AdForCycle Review: $10 Ponzi matrix cycler
There is no information on the AdForCycle website indicating who owns or runs the business.
The AdForCycle website domain (“adforcycle.com”) was registered on the 17th of February 2015, however the domain registration is set to private.
As always, if an 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 AdForCycle Product Line
AdForCycle has no retailable products or services, with affiliates only able to market affiliate membership with the opportunity itself.
Once signed up, AdForCycle affiliates can then purchase $10 matrix positions.
Bundled with each matrix position are a series of advertising credits, which can be used to display advertising on the AdForCycle website.
The AdForCycle Compensation Plan
The AdForCycle compensation plan sees affiliates purchase $10 matrix positions and recruit others who do the same.
AdForCycle themselves run a company-wide matrix of unlimited depth, starting with three positions that branch out into three positions again and again.
Positions can be purchased in the matrix for $10, paying out $18 once three positions under have been filled.
Positions in the company wide matrix are filled left to right, with each level of the matrix multiplying the total number of positions to complete the level by three.
Referral commissions are offered on the purchase of positions by recruited affiliates, paying out 8% (80 cents) on level 1 and 2% (20 cents) on level 2 (unilevel).
Finally, note that $10 of every $18 payout is withheld for mandatory purchase of a new matrix position.
Affiliate membership with AdForCycle is free, however affiliates must purchase at least one matrix position in order to earn commissions.
As such, the defacto minimum cost of AdForCycle affiliate membership is $10 (the cost of one position).
As per the AdForCycle Terms and Conditions;
For the good of the entire membership and the well-being of the program, if any member mentions the words lawyer, attorney, attorney general, police, SEC, FTC, FBI or any other potential threats to AdForCycle, management reserves the right to remove them from the program immediately and close their account without refund and without further negotiation.
Identifying US regulators as “threats” indicates that AdForCycle are up to something shady.
Research into their compensation plan reveals that the company is running a $10 a pop Ponzi investment scheme.
AdForCycle affiliates invest $10 on the expectation of an $18 ROI, paid out of newly invested affiliate funds.
The reality behind the mathematics of the scheme is that for every $10 invested, only $8 is actually paid out. $10 must be reinvested back into the scheme, therefore ensuring that at least two positions are likely to be invested in by every affiliate.
In any event, the second position requirement is just stalling for time, using the funds that would otherwise have been paid out to prolong the scheme for just a little longer.
The core mechanic of newly invested funds being used to pay off existing investors remains intact, qualifying AdForCycle as a Ponzi scheme.
This is further evidenced by AdForCycle’s “no refunds” refund policy:
All purchased items (Upgrade fees for memberships (if any)/Add funds/Purchase of Advertising (Ad Positions) or other ad package(s)/Ad Positions including others) are non-refundable.
Naturally the reason refunds can’t be offered is because the second you invest funds in the scheme, they use those funds to pay out existing investors.
And as if the Ponzi fraud wasn’t bad enough, affiliates of AdForCycle can also expect to be spammed by the anonymous admin running the scheme.
By signing up for the AdForCycle program, Member is opting-in to receive other special offer emails from AdForCycle.
If you do not wish to receive these emails, you may cancel your account at anytime.
If you cancel your account, you will lose ALL membership privileges.
As with all Ponzi schemes, once new affiliate investment in positions dies down, the scheme will collapse.
Being a matrix-based Ponzi, AdForCycle investors will notice this by way of cycling positions taking longer and longer to pay out.
Compounding the organic effects of ever-increasing mathematical liability a Ponzi scheme accumulates, is the fact that each level of the matrix increases the amount of new positions that must be purchased by a factor of three.
It doesn’t take long for this to hit the hundreds and then shortly thereafter, thousands and tens of thousands – all but ensuring AdForCycle will collapse sooner rather than later.