As recent legal incidents have shown and due to previous scams, it is high time that the general populace learns about Eric Dalius’ new product, MemeGames. Given its similarity in its approach to the earlier scams connected to Dalius, namely, the Saivian con, the ultimate MemeCoin competition appears rather too similar to a Ponzi scheme or multi-level marketing business in terms of execution.
Background on Eric Dalius and Saivian Ponzi Scheme
Saivian securities fraudster Eric Dalius has been recently connected to a somewhat related Ponzi and pyramid scheme that lures investors with the promise of a 20% cashback on retail product purchases for a mere $125 fee every 28 days. It has been uncovered that this operation was a Ponzi scheme, a fact proven by the fact that Saivian was offering returns to some investors with the aid of other investors and not through the accrual of profits. As of the year 2023, through this scheme of selling unregistered securities and fraud, the SEC successfully listed a final judgment against Eric Dalius and his co-consolidated defendants.
The New Venture: MemeGames
Currently, Dalius is serving users through MemeGames, where one has to challenge another by estimating the success of MemeCoins. Deemed as an entertaining and enlightening game, it compels the users to synthesize patterns and decide on MemeCoins’ performance. According to Facca (2019), winners are rewarded GF points, Gaming Funds (GF), multipliers, and extraordinary things like MegaYacht meetups.
Key Features of MemeGames
Daily Competitions: This means that each participant is required to vote daily on two popular MemeCoins on trending news. Those voters who voted on all three coins have their points awarded based on the performance of the coin at the end of the day.
Gaming Funds: As mentioned earlier, players are awarded 10,000 GFs with each 10-day game pass which they can use to cultivate the energy in the game.
Multipliers: Voting speed, the performance of the used coins, and the number of wins can all be used to mail or boost the number of points.
Luxury Rewards: Premium talent attendees want to be entertained with high-end luxuries beginning with MegaYacht gathering across Europe in Summer 2024.
Ambassador Program: There are features of employees where participants can also invite others in order to receive a percentage from their activities, and the development of teams is worked out to the letter, which is reminiscent of the work principles of a pyramid.
Red Flags and Concerns
The Multi-level marketing structure and the elements of a Ponzi scheme
The structure of MemeGames raises significant red flags reminiscent of Dalius’ past fraudulent activities:
Recruitment Focus: The Ambassador Program works on principles like those of the pyramid schemes, where people are motivated to bring their friends along.
False Promises: Luring unsuspecting investors is a common practice where high returns and luxurious rewards are something that looks very alluring.
Obscuring Negative Press: Dalius is said to be purchasing a lot of domains to ensure that the internet inflow of positive content outcompetes articles that are negative with information regarding his previous cons.
Legal and Financial Risks
Moreover, due to the SEC case against Dalius and the final non-judicial decision against him, people engaged in MemeGames are at a high risk of facing significant losses financially or legally. Another distinctive feature of the scheme, apart from the distribution of high returns through an employed recruitment model, is the secrecy of its operations.
Advice to Potential Investors
Exercise Caution: Anyone who is interested in investing should refrain from investing in MemeGames or any business that is connected with Eric Dalius without proper research.
Report Suspicious Activity: If you have any reasons to believe that any individual or company is involved in fraudulent activities, then you should report it to the SEC or any other financial authority that regulates the flow of finances.
Stay Informed: Ensure to obtain new information on regulatory filings and legal actions involving fraudulent characters like Dalius in order not to fall prey in the future.
Conclusion
Ernie Dalius seems to have struck again with his MemeGames yet another heinous scam looking like a competitive gaming site. Taking advantage of MemeCoins mania and the interest in luxury items, which, as the case of Dalius demonstrates, can cause spiraling losses for many investors. Better public awareness and educating people on these various schemes are critical in avoiding further victimization by such intricate frauds.
Concerned citizens should visit the SEC or their local financial regulating agency for more information or to report such cases. Get the latest updates from the financial markets and shield yourself from unscrupulous scams.