MemeGames fails to supply possession or government info on its web site.
MemeGames’ web site area (“memegames.ai”), was privately registered on an unknown date.
By way of the WayBack Machine nevertheless, we will see MemeGames’ printed a beta web site in or round June 2024.
On December seventeenth, 2024, serial rip-off promoter Sal Khan cited Eric J. Dalius as MemeGames’ founder and CEO:
Eric J. Dalius, aka EJ Dalius, is a convicted felon. Dalius pled responsible to legal expenses associated to “multi-level advertising and marketing fraud” in 2001.
Extra lately Dalius was sued by the SEC for securities fraud. The SEC’s fraud allegations in opposition to Dalius pertained to his collapsed Saivian Ponzi scheme.
Saivian solicited funding from customers below the guise of producing income through promoting of receipt knowledge.
The SEC filed swimsuit in opposition to Dalius in 2018, alleging Saivian was a $165 million Ponzi and pyramid scheme.
Between October 26, 2015 and September 1, 2017, Saivian raised hundreds of thousands of {dollars} from Cashback Members in america and overseas.
Most of this was misappropriated by Dalius to help a lavish life-style for himself and his household.
Opposite to their claims, Saivian didn’t generate any income from the sale of POS receipts.
As a substitute, Saivian’s income was generated virtually solely from membership gross sales to Cashback Members themselves.
Like a basic Ponzi scheme, Saivian glad promised returns to some buyers — within the type of 20% cashback on buying purchases — via the investments of different buyers relatively than any underlying, respectable, industrial exercise.
Dalius settled the SEC’s Saivian fraud expenses for $24 million in February 2023.
Amid the SEC’s ongoing litigation, Dalius launched MuzicSwipe in 2021.
MuzicSwipe is a music and content material discovery platform designed to maximise new music discovery and optimize the artist to fan relationship.
MuzicSwipe seems to have been deserted in late 2023. MuzicSwipe’s web site has since been disabled.
Now, Dalius has reemerged with MemeGames.
Learn on for a full evaluation of MemeGames’ MLM alternative.
MemeGames’ Merchandise
MemeGames has no retailable services or products.
Associates are solely in a position to market MemeGames affiliate membership itself.
MemeGames’ Compensation Plan
MemeGame associates put money into MG Coin, an inside factors system created by MemeGames to trace affiliate funding.
- 1 Star Founder – make investments $1000 and obtain 1000 MG Cash
- 2 Star Founder – make investments $2000 and obtain 2000 MG Cash
- 3 Star Founder – make investments $3000 and obtain 3000 MG Cash
- 4 Star Founder – make investments $4000 and obtain 4000 MG Cash
- 5 Star Founder – make investments $6000 and obtain 6000 MG Cash
As soon as invested in MG Coin is used to take part in a three-tier funding scheme dressed up as a sport.
MemeGame’s “sport” sees affiliate buyers log in and click on a button.
Two choices are offered, supposedly equivalent to certainly one of two memecoins (third-party scams in their very own proper), growing in worth of the subsequent 24 hours.
Traders “win” if their chosen memecoin will increase in worth over the opposite memecoin possibility.
Utilizing this mannequin, MemeGames pitches customers on passive returns of as much as 1000% each 8 hours, paid in MG Tokens
- make investments on the 10 MG Coin tier and obtain 100 MG tokens if you happen to place within the prime 1%, 90 MG Tokens within the prime 2%, 80 MG Tokens within the prime 3%, 70 MG Tokens within the prime 4%, 60 MG Tokens within the prime 5%, 50 MG Tokens within the prime 6%, 40 MG Tokens within the prime 7%, 30 MG Tokens within the prime 8%, 20 MG Tokens within the prime 9% and 10 MG Tokens within the prime 10%
- make investments on the 25 MG Coin tier and obtain 250 MG Tokens if you happen to place within the prime 1%, 225 MG Tokens within the prime 2%, 200 MG Tokens within the prime 3%, 175 MG Tokens within the prime 4%, 150 MG Tokens within the prime 5%, 125 MG Tokens within the prime 6%, 100 MG Tokens within the prime 7%, 75 MG Tokens within the prime 8%, 50 MG Tokens within the prime 9% and 25 MG Tokens within the prime 10%
- make investments on the 100 MG Coin tier and obtain 1000 MG Tokens if you happen to place within the prime 1%, 900 MG Tokens within the prime 2%, 800 MG Tokens within the prime 3%, 700 MG Tokens within the prime 4%, 600 MG Tokens within the prime 5%, 500 MG Tokens within the prime 6%, 400 MG Tokens within the prime 7%, 300 MG Tokens within the prime 8%, 200 MG Tokens within the prime 9% and 100 MG Tokens within the prime 10%
MG Token is one other are inside factors system created by MemeGames to trace affiliate funding.
