Direct Selling Self-Regulatory Council Refers iCoinPro Earnings Claims to the FTC and Nevada Office of the Attorney General for Possible Enforcement Action

McLean, VA – July 5, 2023The Direct Selling Self-Regulatory Council (DSSRC) of BBB National Programs has referred direct selling company iCoinPro to the Federal Trade Commission (FTC) for possible enforcement action. The referral comes after iCoinPro failed to substantively respond to a DSSRC inquiry into aggressive earnings claims made on social media by iCoinPro salesforce members and on the iCoinPro public website.

DSSRC is an independent national advertising self-regulation program that monitors advertising and marketing claims in the direct selling industry. iCoinPro is a multi-level direct selling company that markets education, information, and training for cryptocurrency services.

 

At issue are social media earnings claims as well as testimonial claims on the iCoinPro website indicating that iCoinPro salesforce members can earn significant income and achieve financial freedom by participating in the iCoinPro business opportunity. Claims included:

  • “With the launch of our new and improved iCoinPro 2020 system you can potentially make money with bitcoin and crypto currencies literally anywhere – on the Beach, at the Pool, or at Home on your computer, any where you choose! The world is your oyster…” Video with copy stating “People are making a FORTUNE with cryptocurrency all over the world”
  • “Being debt free and living comfortably without the worry of financial obligations is all we’ve wanted and to live it now is a blessing!”
  • “Create time and financial freedom”
  • “Are you needing more financial freedom? Have you ever heard of Better Crypto/iCoinPro? I have a great opportunity for you right now! Many have been doing very well in this space and are planning on building a big team in this.”
  • “If you’re interested in the future of money or want to be able to get some extra income or replace your own and live free from a day job take a look at this educational program.”
  • “I worked a 9 to 5 job for 20 plus years! Did I find it rewarding? NO…I share my journey to show others that there’s opportunity beyond 9 to 5 job, opportunity to gain extra funds if that’s what you need, opportunity to be your own BOSS!!”
  • “Earn 4k a month without enrolling a single person”
  • “Financial Freedom is knocking. And it’s name is THE MICRO PROFIT SYSTEM.”
  • “This program has helped me make profits daily whether the market is up or down. You can also earn residual commission income.”
  • This is a perfect opportunity for you to invite your friends, family and anyone else that wants to see how we are teaching people the skills they can use to make a full time income from the comfort of their own home.

 

DSSRC expressed its concern that such earnings claims convey the message that the typical salesforce member can generally expect to earn significant, if not life-changing, income. After the inquiry was opened, DSSRC continued to identify additional claims proliferating on social media and the iCoinPro website stating that potential salesforce members can earn significant income from participating in the iCoinPro business opportunity.

Despite multiple attempts by DSSRC to engage with iCoinPro, the Company failed to substantively respond to DSSRC’s inquiry and made no efforts to substantiate the claims or meaningfully participate in the self-regulatory process. Pursuant to DSSRC Policies and Procedures, iCoinPro has now been referred to the FTC and the Nevada Office of the Attorney General for possible enforcement action.

All BBB National Programs case decision summaries can be found in the case decision library. For the full text of DSSRC decisions, visit the DSSRC Cases and Closures webpage.

About BBB National Programs: BBB National Programs, a non-profit organization, is the home of U.S. independent industry self-regulation, currently operating more than a dozen globally recognized programs that have been helping enhance consumer trust in business for more than 50 years. These programs provide third-party accountability and dispute resolution services that address existing and emerging industry issues, create a fairer playing field for businesses, and a better experience for consumers. BBB National Programs continues to evolve its work and grow its impact by providing business guidance and fostering best practices in arenas such as advertising, child-and-teen-directed marketing, data privacy, dispute resolution, automobile warranty, technology, and emerging areas. To learn more, visit bbbprograms.org.

About the Direct Selling Self-Regulatory Council: The Direct Selling Self-Regulatory Council (DSSRC), a division of BBB National Programs, provides independent, impartial monitoring, dispute resolution, and enforcement of false product claims and income representations made by direct selling companies and their salesforce members across digital platforms. The DSSRC seeks to establish high standards of integrity and business ethics for all direct selling companies in the marketplace.

