Is Massdrop Marketing legit or a scam? Let’s find out in this review.
Update: August 6, 2021- NBI arrests Edgar Joseph Tan, the leader of the Massdrop Marketing Ponzi Scheme.
Update: May 19, 2021, SEC issues advisory against investing in Massdrop Marketing Ponzi scheme.
Massdrop Marketing guarantees you will make money out of your investments in a short period.
Without doing anything.
Just sit down and wait for your money to grow. It is easy money, isn’t it?
We’ve made this Massdrop review for you, so you’ll understand how this company works. Spare a few minutes of your time to read our Massdrop Marketing ultimate review.
Table of Contents
What is Massdrop Marketing?
Massdrop Marketing is a local networking company in the Philippines that guarantees high returns and easy money for its investors. It sells beauty products and a franchise to the public.
EJ Tan runs the firm as CEO while Christian Lorenza and Tyron Villanueva serve as Vice-President and Shop Head Marketing, respectively.
Massdrop Marketing is located at unit 206 BFCT Building Marikina City, Philippines.
The company sells beauty and health products. These products are bundled into packages so that when you pay your initial investment, there may be a legitimate sale of goods.
It also sells a franchisee package called Double Tea worth Php368,000. Double Tea offers milk teas in various flavors.
Massdrop Marketing guarantees you will make money without doing anything. See the discussion on the compensation plan below.
20% of Capital Guaranteed Income
Your initial investment in this company (minimum of Php1,000) will grow at 20% per month. As long as you don’t withdraw your investment, you’ll get 20% per month.
All you have to do is sit down. Wait for 30 days and you’ll have Php20,000 out of your Php100,000 capital.
Wondering where all that income came from? We suspect it came from the investment of others.
There isn’t any legitimate company offering such unrealistic high returns to its investors. Promising 20% per month or 240% per year isn’t sustainable.
Direct Referral Income
Refer someone to Massdrop Marketing and get a percentage of their payment as your direct referral income.
Sell the company’s products and get 25% discounts as your profit.
Double Tea Franchise
If you pay Php368,000 and become a franchise holder of Double Tea, you can sell milk tea and make money from it.
In addition, if you can recruit someone who will buy the franchise package, you’ll have Php20,000 commission as a franchise agent.
We wonder if it is a good idea to invest in Double Tea.
Although the company promised that you will recover your investment after 100 days, it is relatively new with no track record of profitable operations yet.
So, think, before you invest. Php368,000 isn’t cheap.
Is Massdrop Marketing Legit or Scam?
Based on the information we gathered across the web, we believe Massdrop Marketing is a scam. It offers guaranteed unrealistic high returns to its investors without doing anything.
The company was launched in the middle of 2020. So, don’t expect it’s making a lot of money selling soaps or milk teas all over the Philippines.
How will the company finance its guaranteed 20% return to its members?
Simple. From the capital of new investors.
How do we call this scheme?
It is called a Ponzi scheme.
In Ponzi schemes, promised returns of investors were taken from the payments of new investors. When new investors are no longer coming in, withdrawals will exceed collections.
Eventually, the scheme will fall. And those who haven’t recovered their investment yet will lose a lot.
While we believe Massdrop Marketing is a Ponzi Scheme, we also think it is selling an investment contract.
Massdrop Marketing as an Investment Contract
An investment contract is a transaction or scheme whereby a person invests his money in a common enterprise. Then, he or she is led to expect profits primarily from the efforts of others.
In our opinion, Massdrop Marketing satisfies the elements of an investment contract.
People invest their money in the company. They are promised a guaranteed 20% return based on their investment without doing anything.
Before Massdrop can sell its packages to the public, it must secure a secondary license from the SEC first and register the investment contract.
However, we can’t any evidence that this subject company complied with the requirements of the investment laws and regulations. Hence, we call it an investment scam.
Massdrop Marketing Review Conclusion
We believe, Massdrop Marketing is a scam. Its business model looks like a Ponzi scheme.
Your income without doing anything probably will come from the capital of new investors since the company has not demonstrated a profitable operation yet.
This business will eventually collapse.
When it could no longer find new investors, the entity will disappear. You will surely lose a lot of money if you are one of the latest investors to pay.
Moreover, we don’t recommend purchasing the Double Tea franchise. While you can sell milk teas on it, there is no reliable data that the brand is saleable to the public.
Finally, we think the company is selling an unregistered investment.
What are your thoughts on this Massdrop Marketing review? Do you believe that it is a scam? Or do you think it’s is legit?
Share your ideas in the comment section below.