Jubilee Ace Review: Jubilee credits arbitrage Ponzi scheme
Jubilee Ace operates in the cryptocurrency MLM niche and claims to have been “founded in British Virgin Islands in 2018”.
Jubilee Ace represents an individual named Tony Jackson is its CEO.
Jackson (right) doesn’t appear to have a digital footprint outside of Jubilee Ace’s website.
On June 9th Jubilee Ace uploaded a video to its YouTube channel titled “Jubilee Ace Global Launch 29th May 2019”.
Jackson appears in the video so despite the stock like photo used on Jubilee Ace’s website, does appear to be an actual person.
Or at least someone playing him.
Jubilee Ace’s launch event was held in Macau and primarily features what appears to be affiliates of Asian origin.
Jubilee Ace’s marketing has a notable focus on Thailand and Japan.
It is highly likely that whoever is actually running Jubilee Ace is based out of Asia itself.
Given the lack of information available on Jackson outside of Jubilee Ace, I’m chalking this up to another Asians hire actor to front their company scenario.
Another possible scenario is “Tony Jackson” and friends are from Eastern Europe.
I’m doubting this though as Jackson and friends appear to have been given scripts to read at Jubilee Ace’s launch event.
This would require a level of English proficiency typically absent in eastern Europe scammers.
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.
Jubilee Ace’s Products
Jubilee Ace has no retailable products or services, with affiliates only able to market Jubilee Ace affiliate membership itself.
Jubilee Ace’s Compensation Plan
Jubilee Ace affiliates sign up and invest in credits:
- 1 Star – invest $1000 and receive 1000 credits
- 2 Star – invest $3000 and receive 3000 credits
- 3 Star – invest $5000 and receive 5000 credits
- 1 Star Diamond – invest $10,000 and receive 10,000 credits
- 2 Star Diamond – invest $30,000 and receive 30,000 credits
- 3 Star Diamond – invest $50,000 and receive 50,000 credits
Existing Jubilee Ace affiliates are also to direclty invest in Jubilee credits, although pricing is not provided.
Once invested in, Jubilee Ace affiliates can either earn a flat return on their credits or park them with the company for a higher return.
Jubilee Ace pay a daily flat rate 0.08% to 0.1% return per credit.
Whether this is a percentage of the $1 charged per credit invested in or is based on some other value is unclear.
If a Jubilee Ace affiliate opts to park their credits with the company, the following daily return rates apply:
- 1 Star and 2 Star package affiliates – 1% to 1.7% a day
- 3 Star and 1 Star Diamond package affiliates – 1% to 2.2% a day
- 2 Star Diamond and 3 Star Diamond package affiliates – 1% to 2.7% a day
If an affiliate opts for the higher parked returns, Jubilee Ace charges a 30% fee on returns paid.
Annual returns are cited for parked credits, however whether there is a minimum amount of time credits must be parked for is unclear.
Finally there also appears to be a “compound interest” option, wherein Jubilee Ace pays up to 1.2% a week on an affiliate’s credit balance.
Specific details are not provided.
On the MLM side of things, Jubilee Ace affiliates are paid to recruit new affiliate investors.
Note that Jubilee Ace pays 25% of all MLM commissions earned in Jubilee credits.
All Jubilee Ace returns, commissions and bonus withdrawals attract a 10% flat fee.
When a Jubilee Ace affiliate recruits a new affiliate investor they receive a commission.
- 1 Star package affiliates are paid 6%
- 2 Star package affiliates are paid 7%
- 3 Star and 1 Star Diamond package affiliates are paid 8%
- 2 Star Diamond package affiliates are paid 9%
- 3 Star Diamond package affiliates are paid 10%
Jubilee Ace pays residual commissions via a binary compensation structure.
A binary compensation structure places an affiliate at the top of a binary team, split into two sides (left and right):
The first level of the binary team houses two positions. The second level of the binary team is generated by splitting these first two positions into another two positions each (4 positions).
Subsequent levels of the binary team are generated as required, with each new level housing twice as many positions as the previous level.
Positions in the binary team are filled via direct and indirect recruitment of affiliates. Note there is no limit to how deep a binary team can grow.
At the end of each day Jubilee Ace tallies up new investment volume on both sides of the binary team.
Affiliates are paid a residual commission based on investment volume match on both sides.
