MineLab Review: Crypto mining ruse Ponzi scheme
MineLab fails to provide ownership or executive information on its website.
MineLab’s website domain (“minelab.bz”), was privately registered on May 29th, 2023.
In an attempt to appear legitimate, MineLab represents it is incorporated in the UK as MineLab LTD.
An MLM company operating or claiming to operate out of the UK is a red flag. UK incorporation is dirt cheap and effectively unregulated.
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.
MineLab has no retailable products or services.
Affiliates are only able to market MineLab affiliate membership itself.
MineLab’s Compensation Plan
MineLab affiliates invest $8 or more worth of cryptocurrency. This is done on the promise of up to 3% a day.
The MLM side of MineLab pays on recruitment of affiliate investors.
MineLab Affiliate Ranks
There are four affiliate ranks within MineLab’s compensation plan.
Along with their respective qualification criteria, they are as follows:
- Younker – sign up at a MineLab affiliate and recruit fifty affiliates (ten must have invested)
- Chief – recruit at least one hundred affiliates (twenty must have invested)
- Guru – recruit at least two hundred affiliates (forty must have invested)
- Sage – recruit at least three hundred affiliates (sixty must have invested)
MineLab pays referral commissions on invested cryptocurrency down three levels of recruitment (unilevel):
- level 1 (personally recruited affiliates) – 7%
- level 2 – 2%
- level 3 – 1%
Referral commissions are increased if a MineLab affiliate qualifies as a Representative:
- level 1 – 10%
- level 2 – 3%
- level 3 – 2%
Note that MineLab do not disclose Representative qualification criteria.
Rank Achievement Bonus
MineLab rewards affiliates who qualify at Younker and higher with the following one-time Rank Achievement Bonuses:
- qualify at Younker and receive $100
- qualify at Chief and receive $200
- qualify at Guru and receive $300
- qualify at Sage and receive $400
MineLab affiliate membership is free.
Full participation in the attached income opportunity requires a minimum $8 investment.
MineLab solicits investment in various cryptocurrencies.
MineLab represents it generates external revenue via cryptocurrency cloud mining.
minelab is a AI-backed Cryptocurrency Cloud Mining Company.
No verifiable evidence of MineLab using mining revenue to pay affiliate withdrawals is provided.
On the regulatory front the FCA banned MLM cryptocurrency investment schemes in the UK on October 8th, 2023.
This means that MineLab’s passive investment scheme is outright operating illegally.
This of course is based on you believing MineLab has an actual connection to the UK, which it likely doesn’t.
As it stands the only verifiable source of revenue entering MineLab is new investment.
Using new investment to pay affiliate withdrawals would make MineLab a Ponzi scheme. Recruitment commissions add an additional pyramid layer to the scam.
As with all MLM Ponzi schemes, once affiliate recruitment dries up so too will new investment.
This will starve MineLab of ROI revenue, eventually prompting a collapse.
The math behind Ponzi schemes guarantees that when they collapse, the majority of participants lose money.
Update 13th November 2023 – MineLab has collapsed. At the time of this update MineLab’s website has been disabled.