Pyramid fraud: ED attaches assets worth Rs 757 crore of Amway India

[vidhubhushan]

Classic MLM, recruit people below you to earn from them. And those people have to also recruit people under them and so on. To read between the lines: The crypto is just an excuse to move money upwards. I bet the main income is not from the crypto but from recruiting people. These MLMs show the facade of being "direct sellers" with actual products but the products (crypto in this case) is just a medium to move money upwards.


That's because they actually aren't. They have to show support so make the scheme look attractive to outsiders. Many of them buy expensive cars, flats on loan just to share on social media. Trust me, I know some people (relatives) who have done this.

Edit: To be fair, it is possible to make a lot of money using such a scheme, but only if you are willing to be unscrupulous and cut-throat. Very few people actually make a profit this way and most, especially towards the bottom of the pyramid, lose more money than they gain.

right now main / only income is from someone's joining money and just a little from that autopool. there is one crypto pearlvine mynt but either these people don't know or don't want to acknowledge. they just keep repeating that this is an autonomous software just like google etc. which we use but don't pay any fee still they make a lot of money......... and the blah blah continues. when i said no, i couldn't get this, two of them said you are missing a platinum diamond opportunity.

 

[Desmond]

platinum diamond

Another characteristic of these MLMs is that they have these ranking ladders. Depending on certain criteria (varies depending on the MLM, could be money spent or points gained by doing something, etc.) they will rate the members. Commonly, they have rankings named after gems like diamond, double black diamond, etc.

 

[Zangetsu]

 

[Desmond]

Good explanation in short.

 

[RumbaMon19]

Is tupperware also mlm?

 

[Desmond]

Tupperware is actually weird in that it's more closer to direct selling than MLM since they mostly depend on selling the actual product to customers than recruiting new members.

However, these days the line between direct selling and MLM seems to be blurred a lot. Many MLMs call themselves direct sellers to appear legitimate.

 

[Desmond]

Man pitches pyramid scheme to investors on TV

Saw this on /r/cringe

 

[Nerevarine]

Ok I couldnt watch after he said

ok will you please let me finish my pitch.

Kudos to you Desmond for visiting that sub.

 

[Zangetsu]

Good explanation in short.

now watch this

 

[TheSloth]

Man pitches pyramid scheme to investors on TV

Saw this on /r/cringe

I could not control my laughter after he said he got this scheme from his ex wife. The confidence these guys show is scary.