Most likely.

What is MLM:

MLM means that the organizer or operator develops people and calculates and Pay remuneration, or require the person being developed to pay a certain fee to obtain membership qualifications. Its purpose is to obtain illegal benefits, disrupt economic order, and affect social stability.

It is necessary to judge whether it is a pyramid scheme based on legal regulations and specific operation models.

The following behaviors in Article 7 of the "Regulations on Prohibition of Pyramid Selling" belong to pyramid schemes:

(1) The organizer or operator, through the development personnel, requires the development personnel to develop other personnel to join, Calculate and pay remuneration (including material rewards and other economic benefits, the same below) to development personnel based on the number of direct or indirect development personnel, and seek illegal benefits;

(2) Organizers Or the operator, through developing personnel, requires the developed personnel to pay fees or pay fees in disguised form by subscribing for goods, etc., to obtain the qualifications to join or develop other personnel to join, and seek illegal benefits;

(3) Organizers Or the operator, through development personnel, requires the development personnel to develop other personnel to join, forming an upline and downline relationship, and calculates and pays upline remuneration based on the sales performance of the downline, and seeks illegal benefits.

Obvious characteristics of MLM:

1. The price of MLM products seriously deviates from the actual value of the product itself. Some MLM products have no use value or value at all, and the service items are purely fictitious. ;

2. The income gained by participants does not come from the reasonable profits obtained from selling products or services, but from the fees paid by others when they join.