3 min article

Multi-level marketing, pyramid and matrix programmes policy

Multi-level marketing, pyramid, and matrix programs are often regulated, or illegal, and are not allowed to be listed or advertised on eBay.

Policy overview

The listing and advertising of multi-level marketing programmes (including online payment randomisers), matrix, pyramid, Ponzi schemes, and all similar programmes are not permitted on eBay. Such programmes are often regulated or illegal.

Activity on eBay is required to follow this policy, the eBay User Agreement and all applicable laws, as well as respect the rights of third parties. If it doesn’t, eBay may take action consistent with applicable laws and the eBay User Agreement, and may even be legally required to do so. Such actions may include, as an example only: Removing the listing or other content, issuing a warning, restricting activity or account suspension.

Some Examples

Multi-level marketing:

  • This includes any business in which a person receives proceeds from both his or her own sales, as well as those of recruited members.
  • Online payment randomisers (because the majority of commissions are paid for recruitment of new members and typically operate by random placement within the programme).

Pyramid schemes: Pyramid schemes generally ignore the actual selling of products and services and concentrate on the commissions one could earn by recruiting new distributors. Pyramid schemes may or may not involve the sale of products.

Matrix Programmes: These are defined as business models that involve the exchange of money primarily for being added to a waiting list for a product, if the person at the top of the list receives a product only once a set number of people have joined below him or her.

 

Why does eBay have this policy?

eBay urges its sellers and buyers to comply with all governmental laws and regulations. Since multi-level marketing, pyramid, matrix and similar programmes are illegal, regulated or may cause harm to eBay or its members, sellers may not list them.

 
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