Understanding 8 Types of Smart-Contract-Based MLM Plans

If you have decided to set-up an MLM (multi-level marketing) business, you have made the right decision. Considering the inefficiencies in the conventional process, smart-contract-based MLM is a better option.

An ideal way to quickly move ahead while reducing the development time and cost is to pick a smart contract based MLM script. However, an important decision in this regard is to choose between the various types of plans.

• Binary Plan

All users in a binary plan have down-lines named as Right leg/Left leg or Power leg/Profit leg. Only two people can directly associate with a member. If a third person wants to join their downline, he/she will have to join one of their legs. This is termed as spillover. Once a member joins a leg, the profit is shared among all up-lines in the leg. This system encourages up-lines to work for their down-lines. When both the legs reach the same depth, maximum profit is reached.

A major advantage of the binary plan is that the earnings begin when you join two new members. Other advantages include spillover, unlimited depth, multiple business centers, volume-driven plan, and fast expansion.

The binary plan is one of the popular plans for MLM – several smart contract MLM clone script solutions are built using this plan.

• Matrix Plan

Smart-contract-based Matrix MLM script comes with a set structure with a pre-determined width and height (w*h). Once the first level is filled, the members cascade to the next levels. It keeps tabs on the number of distributors who can be sponsored at the first level. Matrix plan also encourages people in the up-lines to support members in the down-lines else they won’t succeed in earning.

This plan restricts the number of distributors who can join at the first level, usually to less than five. Commonly used matrix MLM plans include 2×2, 4 x 7, 5 x 7, 3 x 9 and 2×12. One can locate the number of forefront members based on the breadth plan.

• Board Plan

Also termed as the Revolving Matrix Plan, the board gets split when filled while the board leader moves to the second board. The plan helps in better productivity, especially for those who have chosen it as a part-time distributor. It is a complex plan, so make sure the software script has been well-examined for errors and vulnerabilities.

A 2×2 board plan is a commonly used board plan. This one constitutes each member referring to two other people. It would continue until all the board positions get filled. As soon as the number of members gets over the board limit, it is segregated into two sub-boards. The member at the top is moved to a higher level.

• Unilevel Plan

It is an unlimited breadth unilevel plan, so the members can refer as many members directly to them as they may want. Everyone they have sponsored is a frontline and there is no spillover. As there are no restrictions on the width, they can stretch the width to any extent of their choice. With a wide base, they can build a strong network down the line. A unilevel plan can be a good choice, whether an organization is big or small. You will find various smart contract based MLM script solutions built on the unilevel plan.

• Gift Plan

Used for crowdfunding and donation, it is a simple MLM plan with uncomplicated features. More people can join it to contribute it to a charity project. The gift plan considerably enhances your chances of getting higher returns. People may donate gifts to one another and gain wealth as well in the process. Gift plans are based on a futuristic concept of multi-level marketing.

• Hybrid Plan

A combination of two or more conventional MLM compensation plans, the hybrid plan involves processes where only one step can be focused on for a given period. Most hybrid plans are a mix of binary and unilevel MLM plans. However, you may get the plan customized according to your specific requirements. The participants get paid to an X number of levels. As the team grows, down-line members are accorded priority in payments.

• Monoline Plan

With a straight line having just one leg for each member, the monoline or linear MLM plan introduces you to a simple concept. Every new member joins as a downline of a member who is at the bottom-most level. The plan lets you promote your enterprise at a low cost and improves your appeal to the masses. Members have an opportunity to earn whenever a new member joins the network.

• Spill Over Binary Plan

When a member refers more than required down-lines, the plan treats extra joining IDs as spill over. The up-lines get extra benefits for this spillover. An enterprise is segregated into two parts like the left and right leg. Every member, when referring to a new member makes them join as a down-line in the first stage. Profit grows as the person who has joined the down-line begins their work.

Summing up

When setting-up your MLM business, it is important that you choose the right plan. Additionally, if you wish to leverage smart contract MLM clone script to accelerate the development and launch of your platform, make sure to choose the one that aligns with your business requirements.

At Antier Solutions, we are known to provide smart-contract-based MLM clone scripts to expedite the deployment of your MLM project. In addition, we specialize in building a custom MLM platform from the ground up.

Schedule a free demo of our smart contract based MLM script solutions or connect with our subject matter experts to share your business needs.