Plutus
| Basic information | |
|---|---|
| Founded | 2015 |
| Type | Private |
| Industry | Cryptocurrency |
| Official website | https://www.plutus.it/ |
Plutus is a cryptocurrency company founded in 2015[1] that marketed itself as a crypto cashback platform, allowing users to earn rewards in Pluton (PLU) tokens when making purchases with their Plutus debit card. The idea was to offer a Web3 banking alternative, where users could spend their crypto and earn cashback in PLU, which could then be used for further purchases or staking benefits.
They claimed to offer up to 8% PLU Cashback on purchases and additional perks such as subscription-free access to their services compared to competitors like Crypto.com, which required staking. However, over time, users raised concerns about withdrawal limits, PLU liquidity, and reward reductions, which led to skepticism about the sustainability of the model.
Plutus originally positioned itself as a crypto cashback and Web3 banking platform, offering users up to 8% cashback in Pluton (PLU) tokens when using their Plutus debit card. However, over time, the company has made a series of abrupt and controversial changes that many users feel amount to forced arbitrage and deceptive practices.
Consumer-impact summary[edit | edit source]
Incidents[edit | edit source]
This is a list of all consumer-protection incidents this company is involved in. Any incidents not mentioned here can be found in the Plutus category.
Sudden Policy Changes & Forced Arbitrage[edit | edit source]
Plutus has repeatedly changed its terms overnight, significantly reducing cashback rewards and increasing the amount of PLU required to maintain benefits. Users who initially invested thousands—some over $20,000+—to qualify for 5-7% cashback suddenly found themselves downgraded to lower tiers, receiving the same benefits as users who had spent far less.
Hidden & Unfair Fees[edit | edit source]
- 33% PLU Withdrawal Fee: Plutus introduced a massive 33% withdrawal fee for moving PLU to an external wallet, without prior notice. This removed the option for users to pay the £15 withdrawal fee to cover Ethereum gas costs, leaving them trapped with their tokens.
- Gift Card Deception: Plutus advertised that 1 PLU could be redeemed for a £10/€10 gift card, but in reality, users were forced to pay an additional £8/€8 in fiat, making this so-called benefit essentially useless.
- EU Swap Feature – 50% Fee: For EU users, Plutus introduced an in-app swap feature to convert PLU to fiat, but with an outrageous 50% fee, rendering the feature impractical.
- "Free" PLU Withdrawals - Not Really Free: They recently promoted free PLU withdrawals to external wallets, but users soon discovered that this required an "upgrade" to a higher tier, forcing them to buy even more PLU to access what was advertised as free.
Fiat Withdrawal Issues & Compliance Excuses[edit | edit source]
Plutus also stopped fiat withdrawals, citing compliance issues and promising the pause was temporary. However, two years have passed, and fiat withdrawals remain unavailable, leaving many users without access to their own funds.
Trust & Legality Concerns[edit | edit source]
These sudden, unfair changes have sparked serious concerns about Plutus' legitimacy. Users argue that implementing fees without notice, changing cashback tiers overnight, and blocking withdrawals should be illegal. The lack of transparency has led many to believe that Plutus prioritises locking users into their ecosystem and forcing them into unfavorable conversions and fees rather than providing the benefits they originally promised.
In the beginning, Plutus actively promoted the use of PLU in external wallets and third-party exchanges, encouraging users to hold, trade, and utilize their tokens outside the Plutus ecosystem. However, in a sudden and unannounced policy shift, users who transferred PLU from their external wallet to an exchange found themselves classified as "misusing", their platform which resulted in penalties and restrictions on their accounts, aka blocking your account and giving no access to PLU. If you decide you want to close your account and have your Plu sent to your external wallet, the plu held in the app will be forfeited.
This move essentially punished users for engaging in normal crypto trading activities, making them feel like criminals for absolute normal behaviours. contradicting Plutus’ earlier messaging about PLU being a freely tradable asset. Many users feel this was yet another tactic to trap PLU within the Plutus ecosystem, limiting liquidity and forcing users into unfavorable redemption options with hidden fees and restrictions.
To find users that are experiencing issues, https://www.reddit.com/r/Plutus_Uncensored/