Should i invest in MMM?

We have done a response to MMM scheme in the past, we classified it as a highly risky pyramid scheme. following the growing inquiries, we are of the opinion a detailed explanation is needed.

The MMM scheme is simple,

(1.) You take real money, convert to electronic money by buying electronic units from the MMM

(2) Your electronic money now earns 30% a month or 2,230% a year! NOTE: your real money does not earn, the electronic money earns, this is an important distinction.

(3) The MMM allows you to simply park your electronic money and “earn” 30% a month. To get your real money back, you must sell your electronic money for real money to a new participant.

(4) So to be clear, it’s possible to have units worth N1m on the electronic platform, but that is not real money. You only get real money when you sell your electronic units…not to MMM but to a new participant,

(5) So what happens if there are no more buyers of new electronic units? This is the risk. MMM does not buy back units, you can only transfer to a new participant.

(6) MMM is a game of “musical chairs”, ultimately there will be “participants” who have booked an electronic profit on the MMM site, but cannot get their funds out.

(7) The success of the MMM scheme depends on new “participants” willing to buy the units of existing participants who have already earned the promised 30% a month…hence a clear pyramid scheme.

(8) The return of 30% is to ensure there is a steady supply of new participants, to take out existing participants.

Hence we again issue a clear statement, this is not an investment, and it should not be considered an investment. Its gambling, it’s a gamble that should the participant want to exit, there will be a new participant to take him out….

Kind regards

@FinPlanKaluAja