AlysDax provides no information on its website about who owns or runs the company.
AlysDax’s website domain (“alysdax.com”) was first registered in October 2019. The registration details were last updated on February 2nd, 2020, through a German registrar.
AlysDax LTD is listed as the domain owner, through a bogus address in the UK.
Further research reveals a number of AlysDax promoters tying the company to Weenzee.
Weenzee was a Ponzi scheme launched in late 2018. The scam collapsed in in July 2019.
Weenzee was believed to be run by eastern European or Asian scammers, who primarily targeted investors in Brazil.
At the time of publication Alexa cites Brazil (25%), Vietnam (23%) and Japan (10%) as the top three sources of traffic to AlysDax’s website.
This could just be a configuration error, but an oddity I found was Spanish used for support on AlysDax’s default English-language website:
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.
AlysDax’s Products
AlysDax has no retailable products or services, with affiliates only able to market AlysDax affiliate membership itself.
AlysDax’s Compensation Plan
AlysDax affiliates invest $25 to $50,000 on the promise of an advertised 1% daily ROI.
Affiliates appear able to invest for 30 to 180 days, after which their initial investment and accumulated returns are paid out.
Higher ranked AlysDax affiliates receive “bonus days”, allowing them to earn beyond the base ROI offered.
AlysDax Affiliate Ranks
There are seven affiliate ranks within AlysDax’s compensation plan.
Along with their respective qualification criteria, they are as follows:
- SP1 – sign up as an AlysDax affiliate and invest at least $25.
- NP2 – invest at least $300, personally recruit ten affiliates and generate $1000 in total downline investment volume
- MP3 – invest at least $1000, personally recruit fifty affiliates and generate $10,000 in total downline investment volume
- BP4 – invest at least $5000, personally recruit one hundred affiliates and generate $30,000 in total downline investment volume
- LP5 – invest at least $10,000, personally recruit one thousand affiliates and generate $100,000 in total downline investment volume
- GP6 – invest at least $50,000, personally recruit three thousand affiliates and generate $1,000,000 in downline investment volume
- XP7 – invest at least $100,000, personally recruit ten thousand affiliates and generate $10,000,000 in downline investment volume
Referral Commissions
AlysDax pays referral commissions via a unilevel compensation structure.
A unilevel compensation structure places an affiliate at the top of a unilevel team, with every personally recruited affiliate placed directly under them (level 1):
If any level 1 affiliates recruit new affiliates, they are placed on level 2 of the original affiliate’s unilevel team.
If any level 2 affiliates recruit new affiliates, they are placed on level 3 and so on and so forth down a theoretical infinite number of levels.
AlysDax caps payable unilevel team levels at seven.
Referral commissions are paid as a percentage of funds invested across these seven levels as follows:
- SP1 ranked affiliates earn 3% on level 1 (personally recruited affiliates) and 1% on levels 2 and 3
- NP2 ranked affiliates earn 3% on level 1, 2% on level 2, 1% on level 3 and 0.5% on level 4
- MP3 ranked affiliates earn 4% on level 1, 2% on level 2, 1% on levels 3 and 4 and 0.5% on level 5
- BP4 ranked affiliates earn 4% on level 1, 3% on level 2, 2% on level 3, 1% on level 4 and 0.5% on levels 5 and 6
- LP5 ranked affiliates earn 5% on level 1, 3% on level 2, 2% on level 3, 1% on levels 4 and 5 and 0.5% on levels 6 and 7
- GP6 ranked affiliates earn 5% on level 1, 4% on level 2, 3% on level 3, 1% on levels 4 and 5 and 0.5% on levels 6 and 7
- XP7 ranked affiliates earn 7% on level 1, 5% on level 2, 3% on level 3, 1% on levels 4 to 6 and 0.5% on level 7
Bonus Daily Returns
Starting from the NP2 rank, AlysDax affiliates earn bonus daily returns on invested funds as follows:
- 30 day investment period – NP2 and MP3 ranked affiliates receive 1 bonus day, BP4 and LP5 affiliates receive 2 bonus days and GP6 and XP7 affiliates receive 3 bonus days
- 60 day investment period – NP2 and MP3 ranked affiliates receive 2 bonus days, BP4 and LP5 affiliates receive 4 bonus days and GP6 and XP7 affiliates receive 6 bonus days
- 90 day investment period – NP2 and MP3 ranked affiliates receive 3 bonus days, BP4 and LP5 affiliates receive 6 bonus days and GP6 and XP7 affiliates receive 9 bonus days
- 120 day investment period – NP2 and MP3 ranked affiliates receive 4 bonus days, BP4 and LP5 affiliates receive 8 bonus days and GP6 and XP7 affiliates receive 12 bonus days
- 150 day investment period – NP2 and MP3 ranked affiliates receive 5 bonus days, BP4 and LP5 affiliates receive 10 bonus days and GP6 and XP7 affiliates receive 15 bonus days
- 180 day investment period – NP2 and MP3 ranked affiliates receive 6 bonus days, BP4 and LP5 affiliates receive 12 bonus days and GP6 and XP7 affiliates receive 18 bonus days
Joining AlysDax
AlysDax affiliate membership is tied to an initial $25 to $50,000 investment.
Conclusion
AlysDax represents it generates external revenue through “margin trading”.
No evidence of trading revenue being used to pay advertised returns is provided.
Furthermore AlysDax’s business model fails the Ponzi logic test.
If a system by which AlysDax’s anonymous admins can generate a 1% daily ROI is already in place, what do they need your money for?
Being a passive investment opportunity, Alysdax’s MLM offering constitutes a security.
AlysDax fails to provide evidence it has registered its securities offering in any market it solicits investment in.
In addition to securities fraud, the lack of retail within AlysDax lends itself to pyramid fraud too.
As for ties to Weenzee, it’s possible although I’m not sure where the source of the comparisons originates.
As far as I can tell the only similarities are that both schemes
- could be run by eastern Europeans;
- pretended to be based out of the UK;
- used the same German registrar to register their domain names; and
- primarily targeted investors in Brazil.
Beyond that I’m unaware of any official corporate ties between the two companies.
In any event, AlysDax is a Ponzi scheme. As with all MLM Ponzi schemes, once recruitment runs dry so too will new investment.
This will starve AlysDax of ROI revenue, eventually prompting a collapse.
The AlysDax platform reports a refusal from liability for possible losses due to the use of the AlysDax platform by the User.
The math behind Ponzi schemes guarantees that when they collapse, the majority of investors lose money.