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Vinefire scam

Vinefire Scam

Filed under: Business Strategy

I have had over a dozen emails in the last week about VineFire. I would like to start out by saying it took me about 15 seconds to go to this site and figure out that VineFire is a scam. Before you get sucked into this scam I would like to go over in details why this site is dishonest, and can not work. Anyone with a good understanding of finances
and math would agree with me in an instant.
vinefire

vinefire

Resources
VineFire Forum
VineFire Talk

VineFire Overview
The Program launched only about a month ago. On the outside it looks like a Reddit clone, but under it’s outer skin, is the making of a major scam. Like Reddit and Digg, you can post links and rate other links. The site is extremely simplified and doesn’t really have many features at all. If it wasn’t for their earning promises, there would really be no point in using the site since it’s just a collection of spammy links, that people click on thinking they will be paid.

VineFire Payout Promises:
Unlike Digg, and Reddit, Vinefire makes staggering claims about how much money they will pay per action. Here is a run down of all the ways they claim you will earn from using their service:

1. Just Sign up and Get $50 Cash
2. Add a Link Every 30 Seconds, and earn 12 Cents Each
3. Click on a Link and earn 45 Cents Each
4. Click a Featured link and earn 50 Cents each
5. Refer friends to Vinefire and earn 50% of their Earnings

The Maximum amount of money one can earn from Vinefire in any given day is $50.00. You can increase your daily limit to $100 per day if you pay a one time fee of only $5.

Why VineFire is a Scam

- The Math Doesn’t add up:
Yesterday VineFire was ranked in Alexa #3100. According to our estimations, by looking at sites we own and comparing traffic data, that equates to at the very least 30,000 unique visits per day. Now if none of them upgraded, and they all only earn half of the limit whish is $25 per day from clicking and submitting links, referring friends and signing up, that means Vinefire will owe its members on a daily basis $25 X 30,000 = $750,000. Hmm, interesting huh? They must make a ton of money with all that traffic, so can easily pay off that small sum of $750,000 a day, right? Wrong! Not even close. Their only means of revenue is from selling “starred” listings at a one time fee of $10. They also sell upgraded memberships for $5. Now what if all 30,000 members both upgraded their account and purchased the right to add stars next to their Vinefire links? That’s $15 X 30,000 or a one time fee totaling $450,000.

-Will not Pay out till January 2010:
So they claim, they won’t be paying out anything until Jan 2010. That is exactly 235 days away. Since they have an estimated outstanding expense of $750,000 per day, according to the math above, that means by January 1st they will owe over $176,250,000. This is all with revenues of only $450,000 at very best. Clearly, not even close to being a profitable business, unless of course they never pay anyone a dime.

How Will VineFire Owners benefit from the scam?
As we figured out above, They may take in approximately $450,000 from Upgraded members and purchased “star” upgrades. This is all profit besides their cheap server costs if they do decide to run off come January, which I am 100% certain they will. In addition they are likely making a small amount of money via the affiliate links they use for “featured links”.

source http://profilesblog.com/2009/04/vinefire/

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Mang nkd

Recreational cycling is perhaps the most satisfying way to get exercise, fresh air and improve your health compared to any other form of recreation. Getting there under your own power is rewarding. The views an experiences along the way are part of the world in which you live, instead of one you merely drive through