Paying earlier participants with later deposits.
WHAT A PONZI SCHEME IS
An arrangement paying returns from new deposits rather than from any activity.
WHY IT ALWAYS COLLAPSES
Obligations grow while deposits eventually slow.
WHAT THE STRUCTURE GUARANTEES
That most participants lose, mathematically.
WHAT HIGH-YIELD INVESTMENT PROGRAMMES ARE
Websites promising fixed daily or weekly returns, presented as trading or mining.
WHAT THEY ACTUALLY DO
Pay early participants from later deposits, then stop.
HOW LONG THEY TYPICALLY LAST
Weeks to months.
WHAT MAKES THEM RECOGNISABLE
Fixed returns, stated as a percentage per day or week Referral commissions No verifiable activity generating the returns Anonymous operators Professional presentation
WHY REFERRAL COMMISSIONS SPECIFICALLY
Recruitment is the actual business.
WHAT EARLY WITHDRAWALS PROVE
Nothing. Paying early participants is the mechanism.
WHAT PEOPLE SAY WHO PROFITED
That it works, which encourages others into the collapse.
WHAT TO UNDERSTAND
Entering early does not make it legitimate; it makes you paid by later victims.
WHAT OPERATING ONE MEANS
Participating in fraud, with legal consequences.
WHAT TO NEVER DO
Build, host, or promote such a platform.