Traders are sorted into percentages based mostly on the proportion distinction between after they clicked a button and the closing public buying and selling worth of the memecoin possibility on the finish of the 8 hour funding interval.
Players whose % change rank throughout the prime 1% will obtain an award of tokens equal to 10 instances the sport’s entry free.
From the language above, it’s not fully clear however the “prime 1%” is both measured by how huge or small the proportion distinction is (one excessive or the opposite).
Additionally notice that
- MemeGames buyers who don’t qualify for a every day ROI obtain their tier funding again (10, 25 or 100 MG Cash).
- MG Coin funding expires after 30 days, after which new funding is required to proceed incomes
Cashing out passive returns sees MemeGames associates convert MG Cash for $200 in cryptocurrency.
The MLM facet of MemeGames pays on recruitment of affiliate buyers.
MemeGames Affiliate Ranks
There are eleven affiliate ranks inside MemeGames.
Together with their respective qualification standards, they’re as follows:
- Founder – join as a MemeGames affiliate, generate $100 in PV and recruit three affiliate buyers
- VIP Founder – keep $100 PV a month and generate $10,000 in downline funding quantity
- Elite Founder – keep $100 PV a month and generate $25,000 in downline funding quantity
- 1 Star Founder – keep $100 PV a month and generate $50,000 in downline funding quantity
- 2 Star Founder – keep $100 PV a month and generate $100,000 in downline funding quantity
- 3 Star Founder – keep $100 PV a month and generate $150,000 in downline funding quantity
- 4 Star Founder – keep $100 PV a month and generate $200,000 in downline funding quantity
- 5 Star Founder – keep $100 PV a month and generate $300,000 in downline funding quantity
- Director – keep $100 PV a month and generate $600,000 in downline funding quantity
- Gold Director – keep $100 PV a month and generate $900,000 in downline funding quantity
- Platinum Director – keep $100 PV a month and generate $1,500,000 in downline funding quantity
PV stands for “Private Quantity”. PV is mixed private funding quantity plus that of personally recruited associates.
GV stands for “Group Quantity”. GV is downline funding quantity generated by a MemeGames affiliate and their downline.
Day by day ROI
MemeGames pays a every day passive ROI corresponding with affiliate rank:
- qualify at Founder and obtain $5 a day
- qualify at VIP Founder and obtain $10 a day
- qualify at Elite Founder and obtain $25 a day
- qualify at 1 Star Founder and obtain $50 a day
- qualify at 2 Star Founder and obtain $100 a day
- qualify at 3 Star Founder and obtain $150 a day
- qualify at 4 Star Founder and obtain $200 a day
- qualify at 5 Star Founder and obtain $300 a day
- qualify at Director and obtain $500 a day
- qualify at Gold Director and obtain $750 a day
- qualify at Platinum Director and obtain $1000 a day
Rank Bonus
MemeGames permits associates to straight make investments into its 1 Star Founder to five Star Founder ranks.
