What Is A Ponzi Scheme: Here's A Retail And Examples

YOGYAKARTA - If you want to invest in wary kudu! The reason is, at this time there is an even more uproar over fraud under the guise of investment. One of them that quite a lot of victims is the problem of fraudulent investments that use the Ponzi scheme in its implementation.

Launching from Antara, the Ponzi scheme is an investment fraud that is attempted by promising big profits and low risks to investors.

The name Ponzi itself comes from an Italian mafia, Charles Ponzi, who first used this scheme in 1919.

He succeeded in making many people suffer losses from fraudulent investment activities being carried out.

This must have caused a stir and the name Ponzi was used as the name of the scheme.

Investment with the Ponzi scheme is basically purely the circulation of money from its own members.

The process is to rely on a constant flow of new investment to continue to share returns with previous investors.

If the flow runs out, the scheme will be scattered.

Examples of Ponzi Scheme

Of course, this fraud scheme also exists in Indonesia. For OJK, especially since this application has existed since the 1990s.

Then what are the examples in Indonesia? OJK said some examples, among others.

How Ponzi Scheme Works

This scheme works by promising lucrative returns if investors succeed in inviting others to join.

Old investors will be paid in money from new investors.

When new investors want their profits, they will be paid with other new investors' money.

This pattern will continue so that investors will continue to look for new investors.

Owners of companies or investment service bidders do not hesitate to prepare fraudulent facilities such as rental offices, fictitious investment products, and others.

This scheme will be destroyed when new investors are no longer found. This is because there is no money to pay the returns promised to the old investors.

Uniquely, this Ponzi scheme investment generally plays in elite areas in the community order.

They sell big names as endorsers. The management system is wrapped in such a slick and credible.

Meanwhile, the scheme being implemented is completely irresponsible.

So after knowing what the ponzi scheme is, look at other interesting news on VOI, it's time to revolutionize news!