What happened to Kipi?
The Kipi Investments website was hacked earlier this year, sending shockwaves through the community, comprised of thousands of investors across South Africa. The suspected pyramid scheme or Ponzi scheme is currently under investigation by the Hawks, though it claims to be an ‘online stokvel community.
Is pyramid scheme illegal in South Africa?
Pyramid schemes are illegal scams in which large numbers of people at the bottom of the pyramid pay money to a few people at the top. Each new member recruited joins at the bottom and works their way to the top. In order to join, you may have to pay anything from a few rands to many thousands of rands.
What happened to MMM South Africa?
Controversial “donation platform” and alleged Ponzi scheme, MMM South Africa has collapsed and rebooted amid what it calls a “media panic”. The group blamed the collapse of the system on media reports and South African banks, which it alleges have hurt and robbed “millions” of people who were part of the MMM scheme.
When did MMM crash in South Africa?
Send this story to a friend! Cape Town – MMM, the online Ponzi scheme that collapsed in South Africa and Nigeria in 2016, is attempting to reboot its scheme by offering a Bitcoin-based currency to all users around the world.
Can you get rich from a pyramid scheme?
Pyramid schemes are doomed to fail because their success depends on the ability to recruit more and more investors. Since there are only a limited number of people in a given community, all pyramid schemes will ultimately collapse. The only people who make money are those few who are on the top of the pyramid.
Is MMM global legit?
MMM Global (also known as МММ-2011 / МММ-2012) is a Ponzi scheme launched in 2011 by Sergei Mavrodi, with subsidiaries in up to 110 countries; it became widely popular in various African countries such as South Africa, Nigeria, Zimbabwe, Kenya and Ghana with some attributing this popularity to poverty and poor …