“Liquidity mining” themed staking Ponzi


Liquidix fails to supply possession or government info on its web site.

Liquidix’s web site area (“liquidix.io”), was privately registered on February sixteenth, 2023.

One identify we will tie to Liquidix is Alex Meurer, aka AM Crypto.

Meurer, initially from Germany, has spent the previous few years residing in Ukraine and Dubai.

I couldn’t discover any point out of Liquidix on AM Crypto or any of Meurer’s social media profiles. At first I believed Liquidix might need misappropriated his identify and YouTube model.

With a bit extra digging I got here throughout an April 2023 Liquidix advertising video…

…wherein Meurer states;

I’m actually wanting ahead to the launch of Liquidix tomorrow.

Tomorrow is the launch, I actually can not wait to get everybody on board and to benefit from the income that we will make all there collectively.

BehindMLM’s tips for Dubai are:

  1. If somebody lives in Dubai and approaches you about an MLM alternative, they’re making an attempt to rip-off you.
  2. If an MLM firm relies out of or represents it has ties to Dubai, it’s a rip-off.

If you wish to know particularly how this is applicable to Liquidix, learn on for a full assessment.

Liquidix’s Merchandise

Liquidix has no retailable services or products.

Associates are solely in a position to market Liquidix affiliate membership itself.

Liquidix’s Compensation Plan

Liquidix associates make investments $50 or extra in cryptocurrency equivalents. That is completed on the promise of an annual “as much as” 256% ROI.

Notice that Liquidix confiscates 30% of all invested funds, which it claims it makes use of to fund its MLM compensation plan.

Additionally observe that after a 100% ROI is reached (i.e. an investor has made again what they initially invested), Liquidix expenses a ten% charge on continued ROI funds.

Via its MLM compensation plan, Liquidix pays on recruitment of affiliate traders.

Liquidix Affiliate Ranks

There are eleven affiliate ranks inside Liquidix’s compensation plan.

Together with their respective qualification standards, they’re as follows:

  1. Liquidity Supplier – enroll as a Liquidix affiliate and make investments a minimum of $100
  2. Bronze – make investments a minimum of $250 and generate $25,000 in downline funding
  3. Silver – make investments $500 and generate $50,000 in downline funding
  4. Gold – make investments $1000 and generate $100,000 in downline funding
  5. Pearl – make investments $10,000 and generate $500,000 in downline funding
  6. Sapphire – make investments $25,000 and generate $1,000,000 in downline funding
  7. Ruby – make investments $70,000 and generate $5,000,000 in downline funding
  8. Emerald – make investments $100,000 and generate $10,000,000 in downline funding
  9. Diamond – make investments $200,000 and generate $20,000,000 in downline funding
  10. Double Diamond – make investments $500,000 and generate $50,000,000 in downline funding
  11. Royal Ambassador – make investments $1,000,000 and generate $80,000,000 in downline funding

Notice that for the aim of rank qualification, Liquidix restricts how a lot funding it counts from every unilevel staff stage:

  • 100% of funding throughout stage 1 (personally recruited associates)
  • 85% of funding throughout stage 2
  • 70% of funding throughout stage 3
  • 60% of funding throughout stage 4
  • 50% of funding throughout stage 5
  • 40% of funding throughout stage 6
  • 30% of funding throughout stage 7
  • 20% of funding throughout stage 8
  • 10% of funding throughout stage 9

It seems funding generated deeper than stage 9 isn’t counted.

For an evidence of the unilevel staff see “Referral Commissions” beneath.

Referral Commissions

Liquidix pays referral commissions by way of a unilevel compensation construction.

A unilevel compensation construction locations an affiliate on the prime of a unilevel staff, with each personally recruited affiliate positioned immediately below them (stage 1):

If any stage 1 associates recruit new associates, they’re positioned on stage 2 of the unique affiliate’s unilevel staff.

If any stage 2 associates recruit new associates, they’re positioned on stage 3 and so forth and so forth down a theoretical infinite variety of ranges.

Liquidix caps payable unilevel staff ranges at eleven.

