Preston Capital Review: AI crypto trading ruse Ponzi
Preston Capital fails to provide ownership or executive information on its website.
Preston Capital’s website domain (“prestoncapital.io”), was privately registered on September 12th, 2023.
In an attempt to appear legitimate, Preston Capital claims it is “registered in UK and ha(s) a valid certificate of incorporation.”
An MLM company operating or claiming to operate out of the UK is a red flag.
UK incorporation is dirt cheap and effectively unregulated. On top of that the FCA, the UK’s top financial regulator, do not actively regulate MLM related securities fraud.
As a result the UK is a favored jurisdiction for scammers looking to incorporate, operate and promote fraudulent companies.
For the purpose of MLM due-diligence, incorporation in the UK or registration with the FCA is meaningless.
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.
Preston Capital’s Products
Preston Capital has no retailable products or services.
Affiliates are only able to market Preston Capital affiliate membership itself.
Preston Capital’s Compensation Plan
Preston Capital affiliates invest USD equivalents in cryptocurrency.
This is done on the promise of advertised returns:
- Preston Easy – invest $100 to $100,000 and receive 3% a week for a year
- Preston Inferno – invest $1000 to $150,000 and receive 5% a week for two years
Preston Capital pays a 5% referral commissions on cryptocurrency invested by personally recruited affiliates.
The MLM side of Preston Capital is qualified for by generating $50,000 in downline investment volume.
Qualifying for Preston Capital’s MLM opportunity unlocks referral commissions down three levels of recruitment (unilevel):
- level 1 (personally recruited affiliates) – 5%
- level 2 – 3%
- level 3 – 2%
Joining Preston Capital
Preston Capital affiliate membership is free.
Full participation in the attached income opportunity requires a minimum $100 investment.
Preston Capital solicits investment in various cryptocurrencies.
Preston Capital Conclusion
Preston Capital represents it generates external revenue via AI trading;
Join us today and experience the power of AI in cryptocurrency trading.
No verifiable evidence of Preston Capital using trading revenue to pay withdrawals is provided.
Furthermore, Preston Capital’s business model fails the Ponzi logic test.
On its website Preston Capital claims to have 65,000 or two million investors, and to have generated $99 million in revenue.
Coupled with offering 5% a week, why is it then that Preston Capital is less than a month old and doesn’t exist outside of its website? This should be headline-making wealth generation.
As it stands, the only verifiable source of revenue entering Preston Capital is new investment.
Using new investment to pay affiliate withdrawals would make Preston Capital a Ponzi scheme.
As with all MLM Ponzi schemes, once affiliate recruitment dries up so too will new investment.
This will starve Preston Capital of ROI revenue, eventually prompting a collapse.
The math behind Ponzi schemes guarantees that when they collapse, the majority of participants lose money.