Ai Mining (aimining.org) Review: Legit or a Scam?

Ai Mining writes on their website (aimining.org) “Easy money, you don’t need to buy your own physical miner, let alone pay for electricity and overheads for this. All you need to do is purchase a miner and you can easily earn digital currency!”

This promise of easy money is indeed eye catching, but mining cryptocurrencies is anything but easy. You can read about the process here. The next thing that caught our eye on the website of Ai mining was the roadmap, this is the chronological events from when the company was established till date.

The Timeline

It is clearly stated that the company was founded in December 2010 by Georg Sigl. To verify this, we visited the Companies house UK, the portal to search for companies in the UK. We found a company called AI Mining Limited.

The first thing we noticed about this company is that it was incorporated on 13 July 2010 (not December 2010) and has been dissolved since 16th July 2019.

Also, the initial name of the company when it was founded was “EXISTOR RUSSIA LIMITED”

Finally, none of the principal officers is named Georg Sigl. From these, we can deduce this is another company that bears no relation with Ai Mining currently under review, and since there is no other company named Ai mining on the portal, we can deduce that their claim of being founded in 2010 in the UK is a fabrication.

The next thing on the timeline is the establishment of a mine in June 2017

From other information on their website this mine is supposedly in Texas and still operational. If this is true, then Ai mining would have a business presence in Texas. Using the taxable entity search of the Texas Comptroller of Public Accounts, which is a database of all business entities in Texas, we found no records for Ai mining.

From this we can deduce their claim of having a mining facility is false.

The final issue on the timeline that we would like to bring to your attention is when Ai mining started operations in Nigeria. According to their timeline, it was January 2022.

But on another place on their website, specifically the section called “Whitepaper,” three certificates are displayed, one of which is a certificate of incorporation from the CAC

The certificate shows the company was registered as CloudAi mining limited. A check on the CAC websites shows the company was incorporated on July 8, 2022.

So, if the company started operation in Nigeria in January, and didn’t get registered till July, that means they were operating illegally for not less than 6 months. This is because the Companies and Allied Matters Act (Section 78, Subsection 1) clearly states that

…every foreign company which before or after the commencement of this Act was incorporated outside Nigeria, and having the intention of carrying on business in Nigeria, shall take all steps necessary to obtain incorporation as a separate entity in Nigeria for that purpose, but until so incorporated, the foreign company shall not carry on business in Nigeria or exercise any of the powers of a registered company and shall not have a place of business or an address for service of documents or processes in Nigeria for any purpose other than the receipt of notices and other documents, as matters preliminary to incorporation under this Act.

Now, let us pause and consider this. Any reputable foreign company would surely do some investigation to find out the extant laws in a country where they want to set up operations. As such, it is more likely to posit, and in line with other discrepancies we have noted, that this whole timeline is a fabrication.

The Application

Let us turn our attention to the Ai mining application. It is important that before we begin, we keep in mind the claims made by Ai mining on their website. In their whitepaper they claim:

“we run specific set of rules followed in calculation or other problem solving operations and communicate with remote servers to get the corresponding bitcoins, etherum, etc.

Our mining machines have unique arithmetic power and are more profitable than other similar machines in the market.“

First, the typographical errors leave much doubt that someone from an international organization wrote this. Furthermore, these statements are very vague. A standard cloud mining operation would list the various cryptocurrencies being mined, simply saying “bitcoins, etherum, etc” leaves much to be desired, but upon opening the Ai mining application, we found the situation to be much worse.

After registration on their application, we deployed a free miner called “Miner 0”, after about 18 minutes our account was supposedly 0.001159 USDT richer and after about 5 hours 0.045721 USDT.

Notice that the “Mining Income” is in USDT, this is a cryptocurrency called Tether. But in real life, Tether cannot be mined, you can either get it through Tether Limited or through cryptocurrency exchanges that support Tether. So how exactly is this miner mining a cryptocurrency that cannot be mined? Obviously, it cannot, so this is another line of evidence that puts Ai mining’s claim of running a mining operation in doubt.

Another thing we noticed on the app was a section dedicated to building your own team.

This is inviting others to join the platform and getting compensated as they make purchases on the platform. Ai Mining’s white paper gives more detail on how this works.

This is a classic pyramid structure; one must wonder why it is necessary if the miners are great at delivering constant profits. It is worthy to note that the presence of a multi-level pyramid structure is a common feature of failed crypto investment schemes.

Finally, but most importantly, any entity offering an investment opportunity to Nigerians must be registered with the Securities and Exchange Commision. No record of Ai mining or CloudAi mining was found on the SEC Portal.

Putting it all together, Ai mining’s claims of its founder, when it was founded, and its Texas mining operation are all in doubt. Coupled with the fact that it mines a cryptocurrency that cannot be mined, has a pyramid structure, and is not registered with SEC, any conscientious person would agree these are enough reasons to avoid this platform.