SEC-S17W3- "Let's talk about Ponzi scheme"

Hello my fellow steemians, it is good to be in this platform once again, am beginning to love this community and I will try my best to post quality post here, am here once again to participate in this week engagement challenge and I pray I should win. Wish you all success

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Ponzi schemes are fraudulent investment scams that promise high returns with no risk involved. This operate by using money from new investors to pay returns to old investors, creating the illusion of a good investment opportunity. The scheme eventually distroyed when there are not much investors to pay out returns, leading to substantial financial loss.

Ponzi schemes are named after Charles Ponzi, an Italian con artist who became known for managing one of the most known Ponzi schemes in the early 20th century. Due to the risks they keep on moving to thrive due to their power to attract investors with promises of quick and fast profits.

Engagers in Ponzi schemes are often lured in by the prospect of high returns and the involvement of family members or friends who have already invested. Meanwhile, many investors are left broken when the scheme collapses and they realize they have lost their whole investment.

To protect yourself for being part of the victim to a Ponzi scheme, it is essential to conduct thorough research on any investment you wish to participate. Look out for red flags such as a lack of information about the investment strategy, and pressure to invest fast.

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Being offered to invest in schemes can sound like a good opportunity to make a fast Gain. Meanwhile, it is important to meet these offers with caution. Many schemes promise high gain with no risk, but sometimes turn out to be scams.

If you have been offered to invest in a scheme, take time to investigate the offer and the person behind it. Look for red flags such as pressure to invest fast, and promises of guaranteed returns. It is also a good idea to seek advice from a big advisor or do a research.

In some years, there have been many high-profile cases of investment schemes that turned out to be bad, such as Ponzi schemes and pyramid schemes. These schemes is about recruiting new investors to pay in returns to fresh investors, creating a place of deception that collapses when new recruits dry up.

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Detecting Ponzi schemes can be a challenging task, as these schemes are designed to appear as legitimate investment opportunities. However, there are several red flags that investors can look out for to help identify a Ponzi scheme.

One common warning sign of a Ponzi scheme is a high rate of return that seems very good to be true. Ponzi schemes hardly on attracting new investors to pay returns to real investors, so promises of uncomon high and consistent returns should be viewed with skepticism.

Another red flag is a lack of transparency and jotting. Legitimate investment opportunities should provide good and detailed information about the investment , risks, and potential returns. If an investment opportunity is refuses to provide documentation.

Investors should also be away of pressure tactics and more Ponzi schemes sometimes hardly on creating a sense of fast and fear of missing out to get investors.

No I won't say steemit is a Ponzi scheme, this platform is unique and the best place to invest your money, in this platform your money is 100 percent secure. So I won't say it is a Ponzi scheme..

Thank you all for reading my entry I really appreciate, I invite @goodybest @mesola @benton3 to participate with this challenge..