MyGBit Mining Review: Ethereum cloud mining Ponzi scheme
MyGBit Mining provides no information on its website about who owns or runs the company.
MyGBit Mining’s website domain (“mygbit.com”) was first registered in 2016. The domain registration was last updated on April 28th, 2020.
MyGBit Cloud Mining A.S. is listed as the owner, through an incomplete address in Bursa, Turkey.
This tracks with a MyGBit Mining marketing video, uploaded to MyGBit Mining’s official YT channel on June 30th, 2020.
The video (above) is your typical Fivver affair, shot it native Turkish.
Wanting to know establish whether MyGBit Mining’s website domain owners had the domain prior to the April 2020 registration update, I headed over to the Wayback Machine.
A snapshot dated February 2020 confirms the same type of website was up.
Here’s an interesting bit of information omitted from the current incarnation of MyGBit Mining’s website;
In 2017, T.C. Bursa Trade Registry Office was established in Bursa by 100% Turkish entrepreneurs with local capital of TL 3,000,000 with trade registry number 94560.
Contradicting that, MyGBit Mining on its website now claims ‘the story of MYGBIT started at the end of 2015.’
MyGBit Mining provides a corporate address in Bursa, Turkey on its website. The company’s official Facebook page is also managed exclusively from Turkey.
From this we can take away that whoever is behind MyGBit Mining is in Turkey. Why they don’t want you to know who they are is unclear.
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.
MyGBit Mining’s Products
MyGBit Mining has no retailable products or services, with affiliates only able to market MyGBit Mining affiliate membership itself.
MyGBit Mining’s Compensation Plan
MyGBit Mining invest funds on the promise of an advertised daily ROI.
- Starter – invest $50 to $500 and receive 0.34% a day
- Miner – invest $500 to $1000 and receive 0.36% a day
- Pro Miner – invest $1000 to $2500 and receive 0.38% a day
- Senior Miner – invest $2500 to $5000 and receive 0.4% a day
- Chief Miner – invest $5000 to $10,000 and receive 0.42% a day
- Master Miner – invest $10,000 to $25,000 and receive 0.45% a day
- Masterchief Miner – invest $25,000 to $50,000 and receive 0.48%
- Limitless Miner – invest $50,000 or more and receive 0.5% a day
MyGBit Mining affiliates can increase their daily ROI rate by
- spamming social media with MyGBit Mining advertising
- hitting personal recruitment milestones
- reaching personal investment milestones
MyGBit Mining pays referral commissions on funds invested by personally recruited affiliates.
Referral commission rates are determined based on how much a MyGBit Mining affiliate has themselves invested:
- Starter tier affiliates earn a 6% referral commission rate (9% faststart)
- Miner tier affiliates earn a 7% referral commission rate (10% faststart)
- Pro Miner tier affiliates earn an 8% referral commission rate (11% faststart)
- Senior Miner tier affiliates earn a 10% referral commission rate (13% faststart)
- Chief Miner tier affiliates earn a 12% referral commission rate (15% faststart)
- Master Miner tier affiliates earn a 14% referral commission rate (17% faststart)
- Masterchief Miner tier affiliates earn a 15% referral commission rate (18% faststart)
- Limitless Miner tier affiliates earn a 16% referral commission rate (19% faststart)
Note the faststart referral commission rate is paid out during a MyGBit Mining affiliate’s first fourteen days with the company.
MyBitG 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 week MyGBit Mining tallies up new investment volume on both sides of the binary team.
Affiliates are paid a percentage of funds invested on their weaker binary team side.
Residual commission rates are determined by how much a MyGBit Mining affiliate has invested:
- Starter tier affiliates earn a 6% residual commission rate
- Miner tier affiliates earn a 7% residual commission rate
- Pro Miner tier affiliates earn an 8% residual commission rate
- Senior Miner tier affiliates earn a 10% residual commission rate
- Chief Miner tier affiliates earn a 12% residual commission rate
- Master Miner tier affiliates earn a 14% residual commission rate
- Masterchief Miner tier affiliates earn a 15% residual commission rate
- Limitless Miner tier affiliates earn a 16% residual commission rate
Once paid out on, investment volume is matched against the stronger binary team side and flushed.