Contact Information

Name: Jennie Rosenberg
Email: jrosenberg@bbbnp.org
Job Title: Media Relations

National Advertising Division Recommends Cash App Financial Services Platform Discontinue or Modify Megan Thee Stallion Video About Investing

New York, NY – November 21, 2022 – To prevent a company from conveying to consumers the unsupported message that consumers can achieve significant wealth with minimum investment, the National Advertising Division (NAD) of BBB National Programs recommended that Cash App discontinue or modify its video commercial with Megan Thee Stallion telling consumers they can invest as little as a dollar alongside images of a coin going down and up, followed by her adding a gold bar to a stack of gold bars and saying that “with my knowledge and your hustle, you’ll have your own empire in no time.”

The claims at issue were challenged by NAD as part of its routine independent monitoring of truth and transparency in U.S. national advertising.

Cash App is a brand name of a financial services platform operated by Block, Inc. that provides a variety of financial payment and investment-related services, including allowing consumers to invest in stocks and Bitcoin.

You’ll Have Your Own Empire in No Time”

NAD’s inquiry focused on whether the exaggerated statement “You’ll have your own empire in no time” is hyperbole that consumers would not take literally or conveys a message requiring support.

NAD noted that where an objective representation is made (i.e., termed in fact rather than opinion) regarding the performance or other tangible attributes of a product, that is sufficiently specific and material enough to create expectations in consumers, then substantiation for the claim is required.

Although the claim “You’ll have your own empire in no time” standing alone might be vague, non-actionable puffery, it is accompanied by images of bouncing coins beside accumulating gold bars. Further, NAD found that the express claim is made in the context of advertising touting that consumers can invest as little as $1 on Cash App, and thus appeals to an audience that may not be familiar with the risks associated with investing or the volatility associated with Bitcoin in particular.

NAD determined that while consumers may understand that they will not achieve the success of Megan Thee Stallion or create an empire, they could also reasonably take away the implied message that Bitcoin investing generates significant wealth with minimum investment, an objective message requiring support. According to NAD, there was no support for this message.

Further, NAD concluded that the audio (“Bitcoin is an investment” for which “the price can go “up and down by the hour”) and written (“Investing has risks: you may lose money”) disclosures in the video were not clear and conspicuous.

In its advertiser statement, Cash App stated that it “agrees to comply with NAD’s recommendations” and that it “has not hosted or distributed the video since March 31, 2022, and has no plans to do so in the future.” The advertiser further stated that it respectfully disagrees with NAD’s conclusion about the message conveyed by the video and noted that it “fully complies with all regulatory requirements regarding the sale of Bitcoin.”

All BBB National Programs case decision summaries can be found in the case decision library. For the full text of NAD, NARB, and CARU decisions, subscribe to the online archive.

 

About BBB National Programs: BBB National Programs is where businesses turn to enhance consumer trust and consumers are heard. The non-profit organization creates a fairer playing field for businesses and a better experience for consumers through the development and delivery of effective third-party accountability and dispute resolution programs. Embracing its role as an independent organization since the restructuring of the Council of Better Business Bureaus in June 2019, BBB National Programs today oversees more than a dozen leading national industry self-regulation programs, and continues to evolve its work and grow its impact by providing business guidance and fostering best practices in arenas such as advertising, child-directed marketing, and privacy. To learn more, visit bbbprograms.org.

About the National Advertising Division: The National Advertising Division (NAD) of BBB National Programs  provides independent self-regulation and dispute resolution services, guiding the truthfulness of advertising across the U.S. NAD reviews national advertising in all media and its decisions set consistent standards for advertising truth and accuracy, delivering meaningful protection to consumers and leveling the playing field for business.  

