Wombia Review: Daily returns MLM crypto Ponzi scheme
Wombia provides no information on its website about who owns or runs the company.
Wombia’s website domain (“wombia.com”), was privately registered on July 16th, 2021.
In an attempt to appear legitimate, Wombia provides a UK incorporation certificate for Wombia Multinational Company Limited.
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.
Wombia also provides a Nigeria incorporation certificate for Wombia Integrated Resources LTD.
For the purpose of due-diligence, basic incorporation anywhere is meaningless.
Wombia’s marketing videos feature a robo-voice. This is typical of schemes run by non-native English speakers.
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.
Wombia has no retailable products or services.
Affiliates are only able to market Wombia affiliate membership itself.
Wombia’s Compensation Plan
Wombia affiliates invest cryptocurrency on the promise of advertised returns:
- Start Up – invest $25 to $9999 and receive 1.5% for 150 days (225% ROI), 75% of invested amount must be reinvested
- Trader – invest $10,000 to $24,999 and receive 2% for 130 days (260% ROI), 50% of invested amount must be reinvested
- Professional – invest $25,000 to $49,999 and receive 2.5% a day for 120 days (300%) ROI), 25% of invested amount must be reinvested
- Evolution – invest $50,000 or more and receive 3% a day for 100 days (300% ROI)
Note Wombia charges a 10% fee on all withdrawals.
The MLM side of Wombia pays commissions on recruitment of affiliate investors.
Wombia pays a 2% to 10% commission on crypto invested by personally recruited affiliates.
- recruit fifty affiliates to qualify for a 2% referral commission rate
- recruit one hundred affiliates to qualify for a 5% referral commission rate
- recruit two hundred affiliates to qualify for a 10% referral commission rate
Wombia 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 day Wombia tallies up new investment volume on both sides of the binary team.
Affiliates are paid 10% of funds generated on their weaker binary team side, capped based on how much they’ve invested:
- Start Up tier affiliates are capped at $2500 in residual commissions a day
- Trader tier affiliates are capped at $5000 in residual commissions a day
- Professional tier affiliates are capped at $7500 in residual commissions a day
- Evolution tier affiliates are capped at $10,000 in residual commissions a day
Rank Achievement Bonuses
Wombia rewards affiliates with the following one-time Rank Achievement Bonuses:
- Agent – generate $30,000 of investment volume on both sides of your binary team to qualify for a $1000 bonus
- Rank 2- generate $60,000 of investment volume on both sides of your binary team to qualify for a $2000 bonus and a Rolex watch
- Rank 3 – generate $90,000 of investment volume on both sides of your binary team to qualify for a $3000 bonus plus an iPhone 13 Pro and “franchise benefits”
- Rank 4 – generate $125,000 of investment volume on both sides of your binary team to qualify for a $4500 bonus plus an Apple Watch and laptop
- Rank 5 – generate $175,000 of investment volume on both sides of your binary team to qualify for a $6000 bonus plus “7 days 8 nights trip to Europe”
- Rank 6 – generate $300,000 of investment volume on both sides of your binary team to qualify for a $10,000 bonus plus “sports car” and $2500 monthly “fixed salary”
Wombia affiliate membership is free. Full participation in the attached income opportunity requires a minimum $25 investment.
Wombia solicits investment in bitcoin, litecoin, dogecoin, bitcoin cash, tron and tether.
Wombia offers up a typical MLM crypto Ponzi marketing ruse:
Wombia is an investment company, Our team works on making money from the volatility of cryptocurrencies and offers great returns to our clients.
No evidence of external revenue generation is provided.
Furthermore Wombia fails the Ponzi logic test. If Wombia already has a team making “great returns”, what do they need your money for?
As it stands the only verifiable source of revenue entering Wombia is new investment.
Using new investment to pay affiliate withdrawals makes Wombia a Ponzi scheme.
As with all Ponzi schemes, when recruitment dries up so too will new investment.
This will starve Wombia of ROI revenue, eventually prompting a collapse.
The math behind Ponzi schemes guarantees that when they collapse, the majority of participants lose money.