Any leftover volume on the stronger binary team side carries over.
Rank Achievement Bonuses
MyGBit Mining rewards affiliates for generating downline investment volume with Rank Achievement Bonuses.
Rank Achievement Bonuses are calculated based on Career Point accumulation.
Career Points are accumulated in three ways:
- referral commission earned x 1000
- residual commission earned x 500
- Rank Achievement Bonuses earned = 15,000 Career Points per rank
Based on the sum total of accumulated Career Points, MyGBit Mining rewards affiliates with the following Rank Achievement Bonuses:
- Coordinator – generate 20,000 Career Points and receive an iPhone 12
- Supervisor – generate 80,000 Career Points and receive a MacBook Pro
- Executive (generate $200,000 in weaker binary team volume) – receive a “Turkey Vocation Mining Farm Tour”
- Diamond (generate $800,000 in weaker binary team volume) – receive a Mercedes Benz C-Class
- Blue Diamond (generate $1,600,000 in weaker binary team volume) – receive a Mercedes Benz S-Class
- Black Diamond (generate $4,000,000 in weaker binary team volume) – receive a Ferrari 458
- Royal Diamond (generate $8,000,000 in weaker binary team volume) – receive a Rolls Royce
- Consul (generate $40,000,000 in weaker binary team volume) – receive a “private jet”
- Ambassador (generate $80,000,000 in weaker binary team volume) – receive a “30M ultra lux yacht”
Joining MyGBit Mining
MyGBit Mining affiliate membership is free.
Full participation in the attached income opportunity however requires a minimum $50 investment.
Before they were offering flat returns, MyGBit Mining were offering fixed ETH amounts:
MyGBİT INVESTMENT PACKAGES
Standard: BUY: $ 500 | Time: 18MH / s Monthly: 0.080 ETH
Apprentice: BUY: $ 1000 | Time: 37MH / s Monthly: 0.167 ETH
Manager: BUY: $ 2000 | Time: 75MH / s Monthly: 0.335 ETH
V Manager: BUY: $ 4000 | Dig: 160MH / s Monthly: 0.722 ETH
Exucitive [sic]: BUY: $ 8000 | Dig: 340MH / s Monthly: 1.530 ETH
V Exucitive [sic]: BUY: $ 16000 | Price: 700MH / s Monthly: 3,160 ETH
Present: BUY: $ 32000 | Sity: 1600MH / s Monthly: 6,770 ETH
V Present: BUY: $ 64000 | Kazim: 3500MH / s Monthly: 15.790 ETH
Founder: BUY: $ 128000 | Time: 7000MH / s Monthly: 31.59 ETH
Regardless of whether they’re offering fixed ETH or a ROI advertised in USD though, there’s no denying MyGBit Mining is marketing a passive investment opportunity.
This is known as a security, which requires registration with financial regulators.
MyGBit Mining provides no evidence it has registered with financial regulators in Turkey or elsewhere, meaning at a minimum the company is committing securities fraud.
At the time of publication Alexa estimates the top three sources of traffic to MyGBit Mining’s website are the US, Argentina and Mexico.
Securities fraud is illegal in each of these countries.
Further to that, MyGBit Mining’s business model fails the Ponzi logic test.
MYGBIT MINING is one of the leading hashpower providers in the world.
If that was true and the anonymous owners of MyGBit Mining were capable of generating a 0.5% daily ROI, what do they need your money for?
As it stands the only verifiable source of revenue entering MyGBit Mining is new investment.
Using new investment to pay a daily return makes MyGBit Mining a Ponzi scheme.
As with all MLM Ponzi schemes, once affiliate recruitment dries up so too will new investment.
This will starve MyGBit Mining of ROI revenue, eventually prompting a collapse.
The math behind Ponzi schemes guarantees that when they collapse, the majority of participants lose money.