Residual fails to provide ownership or executive information on its website.

In fact as I write this, Residual’s website is nothing more than an affiliate signup/login form.

Residual’s website domain (“residual.energy”), was privately registered on February 26th, 2023.

Official Residual marketing material features Russian:

This strongly suggests whoever is behind Residual has ties to Russia and/or eastern Europe.

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.

Residual’s Products

Residual has no retailable products or services.

Affiliates are only able to market Residual affiliate membership itself.

Residual’s Compensation Plan

Residual affiliates purchase positions in two cyclers with tether (USDT).

Matrix sizes used in Residual’s cyclers are 1×2, 1×3 and 2×2.

A 1×2 matrix is simple in nature, requiring only two positions to be filled:

A 1×3 matrix expands this to three positions needing to be filled.

A 2×2 matrix starts off like a 1×2 matrix but features a second level, generated by splitting the first two positions into another two positions each:

Positions in each matrix are filled by cycler purchased by new and existing Residual affiliates.

As positions are filled, commissions and new cycler positions are generated.

Residual runs two cyclers, which they’ve named “Speed” and “Energy”.

Speed Cycler

Residual’s Speed is a four-tier cycler. Commissions across Speed’s four tiers are as follows:

  • Tier 1 (2×1 matrix, positions cost 15 USDT) – no commission paid out, cycles into Tier 2
  • Tier 2 (2×2 matrix) – 30 USDT commission, generates two new Tier 1 positions and cycles into Tier 3
  • Tier 3 (2×2 matrix) – 60 USDT commission, generates two new Tier 1 positions, two new Tier 2 positions and cycles into Tier 4
  • Tier 4 (1×3 matrix) – 25 USDT commission, generates one new Tier 3 position and cycles into Energy Tier 1

Energy Cycler

Residual’s Energy is a twelve-tier cycler. Commissions across Energy’s twelve tiers are as follows:

  • Tier 1 (1×3 matrix) – 50 USDT commission and cycles into Energy Tier 2
  • Tier 2 (1×3 matrix) – 50 USDT commission, generates a new Tier 2 position and cycles into Energy Tier 3
  • Tier 3 (1×3 matrix) – 100 USDT commission, generates a 50 USDT staking position and cycles into Energy Tier 4
  • Tier 4 (1×3 matrix) – 150 USDT commission, generates a new Tier 1 position, a new Tier 2 position and cycles into Tier 5
  • Tier 5 (1×3 matrix) – 400 USDT commission, generates a 200 USDT staking position, four new Tier 1 positions, three Tier 2 positions, a Tier 3 position and cycles into Tier 6
  • Tier 6 (1×3 matrix) –  800 USDT commission, generates two Tier 1 positions and cycles into Tier 7
  • Tier 7 (1×3 matrix) – 2000 USDT commission, generates a 500 USDT staking position and cycles into Tier 8
  • Tier 8 (1×3 matrix) – 1800 USDT commission, generates a new Tier 5 positions, a new Tier 6 position and cycles into Tier 9
  • Tier 9 (1×3 matrix) – 3000 USDT commission, generates a 1500 USDT staking position and cycles into Tier 10
  • Tier 10 (1×3 matrix) – 4500 USDT commission, generates a a new Tier 2 position, a new Tier 3 position, two new Tier 4 positions, a new Tier 5 position, a new Tier 6 position, a new Tier 7 position and cycles into Tier 11
  • Tier 11 (1×3 matrix) – 10,000 USDT commission, generates a 2000 USDT staking position, a new Tier 9 position and cycles into Tier 12
  • Tier 12 (1×3) matrix – 90,000 USDT commission, generates a new 10,000 USDT staking position, two new Tier 1 positions, a new Tier 2 position, a new Tier 3 position, a new Tier 4 position, a new Tier 5 position, a new Tier 6 position, a new Tier 7 position and a new Tier 8 position

Staking Positions

Residual’s cycler awards staking positions from Tier 3 of the Energy cycler.

Neither Residual’s website or marketing material specifies what the staking component of the MLM opportunity involves.

Typically staking sees an affiliate park a cryptocurrency coin or token with the company for a period of time. This is done on the promise of a return.

Referral Commissions

Residual affiliates earn a commission when personally recruited affiliates cycle out of certain cycler tiers:

  • personally recruited affiliate cycles out of Energy Tier 3 = 50 USDT referral commission
  • personally recruited affiliate cycles out of Energy Tier 4 = 100 USDT referral commission
  • personally recruited affiliate cycles out of Energy Tier 5 = 100 USDT referral commission
  • personally recruited affiliate cycles out of Energy Tier 6 = 100 USDT referral commission
  • personally recruited affiliate cycles out of Energy Tier 7 = 300 USDT referral commission
  • personally recruited affiliate cycles out of Energy Tier 8 = 400 USDT referral commission
  • personally recruited affiliate cycles out of Energy Tier 9 = 500 USDT referral commission
  • personally recruited affiliate cycles out of Energy Tier 10 = 600 USDT referral commission
  • personally recruited affiliate cycles out of Energy Tier 11 = 3000 USDT referral commission
  • personally recruited affiliate cycles out of Energy Tier 12 = 10,000 USDT referral commission

Joining Residual

Residual affiliate membership appears to be free.

Full participation in the attached income opportunity requires at least one 15 USDT cycler position purchase.

Residual Conclusion

Residual’s marketing material cites a bunch of crypto buzzwords…

…none of which has anything to do with its MLM opportunity.

Residual is a simple Ponzi cycler, spread out over two tiers.

New Residual affiliates invest 15 USDT. Then, through direct and indirect recruitment of new affiliate investors, who also purchase cycler positions, invested USDT is transferred from new affiliates to existing affiliates.

As with any matrix cycler, the primary beneficiary of invested USDT is whoever owns Residual and early investors.

This takes place through their positions cycling to the upper tiers first, which is where the majority of USDT is paid out.

These first positions also generate a ton of phantom positions across the cycler, which further drains the system.

As with all MLM Ponzi cyclers, once affiliate recruitment dries up to so too will new cycler position purchases. This will in turn stall matrices within Residual’s cycler.

Once enough matrices within Residual’s cycler have stalled, an irreversible collapse is triggered.

The math behind Ponzi cyclers guarantees that when they collapse, the majority of participants lose money.