Russia said it back in 1994, we've said it at dinbits.com, CoinTelegraph has said it multiple times, it's been called out about 200 times on Localbitcoins forums, just about anyone on Reddit knows, there's few dogs and cats that are unaware, and now finally ... after every other human on earth as figured it out ... the Chinese government, a country where MM Global just so happens to sit smack dab in the middle of, have gotten up to speed and said "well gee wiz, this is a scam" and declaring the Ponzi scheme illegal.
Oddly enough, they didn't seem to really care much until today when they announced plans to make their own digital currency. Oh boy ... another altcoin/altchain. I've really given up trying to keep track of them all. In this case they are being pretty smart, reducing costs. Sure seems like adopting bitcoin would be easier.
What is MMM Global?
MMM Global is a Ponzi-Scheme, not quite a Ponzi-Garza, and certainly not a Nonzi. Just a good old fashion Ponzi. That defines a scheme where you collect from new investors and pay old investors over and over again without actually doing anything to generate revenue other than new investors and this eventually burns out and implodes.
It actually started 20 years ago in Russia and was shut down then. After infesting China its recent target has been South Africa.
I think if the targeted Nigeria, that would worth paying for to watch implode.
"Such operating models present huge investment risks and their capital flows are not sustainable," the warning said. "Once the capital chain breaks, investors will face severe losses."
Nobody has been able to withdraw anything from MMM since December 25th and now, almost a month later, the Chinese authorities noticed the slight variance in millions of missing dollars and issued a warning.
All of the warnings in place to date have not persuaded people from joining MMM Global so the question is ... will this be the final nail in the coffin?
Story by dinbits
Image by staff