🌱 How to spot a pyramid scheme


Be cautions of:

  1. recruitment
  2. being forced to report a good experience before you making a profit.
  3. time pressure
  4. payment to be required to sell products

Exponential expansion is what makes these schemes unsustainable.

A pyramid scheme is money funneling up to the founder

A Ponzi scheme is money money around a group from new members through founder to old members.

A multi level marketing is a pyramid scheme hidden behind product.

They prey on tight nit groups like churches.

Reason victims don’t want to admit they were involved:

  1. they are embarrassed into silence
  2. they blame themselves
  3. they continue to try new MLMs
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