Strayex Review: 180% ROI over 30 days
There is no information on the Strayex website indicating who runs or owns the company.
The domain ‘strayex.com’ was registered on the 27th March 2012, however the registration information is set to private.
As always, if a MLM company is not openly upfront about who is running or owns it, think long and hard about joining and/or handing over any money.
The Strayex Product Line
Strayex sell advertising banner space on their website (728×90) for $50 (footer and header). It is unclear what the terms are for the purchase of this advertising.
Whilst the company sells advertising, members of Strayex cannot. Instead they market membership to the company and either invest themselves or encourage those they recruit to invest.
Bundled with each investment are advertising credits which can be used to display advertising on an in-house ad network that features on the Strayex website.
The Strayex Compensation Plan
Strayex guarantee their members a 180% ROI over 30 days on all investments made with the company. Each member can invest up to $20,000 with the scheme and 30% of all ROIs must be re-invested back into the company.
In addition to investment returns, Strayex also pay out referral commissions on investments made by recruited members.
10% is paid out on investments made by members you personally recruit (your level 1) and 5% is paid out on any investments made by members they recruit (your level 2).
Membership to Strayex is free, however members must invest money with the company if they wish to earn any commissions.
Free members can earn referral commissions on the investments made by members they recruit, but if they wish to cash out these earnings they themselves need to invest in the scheme.
Visitors to the Strayex website are only going to be interested in the income opportunity so that pretty much kills the value of third-party non-member advertising offered by Strayex. Nevermind the fact that its members can’t actually sell advertising and can only invest money.
With the primary revenue source of Strayex thus being member investments, Strayex is pretty much a Ponzi scheme.
The company claims to be ‘an online advertising program’, yet members can’t actually buy or sell advertising without participating in the investment scheme.
Furthermore the fact that advertising is indeed not being purchased is confirmed in Strayex’s refund policy:
You are purchasing the text and banner advertising. The program is in addition to the advertising. ALL SALES ARE FINAL. NO REFUNDS.
With advertising being offered in the form of credits, if advertising was infact being purchased should a member not use the credits purchased they’d rightfully be entitled to a refund.
However with Strayex using money paid by members to pay off existing owing returns, refunds of course are not possible.
Thus money being paid my Strayex members is an investment rather than a purchase and once those investments stop, so do the returns with the company then collapsing.