Referral commissions are paid as a share of cryptocurrency invested throughout these eleven ranges based mostly on rank:

  • Liquidity Suppliers earn 5% on stage 1 (personally recruited associates)
  • Bronze ranked associates earn 5% on stage 1 and 6% on stage 2
  • Silver ranked associates earn 5% on stage 1, 6% on stage 2 and seven% on stage 3
  • Gold ranked associates earn 5% on stage 1, 6% on stage 2, 7% on stage 3 and eight% on stage 4
  • Pearl ranked associates earn 5% on stage 1, 6% on stage 2, 7% on stage 3, 8% on stage 4 and 9% on stage 5
  • Sapphire ranked associates earn 5% on stage 1, 6% on stage 2, 7% on stage 3, 8% on stage 4, 9% on stage 5 and 12% on stage 6
  • Ruby ranked associates earn 5% on stage 1, 6% on stage 2, 7% on stage 3, 8% on stage 4, 9% on stage 5, 12% on stage 6 and 15% on stage 7
  • Emerald ranked associates earn 5% on stage 1, 6% on stage 2, 7% on stage 3, 8% on stage 4, 9% on stage 5, 12% on stage 6, 15% on stage 7 and 17% on stage 8
  • Diamond ranked associates earn 5% on stage 1, 6% on stage 2, 7% on stage 3, 8% on stage 4, 9% on stage 5, 12% on stage 6, 15% on stage 7, 17% on stage 8 and 18% on stage 9
  • Double Diamond ranked associates earn 5% on stage 1, 6% on stage 2, 7% on stage 3, 8% on stage 4, 9% on stage 5, 12% on stage 6, 15% on stage 7, 17% on stage 8, 18% on stage 9 and 19% on stage 10
  • Royal Ambassador ranked associates earn 5% on stage 1, 6% on stage 2, 7% on stage 3, 8% on stage 4, 9% on stage 5, 12% on stage 6, 15% on stage 7, 17% on stage 8, 18% on stage 9, 19% on stage 10 and 20% on stage 11

Rank Achievement Bonus

Liquidix rewards associates for qualifying at Bronze and better with the next one-time Rank Achievement Bonuses:

  • qualify at Bronze and obtain $1000
  • qualify at Silver and obtain $3000
  • qualify at Gold and obtain $6000
  • qualify at Pearl and obtain $20,000
  • qualify at Sapphire and obtain $40,000
  • qualify at Ruby and obtain $100,000
  • qualify at Emerald and obtain $250,000
  • qualify at Diamond and obtain $500,000
  • qualify at Double Diamond and obtain $1,200,000
  • qualify at Royal Ambassador and obtain $2,400,000

Efficiency Bonus Commissions

After a Liqudix affiliate has made again what they’ve invested, Liquidix expenses a ten% charge on continued ROI funds.

These charges are used to pay a Efficiency Bonus.

Liquidix pays the Perforamnce Bonus by way of the identical unilevel staff referral commissions are paid with (see: “Referral Commissions” above).

The Perforamance Bonus is capped at six unilevel staff ranges:

  • ranges 1 and a pair of – 2.5%
  • ranges 3 and 4 – 1.5%
  • ranges 5 and 6 – 1%

Notice that to ensure that the Efficiency Bonus to be paid out, unilevel staff stage associates should be paying the ten% Efficiency Price.

Becoming a member of Liquidix

Liquidix affiliate membership is free.

Full participation within the connected earnings alternative requires a minimal $50 funding.

Liquidix solicits funding in numerous cryptocurrencies.

Liquidix Conclusion

Liquidix operates a easy “staking mannequin” Ponzi scheme.

The ruse behind Liquidix’s Ponzi scheme is “liquidity mining”.

Liquidix is your gateway into the worthwhile world of liquidity mining.

Liquidity mining is a course of the place customers present liquidity to a decentralized change (DEX) by depositing their funds right into a liquidity pool.

In change for offering liquidity, customers obtain rewards within the type of cryptocurrency tokens.

If we do away with the crypto bro jargon, Liquidix associates purportedly make investments right into a pool. Mentioned pool is made out there to a decentralized change. One thing one thing revenue.

In actuality Liquidix associates make investments, quantity goes up within the backoffice and early Liquidix traders withdraw subsequently invested crypto.

Along with that you simply even have Alex Meurer and pals skimming off the highest.

At a naked minimal, Liquidix’s passive returns funding scheme constitutes a securities providing.

Liquidix fails to supply proof it has registered its funding scheme with monetary regulators.

This constitutes securities fraud, which matches hand-in-hand with Liquidix working a Ponzi scheme.

Amusingly, Liquidix claims:

The full worth locked is $3.82 billion and rising every day.

This could make Liquidix a top-5 MLM crypto Ponzi of all time, regardless of solely present for lower than a month.

As with all MLM Ponzi schemes, as soon as affiliate recruitment dries up so too will new funding.

It will starve Liquidix of ROI income, finally prompting a collapse.

The maths behind Ponzi schemes ensures that after they collapse, nearly all of individuals lose cash.