In-Depth Analysis of “Ponzi Scheme Rhetoric”: How to Spot and Avoid Scam Traps

The essence and harm of Ponzi schemes

“Capital pool” is an illegal fundraising activity that utilizes the continuous influx of new users to invest funds, using the money of newcomers to pay the profits of older investors. Its essence is akin to passing the parcel; once the funding chain breaks and the operator runs away, the vast majority of investors will lose all their capital.

According to reports from the China Banking and Insurance Regulatory Commission and the public security authorities, in recent years, a large number of Ponzi schemes have used “virtual currency,” “metaverse,” “AI financial management,” and other gimmicks to lure tens of thousands of people into investment traps, with amounts involved often exceeding hundreds of millions.

Why do these eyewashes repeatedly succeed? The key lies in their mastery of a complete set of “funding scheme rhetoric,” which precisely targets the weaknesses of human nature.

“Packaging Technique”: How does a funding scheme lure you in?

The fund scheme does not directly tell you that this is eyewash, but instead uses a series of seemingly reasonable statements to conceal the risks:

• Under the banner of “financial innovation”
• Packaged as “sharing economy” and “blockchain technology”
• Advocating “seizing the dividend period” and “hot project”
• Increase credibility by using a disguise team and fake certificates

Behind these “talking points” lies a high level of trading skills and psychological control.

Detailed Explanation of Common Fund Plate Phrases

1. High Yield Commitment Type

• “Monthly yield 30%, annualized up to 300%!”
• “Daily static income + referral rewards, easily double your earnings!”

Comment: Significantly higher than bank or traditional investment returns, it is a typical illegal deposit lure.

2. Technology Packaging Type

• “We are blockchain smart contracts running automatically, with no one able to manipulate them.”
• “AI algorithms predict market trends, making passive income a breeze.”

Comment: Using the public’s lack of understanding of new technology to obscure illegal operations with grandiose vocabulary.

3. Social Brainwashing Type

• The more you invest, the more you earn.
• “While you are still observing, others have already made three rounds of profit!”
• “Only you don’t believe it, everyone else has already withdrawn.”

Comment: The group atmosphere creates a “herd mentality,” causing people to unconsciously follow the trend.

4. Celebrity Endorsement Type

• “A certain celebrity endorsement, reported by CCTV.”
• “Already exposed by multiple media outlets, what is there to fear about it not being legitimate?”

Comment: Most are eyewash or taken out of context, do not be easily misled.

5. Emotional Manipulation Type

• “If you don’t invest any further, I won’t be able to help you anymore.”
• “I am doing this for your good; I only tell you this because we are brothers.”

Comment: Using familial and friendly relationships to exert pressure, blurring rational judgment in investment.

How to identify the disguise of a funding scheme?

1. Check the profit logic: Does it mainly rely on developing downlines rather than actual product profitability?
2. Look at the platform transparency: Is the team information publicly available? Is there any legal compliance information?
3. Observe the withdrawal system: is there a “lock-up period” or “review day” that delays withdrawals?
4. Check reputation information: Has it been exposed by netizens? Is it frequently changing names and shells?

Suggestions to prevent funding scheme eyewash

1. Maintain a questioning spirit: any investment that claims to be “risk-free” deserves high caution.
2. Independent investment judgment: Do not blindly follow recommendations from WeChat groups, Moments, or acquaintances.
3. Learn financial knowledge: clarify basic concepts such as compound interest, risk, and return rate.
4. Use legitimate platforms: Investments should be made through licensed financial platforms, avoiding the use of unlicensed third-party apps.
5. Multi-dimensional verification: Does the project have a white paper, practical application scenarios, or media investigations?

Conclusion:

The funding scheme is not a new phenomenon, but every wave comes with new “packaging of rhetoric.” Only by enhancing discernment, recognizing human weaknesses, and maintaining rational thinking can one avoid being hit by the “high return” sugar-coated shell.

The currently popular “funding disk rhetoric” is spreading at an unprecedented speed. Remember this phrase - real investment does not rely on deception, but on transparency, legality, and clear logic.