- 1 Star package affiliates are paid 6%, capped at 1000 credits
- 2 Star package affiliates are paid 7% capped at 3000 credits
- 3 Star package affiliates are paid 8% capped at 5000 credits
- 1 Star Diamond package affiliates are paid 8% capped at 10,000 credits
- 2 Star Diamond package affiliates are paid 9% capped at 12,500 credits
- 3 Star Diamond package affiliates are paid 10% capped at 15,000 credits
The fact that residual commissions are capped daily based on credits, suggests payments are made in credits ($1 = 1 credit?).
The Arbitrage Bonus is a percentage bonus based on returns paid to downline affiliates.
- 1 Star package affiliates receive a 1% Arbitrage Bonus
- 2 Star package affiliates receive a 2% Arbitrage Bonus
- 3 Star and 1 Star Diamond package affiliates receive a 3% Arbitrage Bonus
- 2 Star Diamond package affiliates receive a 4% Arbitrage Bonus
- 3 Star Diamond package affiliates receive a 5% Arbitrage Bonus
Whether the Arbitrage Bonus is only paid on personally recruited affiliates or the total downline is unclear.
The Leadership Bonus is a one-time rank-based bonus.
- Ace Agent – generate $30,000 of accumulated investment volume on your weaker binary team side and receive $300
- Ace Specialist – generate $100,000 of accumulated investment volume on your weaker binary team side and receive $2000
- Ace Executive – generate $300,000 of accumulated investment volume on your weaker binary team side and receive $9000
- Ace Master – generate $500,000 of accumulated investment volume on your weaker binary team side and receive $20,000
- Ace Director – generate $1,000,000 of accumulated investment volume on your weaker binary team side and receive $50,000
- Ace President – generate $3,000,000 of accumulated investment volume on your weaker binary team side and receive an unspecified share of Jubilee Ace company-wide investment revenue
Joining Jubilee Ace
Jubilee Ace affiliate membership is tied to investment in one of six offered packages:
- 1 Star – $1000
- 2 Star – $3000
- 3 Star – $5000
- 1 Star Diamond – $10,000
- 2 Star Diamond – $30,000
- 3 Star Diamond – $50,000
The more an affiliate invests the higher their income potential via Jubilee Ace’s compensation plan.
Jubilee Ace markets itself as “the future of investment”.
In reality it’s just a typical MLM Ponzi points scheme.
Jubilee credits are worthless outside of Jubilee Ace’s MLM opportunity. They are not publicly tradeable and it’s not even clear whether they’re a token or just credits tracked on a database.
In any event, Jubilee Ace are flogging Jubilee credits to their affiliates for $1 each.
There’s no mention of an internal exchange in Jubilee Ace’s compensation plan or on their website.
There has to be some way for affiliates to cash out credits though, so either it’s an internal exchange or just through the backoffice.
Jubilee Ace claims to generate external revenue through Aqua, a purported cryptocurrency, sports and gaming arbitrage bot.
AQUA is monitored, maintained and serviced by an onsite team of both software and hardware engineers.
Beyond their marketing pitch however Jubilee Ace fails to provide evidence of arbitrage revenue actually being used to pay affiliates.
Furthermore despite clearly offering a passive investment opportunity, Jubilee Ace is not registered to offer securities in any jurisdiction it operates in.
The company offers up a BVI incorporation certificate for “Jubilee Ace Limited”, however this is not a substitute for regulation with financial regulators.
On this note I also want to point out that there is absolutely no legitimate reason for an MLM company to incorporate itself in the BVI.
The British Virgin Islands are a scam-friendly jurisdiction with little to no regulation.
From a regulatory due-diligence perspective, BVI incorporation is meaningless.
Combined with their actor like executives and cliche fly in, fly out song and dance ceremony in Macau, Jubilee Ace brings up plenty of red flags.
With no external revenue source, Jubilee Ace is simply recycling newly invested funds to pay off existing investors – through a convoluted internal credits scheme.
The use of newly invested funds to pay existing affiliates daily returns makes Jubilee Ace a Ponzi scheme.
Commissions paid on affiliate investor recruitment additionally adds a pyramid layer to the scheme.
As with all MLM Ponzi schemes, once affiliate recruitment slows down so too will new investment.
This will starve Jubilee Ace of return revenue, eventually prompting a collapse.
Being a Ponzi points scheme, this will see Jubilee Ace’s owners and early adopters (featured in their launch video) cash out.
Everybody else will be left holding worthless Jubilee credits they can’t do anything with.