Coop5050 provides no information on its website about who owns or runs the company.

Coop5050’s website domain (“coop5050.com”) was first registered in 2018. The private registration was last updated on November 4th, 2020.

To suss out who’s behind Coop5050 we have to turn to social media:

David T. Rosen first popped up on BehindMLM’s radar in 2015, as founder of the PIE 24/7 pyramid scheme.

In early 2018 Rosen launched Cooperative Crowdfunding, a matrix-based gifting scheme. This was followed by 50/50 Crowdfunding in late 2018.

In late 2019 Rosen rebooted 50/50 Crowdfunding as CoopCrowd. That brings us to the late 2020 reboot launch of Coop5050.

David Rosen is believed to run his various scams from Ontario, Canada.

Alexa traffic analysis reveals Coop5050 recruitment is currently taking place in the US (71%) and Dominican Republic (22%).

Read on for a full review of Coop5050’s MLM opportunity.

Coop5050’s Products

Coop5050 has no retailable products or services, with affiliates only able to market Coop5050 affiliate membership itself.

Coop5050’s Compensation Plan

Coop5050 affiliates gift money to each other through eight-tiers of gifting payments.

Gifting payments in Coop5050 are tracked via a 2×2 matrix.

A 2×2 matrix places an affiliate at the top of a matrix, with two positions directly under them:

These two positions form the first level of the matrix. The second level of the matrix is generated by splitting these first two positions into another two positions each (4 positions).

Positions in the matrix are filled by position purchases, made by existing and newly recruited Coop5050 affiliates.

Funds used to purchase matrix positions are gifted as follows:

  • $25 tier – gift $25 and receive 50% of $25 gifted in across six positions ($75)
  • $50 tier – gift $50 and receive 50% of $50 gifted in across six positions ($150)
  • $150 tier – gift $150 and receive 50% of $150 gifted in across six positions ($450)
  • $250 tier – gift $250 and receive 50% of $250 gifted in across six positions ($750)
  • $500 tier – gift $500 and receive 50% of $500 gifted in across six positions ($1500)
  • $1000 tier – gift $1000 and receive 50% of $1000 gifted in across six positions ($3000)
  • $2000 tier – gift $2000 and receive 50% of $2000 gifted in across six positions ($6000)
  • $4000 tier – gift $4000 and receive 50% of $4000 gifted in across six positions ($12,000)

Cycling appears to happen automatically so presumably upon completing a matrix, the initial gifting payment is subtracted to generate a new same-tier position.

E.g. You receive $75 upon completing tier 1, $25 of which is used to fund a new tier 1 position.

Joining Coop5050

Coop5050 affiliate membership is tied to a minimum $25 gifting payment.

Full participation in Coop5050 costs $7975.

Marketing copy on Coop5050’s website suggests gifting payments might be monthly recurring.

Conclusion

Following the collapse of his CoopCrowd gifting scheme, David Rosen is back with a clone scam for 2021.

Coop5050 combines elements of gifting and Ponzi schemes.

The gifting element exists by way of new gifting payments being used to fund cycle payments.

You gift in, that money is paid to existing Coop5050 affiliates. You then receive gifting payments from Coop5050 affiliates recruited after you.

The Ponzi element exists by way of gifting payments being made on the expectation of a 300% ROI.

Gift $25 and receive $75. Gift $250 and receive $750 etc.

Seeing as 71% of website traffic to Coop5050 is coming from the US, this brings the scheme under the jurisdiction of the FTC and SEC.

Gifting schemes are illegal as per the FTC Act. Ponzi schemes (securities fraud) are illegal as pert the Securities and Exchange Act.

As with all MLM Ponzi gifting schemes, once affiliate recruitment dries up so too will new gifting payments (investment).

Being a matrix cycler, this will see Coop5050’s matrices begin to stall. Unless recruitment of new participants continues forever (mathematically impossible), eventually enough matrices stall to trigger a collapse.

If you want evidence of this in practice, look no further than David Rosen’s previous scams.

Pie 24/7, Cooperative Crowdfunding, 50/50 Crowdfunding and CoopCrowd all collapsed with the majority of participants losing money.

Meanwhile Rosen, through preloaded admin positions, is the primary benefactor of each scam.

Coop5050, using the same matrix cycler gifting model as Rosen’s previous scams, won’t end any differently.