Crypto Terms:
Letter P
Jul 07, 2023 |
updated: Apr 02, 2024
What is Ponzi Scheme?
Ponzi Scheme -
is a fraudulent financial operation that offers investors enormous rates of return with low risk.
easy
1 minute
Let's find out Ponzi Scheme meaning, definition in crypto, what is Ponzi Scheme, and all other detailed facts.
A Ponzi scheme is a deceptive financial scam that promises investors high returns with little risk. It also produces rewards for earlier investors by taking money from subsequent investors. It is comparable to a pyramid scheme in that they both rely on new investors' contributions to pay off previous supporters. Organizations that participate in a Ponzi scheme devote all of their efforts to enticing new clients to invest.