InvesableAI: Is It a Crypto Ponzi Scheme? The Truth Exposed (Latest Update 2023)
InvesableAI, a recent entry in the cryptocurrency MLM arena, presents itself as a promising venture. But, like many investments in the MLM (Multi-Level Marketing) world, it’s crucial to scrutinize its legitimacy. This article will critically analyze the operational model, the people behind the company, their compensation plans, and their regulatory compliance.
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InvesableAI: The Founders and Key Personnel
InvesableAI’s website introduces its co-founders – Lee Dalton and Richmond Ray Gonzales. Both gentlemen are listed as the company’s CEOs.
Interestingly, neither Dalton nor Gonzales has a traceable MLM background, raising the question of whether they are merely figureheads for the company.
The Australian-Malaysian Connection: Lee Dalton
Dalton’s accent suggests Australian roots. However, his LinkedIn profile indicates that he currently resides in Malaysia.
The Singaporean Link: Richmond Ray Gonzales
Richmond Gonzales is believed to be a Singaporean national, with a few years of professional experience in Australia.
The American Marketing Director: Reid Fletcher
Another key player in InvesableAI’s operations is Reid Fletcher, the Marketing Director. Fletcher, who uses the alias “Reid Alan” on Facebook, is reportedly based in Virginia, USA.
Fletcher’s role in the Gate cryptocurrency exchange, primarily serving Russia, is also noteworthy.
The Products Offered by InvesableAI
Unlike traditional companies, InvesableAI does not offer any tangible products or services for retail. The only thing that affiliates can market is the affiliate membership itself.
How exactly does a Ponzi scheme operate?
An investment fraud known as a Ponzi scheme draws investors with claims of great returns and no risk but fails to invest the money as stated. Instead, it pays off earlier investors with money from future investors while maybe keeping a portion of the profits. These schemes typically fail when recruiting investors becomes challenging or when multiple investors attempt to cash out. They depend on a steady flow of new buyers to operate. They are called after Charles Ponzi, who ran a similar scam using postal stamps in the 1920s.
InvesableAI’s Compensation Structure
InvesableAI encourages affiliates to invest USD equivalents in cryptocurrency, promising lucrative returns based on the invested amount.
Investors are offered three investment packages:
- Starter Plan: For a $50 investment, you receive 112.5% over 25 days.
- Accelerator Plan: For a $500 investment, you receive 125% over 25 days.
- Fortune Plan: For a $3000 investment, you receive 150% over 25 days.
InvesableAI’s referral commissions are paid through a unilevel compensation structure, capped at six levels. The commissions are paid as a percentage of the cryptocurrency invested across these six levels, with the percentage varying based on the level of investment by the affiliate.
For instance, the Beginner level offers a 6% commission on level 1, 2% on level 2, and 1% on level 3. On the other hand, the Advanced level (requiring a minimum investment of $3000) offers a 7% commission on level 1, 3% on level 2, 2% on level 3, and 1% on levels 4 to 6.
InvesableAI incentivizes affiliates to recruit more affiliates who can match their investment amount. For example, an affiliate at the Metal level (investing $5000) who can generate $5000 in personally recruited affiliate investment volume can earn a bonus of 2% of $5000 ($100).
Team Turnover Bonus
Affiliates are rewarded for generating downline investment volume. For example, at the Starter level, an affiliate generating $10,000 in downline investment volume receives 2% of the $10,000 ($200).
Joining InvesableAI as an affiliate is free, but full participation in the income opportunity requires a minimum investment of $50. The company accepts investments in various cryptocurrencies.
Regulatory Compliance: Is InvesableAI Legit?
InvesableAI claims to generate external revenue through an AI trading bot. However, the lack of verifiable proof and the absence of any history of expertise in AI or cryptocurrency trading by the founders raises questions.
Furthermore, despite the company’s operation in multiple countries (Malaysia, Singapore, and the US), there is no evidence to suggest that it has registered with any financial regulatory body in these jurisdictions. This lack of transparency implies potential securities fraud.
InvesableAI’s False Claims
InvesableAI’s website carries misleading statements, claiming that it is a licensed and regulated investment company. These claims are unsubstantiated, as there is no evidence of any registration or regulation by a financial regulator in any jurisdiction.
The Reality Behind the Facade
The absence of a tangible product or service, the lack of transparency about regulatory compliance, and the unsustainable compensation model suggest that InvesableAI operates as a Ponzi scheme. As with any Ponzi scheme, the collapse is imminent once the influx of new investors slows down.
The Potential Risks
Participating in such schemes can be risky. The mathematics of Ponzi schemes guarantees that the majority of participants will lose money when the scheme collapses.
While cryptocurrency investments are prevalent today, it’s crucial to scrutinize the legitimacy of the platforms offering these opportunities. This company, with its lack of transparency and questionable operational model, appears to be a risky venture.
Investors must exercise caution while dealing with companies like InvesableAI. Always verify a company’s claims about its products, services, and regulatory compliance. Remember, if something seems too good to be true, it probably is.