Contact Information

Abby Hills
Director of Communications
BBB National Programs
703.247.9330 / press@bbbnp.org

Novus Releases Positive Earnings For 3rd Quarter 2022

Regulation Reform Places Employer-Sponsored Health Plans as a Great Cannabis Distribution Model to Consumers

 

MIAMI, FL – AccessWire – November 15, 2022, – Novus Acquisition and Development, Corp. (OTC Markets: (NDEV), through its wholly-owned subsidiary WCIG Insurance Services, Inc. Operates as a national supplemental health insurance carrier and, the nation’s first health carrier offering cannabis that is included in health plans for recreational and medicinal users. Announces the release of its 3rd quarter interim statement.

 

In Novus’ 3Q, 2022 statement demonstrates positive earnings, the integration of an online pharmacy managed by Plitio to provide our cannabis policyholders with online ordering of prescription meds, and the latest state referendums that continue to support cannabis in employee benefit packages.

 

Financial Highlights:

For the 3rd quarter of Novus’ Fiscal Year of 2022, the points below show the financial condition of the Company’s business model.

  • No Dilution: No common stock was issued in the last six consecutive quarters. All third-party vendors who received stock issued from treasury are subject to a mandatory leak out of securities which is 15% of the average daily trading volume, computed over the last 30 trading days.
  • Three-Month Gross Revenue Increase: Gross Revenue increased $9,506 or 12.27% to $77,461 for the three months ended September 30, 2022, as compared to $67,955 for the three months ended September 30, 2021.
  • Three Month Net Revenue Increase: Net Revenue, increased from $43,067 to $47,044 an increase of 8.45% or $3,977 on September 30, 2022, as compared to the three months ended September 30, 2021.
  • Profit Margin: On September 30, 2022, the company demonstrated a 39.26% profit margin pricing structure in its business model up from 38.58% three months ended September 30, 2021
  • Shareholder Equity Increase: An increase of $72,361 or 4.65% which is $1,554,250 on September 30, 2022, from $1,481,889 on September 30, 2021.
  • Cash and Cash Equivalents: Increased to $179,661 on September 30, 2022, or 11.9%, an increase from $158,195 for the same period ended September 30, 2021.

 

Online Pharmacy Adaptation:

It’s been six years of building an infrastructure of a Provider Network of cannabis verticals that integrates cannabis in our health plans, and we find ourselves on the precibus of re-scheduling cannabis under federal law.

Management has set its plans for the future in giving cannabis policyholders more healthcare options for their cannabis benefits. Projecting the beginning of 2023, Novus will offer prescription medication through an online pharmacy platform with a Canadian developer known as Plitio.

The deal calls for private labeling of the intellectual property in the name of Novus. The technology backbone of the platform will remit and distribute prescriptions at a discount of as much as 50% on generic meds.

Frank Labrozzi, Novus’ CEO, states; “This alliance offers threefold advantages, more revenue to our Provider Network, immense discounts to our policyholders on their prescriptions and/or cannabis meds, all leading to generating more policyholder sales for our shareholders.”

Kayhan Moayeri, Plitio CEO, states: “We see that our technology and prescription drug plans offered by Novus, will simultaneously expand each of our company’s marketplace presence, benefiting providers and policyholders.

 

Cannabis Regulation Reform:

California has taken in nearly $4 billion in marijuana tax revenue since 2018, last year, increased 55 percent more from cannabis. Being one of our largest markets in cannabis we determined that many states would follow suit.

Here is the regulatory landscape that increasingly supports cannabis in health plans for the consumer:

  • Interstate Commerce: California SB 1326 permits interstate cannabis commerce from California to other legal states.
  • Insurance Codes: California AB 2568, Insurance Code, is not a crime under California law solely for providing insurance or related services to persons licensed to engage in commercial cannabis activity pursuant to this division.
  • Patient Rights: California B1954, physicians cannot be penalized for administering treatment to a patient who uses medical marijuana in compliance with state law.
  • Fair Employment and Housing Act: California B2188: Eliminates employment-based THC testing and prohibits penalizing a person solely because of off-duty cannabis use.

 

Conclusion Cannabis in the Workplace

As Management continues to negotiate and finalize agreements of embedding our cannabis health plans with regional and national health carriers, we overcame the obstacles concerning conflicts with the Drug-Free Workplace Act and state laws authorizing cannabis use.

