race2million-logoThere is no information on the Race2Million website indicating who owns or runs the business.

There is an “about us” page linked off the Race2Million website, however it appears to have been disabled:

about-us-page-disabled

Meanwhile the Race2Million website domain (“race2million.com”) was registered on the 27th of December 2014, however the domain registration is set to private.

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.

The Race2Million Product Line

Race2Million has no retailable products or services, with affiliates only able to market affiliate membership with the company.

Once signed up, Race2Million affiliates can then purchase $2.50 matrix positions. Bundled with each of these positions are a series of advertising credits, which can be used to display advertising on the Race2Million website itself.

The Race2Million Compensation Plan

The Race2Million compensation plan sees affiliates purchase $2.50 matrix positions.

These positions are then run through a seven-tier cycler. In this cycler Race2Million use three matrix sizes – 1×3, 2×3 and 3×10.

A 1×3 matrix has three positions to fill, a 2×3 fourteen positions and the 3×10 has 88,572.

Commissions are paid out as affiliates “cycle” out of the first six matrix-tiers, with the seventh a 3×10 company-wide matrix.

  • Lap 1 (2×3, positions cost $2.50) – $5 commission paid and cycles into Lap 2
  • Lap 2 (1×3) – $10 commission paid and cycles into Lap 3
  • Lap 3 (1×3) –  $20 commission paid and cycles into Lap 4
  • Lap 4 (1×3) – $40 commission paid and cycles into Lap 5
  • Lap 5 (1×3) – $60 commission paid and cycles into Lap 6
  • Lap 6 (1×3) – $100 commission paid and cycles into Lap 7

Lap 7 is a 3×10 matrix, which operates differently to Laps 1 to 6. There is no cycling in Level 7, with each matrix filling as positions from other affiliates cycle out of Lap 6.

A 3×10 matrix places an affiliate at the top of the matrix, with three positions directly under them:

that-free-thing-3x8-matrix-compensation-plan

These three positions form the first level of the matrix, with level 2 generated by splitting each of them into another three positions each.

Level 3 is generated by doing the same with level 2 (splitting nine positions into twenty-seven), and so on and so forth down a total of ten levels.

Commissions in Lap 7 are paid as the matrix fills as follows:

  • level 1 – $25 per position filled (3)
  • levels 2 and 3 – $20 per position filled (36)
  • levels 4 to 7 – $10 per position filled (3240)
  • level 8 – $15 per position filled (6561)
  • level 9 – $25 per position filled (19,683)
  • level 10 – $23.33 per position filled (59,049)

Note that a 10% referral commission and matching bonus is also paid.

The referral commission is paid on funds spent on matrix positions by personally recruited affiliates, whereas the matching bonus is a 10% match on the same personally recruited affiliate’s matrix earnings (not sure if it includes Lap 7).

Joining Race2Million

Affiliate membership with Race2Million is free, however affiliates must purchase at least one $2.50 matrix position in order to participate in the income opportunity.

As such, the defacto minimum cost of Race2Million affiliate membership is $2.50.

Conclusion

When you tally everything up, the math behind Race2Million is pretty bad.

You buy in for $2.50 with the advertised $2 million dollar ROI requiring 800,094 subsequent positions to be invested in.

Those positions then each require another 640 billion positions to be invested in, and bear in mind that’s only one generation of affiliates.

And if that wasn’t bad enough, with the scheme just shuffling newly invested funds around to pay off existing investors, Race2Million also operates as a Ponzi scheme.

Once investment in new $2.50 positions slows down, each of the first six-tiers will also slow down before eventually collapsing.

That in turn stops feeding positions into the seventh tier, at which point Race2Million collapses.

With so many tiers in the cycler there’s likely to be a lot of stalled positions, with the admin doing a runner with the funds used to purchase them.

Also it’s typical for the admin of a matrix-cycler to preload the scheme, so expect the only positions to get anywhere to provide additional funds to the admin.

Everyone else? You might as well just deposit funds directly into the admin’s bank account and be done with it.