Chinese Government Warns Bitcoin Investors About MMM Global Ponzi Scheme

By January 20, 2016Bitcoin Business

Bitcoin has worn many different labels throughout the years, ranging from “fake internet money” to ‘ponzi scheme” and various other not-so-nice things. The Chinese government warned the public about the MMM Global Ponzi scheme that accepts Bitcoin payments, in an attempt to ensure consumer funds is kept safe from harm at all times. Such risky investments should be avoided at all costs, and this warning is a positive sign for Bitcoin itself.

Also read: Bitalo Simplifies Bitcoin Earning, Launches Multi-Service Platform The MMM Global Ponzi Scheme and Bitcoin

Anyone who is active on social media may have noticed a strong influx of posts related to this new “money making program” called MMM Global . As the name suggest, this is a scheme through which users have to complete daily tasks to earn money, and they will be paid a small percentage of their referral’s earnings as well. Due to this incentive, the MMM Global project has seen tremendous international growth, luring in unsuspecting investors hoping to make a nice profit.

This warning issued by the Chinese government relates to the Chinese arm of MMM Global, and its founder, Sergei Mavrodi . Even though this marketing scheme is actively looking for investments in China, the company itself is registered in Russia. As a result, Chinese police and government officials have no jurisdiction over the website, and they can only issue stark warnings about the risks associated with MMM Global.

MMM Global has the look and feel of a pure pyramid scheme , as it will only keep paying out for as long as new member funds keep flowing in. Under Chinese law, these types of pyramid schemes are prohibited, although there is very little officials can do about it. Just a few days ago, the Chinese government announced how they […]

Leave a Reply

All Today's Crypto News In One Place