Dreams Digger, a cryptocurrency multi-level marketing scheme operating from Salvador, Brazil, collapsed recently, leaving an unknown number of investors without their funds. The company promoted an arbitrage trading bot called "Next" as its primary investment vehicle.

The company’s public-facing leadership remains obscure. Leonardo Araujo, identified as CEO, has a history in network marketing dating back to 2015, but direct verification linking him to Dreams Digger was not possible. The company’s website offers no biographical details for Araujo. This lack of transparency regarding company leadership is a common red flag in fraudulent operations.

Dreams Digger offered two main components to its members: the "Next" trading bot and an in-house educational platform. Retail customers paid an annual fee of $10 for access to the Next bot, into which they then invested capital with the promise of returns. The educational platform, marketed as a tool to gain insight into the cryptocurrency market and develop expertise, was accessible to both investors and affiliates.

The compensation structure for Dreams Digger affiliates relied heavily on recruitment and the generation of investment into the Next bot. Commissions were paid both for bringing in new affiliates and for the capital those recruits invested. The company detailed ten distinct affiliate ranks, ranging from "Affiliate" to "President," each with specific qualification criteria based on "Group Volume" (GV). GV was calculated from the recruitment of affiliates through Pro or Enterprise Packs and from every $50 invested into the Next bot.

Direct commissions included a 10% payout on funds invested by retail customers into the Next bot. Affiliates also received a 10% commission on membership fees paid by their personally recruited affiliates, along with another 10% on the investment capital of these new recruits.

The scheme employed a binary compensation plan for residual commissions. In this structure, affiliates build two teams, left and right. Sales volume (GV) generated by new affiliates and investments was tallied daily. Affiliates at the Pro Pack tier received 50% of the GV on their weaker team side, while Enterprise Pack tier affiliates earned 60%. Daily residual commissions were capped at $5,000 per affiliate. Any GV paid out was then matched against the stronger side of the binary team and flushed, with remaining volume on the stronger side carried over to the next day.

A Matching Bonus was also offered, structured through a unilevel compensation system. This bonus paid out on residual commissions earned by downline affiliates, capped at three levels. Personally recruited affiliates (level 1) yielded a 10% match, level 2 affiliates generated a 7% match, and level 3 affiliates provided a 3% match. An additional "Leadership Bonus" allocated 25% of GV generated by affiliate membership fees to top-tier participants.

The collapse of Dreams Digger follows a pattern seen in many cryptocurrency arbitrage bots that function as Ponzi schemes. These operations promise high returns generated by automated trading, but in reality, early investors are paid with funds from later investors. When recruitment slows or investment dries up, the scheme inevitably collapses, leaving the majority of participants with significant losses. Victims seeking assistance can contact the U.S. Securities and Exchange Commission’s Office of Investor Education and Advocacy.