charge an expensive subscription is beyond my understanding. The subscription feature is definitely something new that I have not seen in crowdfunding platforms.
Oh wait! It is not just a crowdfunding. It is the first social crowdfunding network….
Still, I don’t see Facebook or Twitter charging subscription for joining. How does Free + Free = Paid Subscription ?
CEO Robert Towles certainly have a knack for selling something that does not even exist. When you register your details (including your credit card details) to join, this is what the inside looks like.
Other than the invite tab to get your affiliate link and the account tab that just allows to change your credit card details (no canceling option), the inside of the members site is pretty much empty. Nothing else to suggest that it is or going to be the platform for the first social crowdfunding network.
Thus the question remains, just why are you paying $149 a month?
The Real Agenda
Forget about what you might know about crowd funding or social networking. It makes more sense when you recognise Smashfund as a Ponzi, MLM, Matrix type variant scheme where getting people to pay subscription for some fictitious service or product is the name of the game.
Here is how the game is suppose to be pay.
The Aha Moment! I finally get the crowdfunding and social network analogy. (Sarcasm)
Basically, you pay $149 because when you get someone else to pay $149, you get paid $50. Also, whenever you get someone to pay $149 or when someone you get to pay $149 also get someone else to pay $149, you get $4. I suppose you should be wowed by how easily “crowdfunded” you can get.
The whole scheme works on the premise that it would be easy for you to get at least three people to pay $149 and it would also be easy for the people you get to pay $149 to get another 3 people to pay $149.
How that would be easy is beyond me.
Such schemes are not exactly original and historically only works out for its creators. It will be same with Smashfund.
Right now it may be free to join but come closer to July 2016, majority of the people who joined Smashfund will have less than 3 invites who will pay $149 a month. Which means they can’t make a profit and it is only natural that they will quit.
A chain reaction that will make Smashfund crash before it even takes off.
Off course, the people behind Smashfund knows this. That is why they are locking in your credit card details.
Selling Your Credit Card Details
While it is free to join till July 2016, Smashfund requires you to enter your credit card details when you register to join Smashfund.
As I mentioned earlier, there is no option to cancel your account or remove your credit card details once you register. If you have used your real credit card details during registration, you might need to contact your credit card company if you want stop any charges from Smashfund.
Come July 2016, there are a few ways things might pan out for Smashfund:
Smashfund tries to charge $149 on those who joined during the free period
The small majority of affiliates who actually manage to bring a big enough crowd of people into Smashfund might still profit when $149 is deducted July 2016.
However, once money is involved, most people will wise up to the fact that they are losing money to Smashfund and will try their best to void their credit card details even if Smashfund has make it difficult thus far. Thus, affiliates who make money if in July 2016 will most likely lose money when Smashfund tries to charge the monthly fee again in August 2016.
Or Smashfund could also extend its free period… indefinitely
I suspect this could be the real motive of the Smashfund site. It was never their intention to make money from the $149 monthly. There is going to be legal backlashes if they decide to charge money for their fictitious service and the people behind Smashfund knows that. The whole shenanigan is to fool affiliates into promoting Smashfund so that the people behind Smashfund could generate leads and credit card details for very little effort. The leads and credit card details could then be sold or re purposed for other mischief.
Either way, this will not end well for affiliates who are promoting Smashfund.