This turns the every day commissions into an funding scheme for thirty days:
- make investments $1000 for the 1 Star Founder tier and obtain $50 a day ($1500 ROI)
- make investments $2000 for the two Star Founder tier and obtain $100 a day ($3000 ROI)
- make investments $3000 for the three Star Founder tier and obtain $150 a day ($4500 ROI)
- make investments $4000 for the 4 Star Founder tier and obtain $200 a day ($6000 ROI)
- make investments $6000 for the 5 Star Founder tier and obtain $300 a day ($9000 ROI)
To take care of the Rank Bonus for one more 30 days, a MemeGames affiliate should personally generate 300% in funding quantity over what they themselves invested.
E.g. if you happen to make investments on the $1000 1 Star Founder tier, you must recruit others who make investments at the very least $3000 over the 30-day interval.
It is a recurring requirement each 30 days. If an affiliate fails to satisfy this requirement they’re ranked as per the usual MemeGames affiliate ranks.
Rank Bonus Match
The extra a MemeGames affiliate invests, the upper the matching bonus paid out on personally recruited affiliate Rank Bonus returns:
- make investments on the 1 Star Founder tier and obtain a ten% Rank Bonus Match
- make investments on the 2 Star Founder tier and obtain a 20% Rank Bonus Match
- make investments on the 3 Star Founder tier and obtain a 30% Rank Bonus Match
- make investments on the 4 Star Founder tier and obtain a 40% Rank Bonus Match
- make investments on the 5 Star Founder tier and obtain a 50% Rank Bonus Match
Becoming a member of MemeGames
MemeGames affiliate membership is free. Notice nevertheless there seems to be an $135 “energetic price”, routinely deducted from earned MLM commissions:
How typically this price is deduced isn’t specified however it’s assumed to be month-to-month.
Full participation within the hooked up earnings alternative requires a minimal $1000 funding.
Notice that whereas USD quantities are quoted on this evaluation, all funds inside MemeGames are in cryptocurrency.
MemeGames Conclusion
MemeGames is a fraudulent funding scheme wrapped up in “gaming” pseudo-compliance.
MemeGames themselves present a advertising and marketing slide that strips out the “gaming” pseudo-compliance:
In a nutshell, MemeGames operates below the “activity” Ponzi mannequin. That’s, buyers are required to carry out a pointless activity as a way to qualify for a return.
The “sport” facet of MemeGames is pointless busybody work. It has no connection to generated returns and serves no goal aside from to facilitate monetary fraud.
MemeGames’ “sport” intently resembles the Chinese language “click on a button” app Ponzis that BehindMLM has been monitoring since 2021.
MemeGames don’t hassle developing with an exterior ROI income ruse. ROI funds are thus attributed to MemeGames’ solely verifiable income – new funding. That is your basic Ponzi scheme, therefore the fraud.
On the regulatory facet of issues MemeGames’ funding scheme constitutes a securities providing.
To determine the existence of an funding contract we apply the Howey Check.
The Howey Check has 4 prongs which should be met:
Beneath the Howey Check, a transaction is an funding contract if:
- It’s an funding of cash
- There may be an expectation of income from the funding
- The funding of cash is in a typical enterprise
- Any revenue comes from the efforts of a promoter or third-party
Making use of the Howey Check to MemeGames we get:
- an funding of cash starting from $1000 to $6000
- an expectation of income by means of MemeGames marketed returns
- MemeGames serving as a “frequent enterprise” investments are made with
- returns are generated and paid out by MemeGames (the promoter of the safety)
In establishing MemeGames’ providing to be an funding contract we additionally set up it to be a securities providing.
At time of publication neither MemeGames or Eric Dalius are registered with the SEC. MemeGames providing unregistered securities thus constitutes securities fraud.
Outdoors of the SEC revisiting Dalius’ securities fraud and submitting a MemeGames Grievance, normal Ponzi guidelines apply:
As with all MLM Ponzi schemes, as soon as affiliate recruitment dries up so too will new funding.
This can starve MemeGames of ROI income, ultimately prompting a collapse.
The maths behind Ponzi schemes ensures that after they inevitably collapse, nearly all of members lose cash.
Look no additional than Saivian collapsing to see this in motion.