Fortunately, The Patient Rights Act and Insurance Codes prompted Human Resource Departments to rewrite their policies concerning cannabis. Aside from employee safety issues, employers are approving the adaptation of policies in accordance with the Responsible and Equitable Regulation of Adult-Use Cannabis (RERACA). What’s changed their minds? Since COVID the zero-tolerance employer is confronted with daily struggles in staffing shortages, recruitment, telework demand, and retention issues which top their priorities directly.

Three things investors need to know that Novus’ business model,

  1. We are not solely dependent on the end of cannabis prohibitions since insurance codes work primarily at the state level.
  2. Legislative reform obviously will bring more significant changes, the not so popular, higher taxes on recreational cannabis, driving consumers from being rec users to becoming med users, and,
  3. Employers are faced with an ever-changing landscape, as employees want cannabis in their health benefits, provoking HR department to entice and retain staffing deficiencies.

 

 

 

 

About Novus

Novus Acquisition & Development Corp. (NDEV), through its subsidiary WCIG Insurance, Services, Inc. provides health insurance and related insurance solutions within the wellness and medical marijuana industries in states where legal programs exist. Novus has developed its infrastructure within many lines of the insurance business such as health, life, and fixed annuities. As a carrier Novus relies on two key indicators to measure value and performance. The Benefit Monetization Ratio is defined as the total number of policies, monetized annually, which is offset by the operating cost ratio which is a Balance Sheet line item computed as Net Asset Value.

Novus’ medical cannabis benefits package will work as outside developers and will not cultivate, handle, transport grow, extract, dispense, put up for sale, put on the market, vend, deliver, supply, circulate, or trade cannabis or any substances that violate the United States law or the Controlled Substances Act, nor does it intend to do so in the future and will continue to follow state and federal laws. The statements made about specific products have not been evaluated by the United States Food and Drug Administration (FDA) and are not intended to diagnose, treat, cure, or prevent disease. All information provided on these press releases, or any information contained on or in any product label or packaging is for informational purposes only and is not intended as a substitute for advice from your physician or other health care professional. All cannabis transaction is solely between the state-licensed dispensary and the registered patient.

The state laws conflict with the federal Controlled Substances Act. The current administration has effectively stated that it is not an efficient use of resources to direct federal law enforcement agencies to prosecute those lawfully abiding by state-designated laws, allowing the use and distribution of medical marijuana. Changes in consolidation may affect the provider network. However, there is no guarantee that the current administration, nor any future administration, will not change this policy and decide to enforce the federal laws strongly. Any such change in the federal government’s enforcement of current federal laws could cause significant financial changes. While we do not intend to harvest, distribute, or sell cannabis or cannabis-related products, we may be harmed by a change in enforcement by federal or state governments.

Forward-Looking Statements

This release includes forward-looking statements, which are based on certain assumptions and reflect management’s current expectations. These forward-looking statements are subject to a number of risks and uncertainties that could cause actual results or events to differ materially from current expectations. Some of these factors include: general global economic conditions; general industry and market conditions and growth rates; uncertainty as to whether our strategies and business plans will yield the expected benefits; increasing competition; availability and cost of capital; the ability to identify and develop and achieve commercial success; the level of expenditures necessary to maintain and improve the quality of services; changes in the economy; changes in laws and regulations, includes codes and standards, intellectual property rights, and tax matters; or other matters not anticipated; our ability to secure and maintain strategic relationships and distribution agreements. Novus disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise. Additionally, this press release that is not statements of historical fact may be considered to be forward-looking statements. Written words, such as “may,” “will,” “expect,” “believe,” “anticipate,” “estimate,” “intends,” “goal,” “objective,” “seek,” “attempt,” or variations of these or similar words, identify forward-looking statements. By their nature, forward-looking statements and forecasts involve risks and uncertainties because they relate to events and depend on circumstances that will occur in the near future.

 

Investor Contact Information

855-228-7355

Email: info@getnovusnow.com

Contact Information

Name: Frank Labrozzi
Email: frank@ndev.biz
Job Title: CEO