CoffeeGems Review  –  Ponzi Scheme –  MLM Scam

Website & Company Information

The web domain of the company was privately registered on the 23rd Of November 2015 and was later updated recently on 2020–08–08. According to the website, the company was founded by Abelardo and Antônia Santos.

The marketing materials pitch Santos as experts in coffee production with years of experience in the industry. However, there are no footprints of Abelardo and Antônia Santos on the net that co-related to the coffee niche. These are just names on the site without any picture, forcing us to question their existence.

Wayback Machine suggests that prior to October 2019, CoffeeGems’ domain was for sale. So it was bought and designed for this company recently.

As always, if the company is not being transparent about its corporate structure, then you must think twice before handing over your hard-earned money to anonymous people on the internet.

CoffeeGems’ Products

The company has no retailable products or services, with affiliates only able to market CoffeeGems affiliate membership itself.

CoffeeGem’s Compensation Plan

The affiliates of the company invest Bitcoin on the promise of an advertised weekly return:

  • Jamaican Blue — invest anywhere between $50 to $99 worth of bitcoin and get up to $8 per week
  • Kopi Luwak — invest anywhere between $100 to $499 worth of bitcoin and get up to $40 per week
  • Hacienda La Esmeralda — invest anywhere between $500 to $999 worth of bitcoin and get up to $80 per week
  • Finca El Injerto — invest anywhere between $1000 to $4999 worth of bitcoin and get up to $400 per week
  • Black Ivory — invest anywhere between $5000 to $20,000 worth of bitcoin and get up to $1600 per week

Meaning you will get around 8% ROI per week for the next 2 years.

Referral Commissions

A 13% direct referral commission is paid on funds invested by personally recruited affiliates.

Residual Commissions

The company also pays residual commissions via a binary compensation structure.

Affiliates are paid 10% of investment volume on their weaker binary team side.

Note that the program caps payable binary team levels based on how much an affiliate has invested:

  • invest at the Jamaican Blue tier and earn residual commissions down six binary team levels
  • invest at the Kopi Luwak tier and earn residual commissions down eleven binary team levels
  • invest at the Hacienda La Esmeralda tier and earn residual commissions down fifteen binary team levels
  • invest at the Finca El Injerto tier and earn residual commissions down eighteen binary team levels
  • invest at the Black Ivory tier and earn residual commissions down twenty-one unilevel team levels

Once paid out on, funds are matched against the stronger binary team side and flushed. Any leftover volume on the stronger binary team side is carried over.

Joining CoffeeGems

Joining CoffeeGems affiliate membership is free. However, full participation in the attached income opportunity requires a minimum investment of $50.

Conclusion

CoffeeGems is a Ponzi scheme that is being run with the tag of a coffee company. The company does not have any anything to do with coffee in real. All the use of ‘coffees’ is limited to the company’s marketing materials.

CoffeeGems’ business model also fails the Ponzi logic test because if the owners are able to generate a weekly ROI of 8%, then why do they need your money?

Secondly, the coffee industry doesn’t do business in bitcoin, so it makes no sense for a company representing itself as a giant in the coffee industry to be soliciting investment in a cryptocurrency.

As it stands, the only money going into the system is new investments by new affiliates. And using the new investment to honour existing withdrawals makes it a Ponzi Scheme. When the new funds stop coming in, the system will collapse, and the majority of the participants will lose money.

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