They only pay 10% on foreign currencies, not dollars. If they are paying 10% on dollars, they are either at risk of going bust, are laundering money or some other criminal activity, or they are a fraud.
Wow, a bank that can't spell Private properly. How can I resist the lure of a bank in a dodgy Mediterranean tax-haven complete with Russki mafia-friendly mispelling of English words. What could possibly go wrong!
Two legitimate ideas surface from observation of ponzi scams. One is that there is no excuse for not being able to market to investors, if you are a semi-legitimate trader. For example, these people manage to raise $100 mill+ in a year from dumb fish. Since there is no substance to their claims, this proves you can market anything to dumb fish, if you have flashy marketing. If you have semi-legitimate returns, you should simply copy ponzi marketing, and use the real returns. Just dress it up as some kind of "safe capital preservation fund" or something. Then put it in junk bonds, stocks, and Treasuries, and simply collect 2% management fees per annum with no risk whatsoever. You will probably actually make money for them too (and 100% more than they would make in a ponzi, lol). Or simply trade the capital like a hedge fund. Voila, you just got a 100 m startup fund, with no performance record, investor interviews, nothing. You might even do well and make money for them and get rich legitimately! Secondly, another business opportunity suggests itself. Why not hire private investigators to track down the operators of these scams before they get busted by the authorities. Unlike the authorities, you only need to find the people - you don't need to *prove* anything in a court. Once you find them, simply hire a few heavies, go round, stick guns in their faces and tell them to pay you $10 million or you will kill them. What are they going to do, call the cops? Better still, these kind of scum *actually deserve to die*, so if they resist and you have to shoot them...well, you just did the world a service. Obviously, 99.9% of fraudsters will pay up 10% of the dough to save their skins, it's practically no risk.
Actually good point, Thanks However, there are many things you can learn from thieves and still not going to be a thieve.
The main problem is that psychopaths win the race to the bottom. Just reference the illegal narcotics trade. Now if one happens to already be a psychopath, then protection rackets on illegal operations might be a fine career choice.
As I mentioned the original website is down, only cached versions can be found with Google. But here is the message board discussion: http://www.talkgold.com/forum/showthread.php?t=256181&page=1 As with any well organized Ponzi, the first investors, (specially with small amount) got their money back with profits. Then when they told about this "fantastic opportunity" to their friends and relatives and they sent their money, that's when the investing vehicle closed down. It is a very eyeopening read, although 600 pages long....
Maybe the idea is to be a Ponzi investor in one of the first tranches who gets out at his earliest opportunity and stays out for good.
But then how does your Ponzi investor know how to time it? It's just like penny stocks run up by promoters -- only the insiders know when the crash is about to come. I took a look at the talkgold site and was simultaneously amazed and saddened -- a site that has over 100000 members and millions of posts seemingly devoted to one particular type of scam (HYIP).
"I took a look at the talkgold site and was simultaneously amazed and saddened" Like the old addage says: 'the more things change, the more they stay the same'. Easily satiated greed (high returns with no risk and very little effort on the investor's part) makes people lose all sense of logic, and make some very impulsive and irrational decisions. If an institution could reliably and securely deliver those kinds of returns, then the public would never have a shot at it - there would be many billions, and possibly trillions, dollars of sovereign and institutional funds parked there already.
Hi, I found the name of the ponzi and it was crashed.. http://www.ecommerce-journal.com/ne...namoney_exclusively_for_the_ecommerce_journal Thanks all for your info and advice