What is a Ponzi Scheme? - Cheddar Explains

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  • Опубліковано 17 січ 2025

КОМЕНТАРІ • 159

  • @alidasoo6654
    @alidasoo6654 2 роки тому +23

    The irony of me getting a gambling ad on this video is hilarious

  • @The_A_Cast
    @The_A_Cast 4 роки тому +86

    His sons ratted him out?
    He must’ve wrote them out of the will or something.
    Just goes to show that a secret between 3 people is safe as long as 2 are dead.

    • @RJAImpact
      @RJAImpact 3 роки тому +14

      There is some debate that the sons knew all along but this gave them an opportunity to avoid some legal consequences.

    • @txmom2boys
      @txmom2boys 3 роки тому +5

      Aaaaaand now technically, there are two are dead. So it’s safe!

    • @runecscapeman
      @runecscapeman 2 роки тому +3

      My dad would rat me out for anything.

    • @orlandoking7793
      @orlandoking7793 Рік тому

      ​Amina R I wouldn't rat you out 😊

  • @JP1234815
    @JP1234815 2 роки тому +38

    I heard of a similar fraud to this but instead of having a 'make believe' investment - the people running the scheme put clients money into a real investment. They told the investors that they had made 7% on their investment whereas it had actually had a 10% return. The people running the scheme pocketed the difference which of course ran into millions.

    • @danielwanjala7325
      @danielwanjala7325 2 роки тому +7

      This wouldn’t be such a bad investment

    • @Astraldragon0
      @Astraldragon0 2 роки тому +9

      Sounds like embezzlement.

    • @noel7777noel
      @noel7777noel Рік тому

      The excomponent's name for the new investers to add "growth" to is called "bond". And stocks, car titles, and mortgages are popular "bonds" in this math formula.
      The sad part is, our retirement payments makes the best "new invester's" excomponent in the ponzi scheme math equation.
      We are forced to put our retirement savings in overvalued bonds. While the previous invester takes the money.
      We all cannot save for a one star retirement and receive a two star retirement. This is ponzi scheme math.
      Rich people say its "their money". When the truth is, the only new investers is the money coming from a paycheck. That paycheck saving for a retirement. The new invester in the ponzi scheme math equation is the workers saving for retirement.
      And the government deficit spending on a profitable government project is the source of the new money. The government employees saving for retirement from deficit spending government funded projects.
      But these government bonds must have a return on investers. For example. Hoover Damn sells electricity to pay for its self. (Only principal). No interest. That would cause inflation. It would make the electricity too expensive.

    • @anesu846
      @anesu846 7 місяців тому

      That's every fund in the world

  • @donhulbert1913
    @donhulbert1913 6 років тому +29

    That old saw: if it sounds too good to be true, it is too good to be true.

  • @knightwing5169
    @knightwing5169 7 років тому +37

    You know what is kinda pathetic? That a video by the "leading 'post-cable' network" only gets 105 views in a few days. With that said, the video itself isn't that bad.

    • @cheddar
      @cheddar  7 років тому +9

      Subscribe! We just started fully programming originals on UA-cam a few weeks ago, but there will be plenty more to come.

  • @alittleolder
    @alittleolder 6 років тому +26

    I had an ad before this video promising me 1000s of 1000s of $$$ with minimum Investment. And many happy clients. I really don't know how people can still fall for this kind of thing. I guess desperation would be one of the reasons. Same reason you play the lottery. Which probably has a better ROI than one of this Schemes. Great Video.

    • @cheddar
      @cheddar  6 років тому +12

      A Ponzi Scheme ad targeting a video explaining what a Ponzi Scheme is. That is bold.

    • @alittleolder
      @alittleolder 6 років тому +2

      It really is but a few of your tags probably triggered what this ad was aimed for. But at least, if you shell out the money for an ad, make at least a good one lol.

    • @noel7777noel
      @noel7777noel 2 роки тому

      @@cheddar explain Ponzi Scheme better and that would not happen.
      Rich people putting their money in expensive art work or baseball trading cards is a harmless Ponzi Scheme, but once they trespass into my residential neighborhood (investing in real estate) or any products I buy (other than Veblen goods) is harmful.
      Even a Ponzi Scheme can have a legitimate business's name on it. The stocks going up based on new investors coming on. Based on growth. The stocks going up at a different pace than the paying customer's profits. Or even the company not paying dividends at all.
      It's one thing to invest in a Ponzi Scheme like art work but anything this non Veblen goods shopper needs is another thing. I don't buy name band clothing because I want nothing to do with Veblen goods Ponzi Scheme. I don't believe I should buy overpriced stuff. "Inflation".
      Ponzi scheme is nicknamed Rob Peter to pay paul and I don't like being Peter.
      The only name band I get involved in; is because it represents a honest company priding itself in quality.
      My favorite all American made (the best tools) tool company now has more made in China products. "American job creators". My money tying to go towards quality not Veblen goods Ponzi Scheme.
      This paying customer is trying to support an all American made tool company based on quality. Not growth.

  • @spencerrhodes3915
    @spencerrhodes3915 4 роки тому +63

    Madoff's own sons turned him in... That's the messed up part of the story.

    • @JackWhitehead1981
      @JackWhitehead1981 4 роки тому +8

      Spencer Rhodes If he was my Dad, I'd be proud.

    • @RJAImpact
      @RJAImpact 3 роки тому +32

      There is some debate that the sons knew all along but this gave them an opportunity to avoid some legal consequences.

    • @JJ-xt2dq
      @JJ-xt2dq 3 роки тому +10

      @@JackWhitehead1981 why, for causing a global crisis???

    • @JackWhitehead1981
      @JackWhitehead1981 3 роки тому +7

      @@JJ-xt2dq If people are stupid enough to be exploited, go for it I say!

    • @sergiobustillo3873
      @sergiobustillo3873 3 роки тому +1

      @@JJ-xt2dq exactly

  • @willgoat271
    @willgoat271 2 роки тому +2

    The most ironic part about this video is that I just got an ad saying how they invested in a no risk scheme and how I should to lol

  • @Kenz3
    @Kenz3 6 років тому +62

    New pozi is called multi network marketing

    • @sxes
      @sxes 4 роки тому +12

      that’s called pyramid scheme not ponzi scheme

    • @KrisBkh
      @KrisBkh 4 роки тому +3

      It’s a bit different

    • @bradbland9307
      @bradbland9307 3 роки тому +4

      Thats a pyramid scheme not a ponzi scheme

    • @txmom2boys
      @txmom2boys 3 роки тому +5

      @@sxes I think he’s comparing. Since pyramid schemes aka multi-level marketing or MLM’s work similar and are shady, he’s calling MLM’s the new Ponzi.

    • @thejamesasher
      @thejamesasher 3 роки тому

      learn to itemize

  • @jamescrowley8598
    @jamescrowley8598 4 роки тому +36

    Must be nice to play monopoly with actual properties

  • @jackschnitz9893
    @jackschnitz9893 7 років тому +51

    Well he sure MADEOFF with some loot

    • @TheDragonHouse
      @TheDragonHouse 4 роки тому +1

      The worlds most used joke. Still funny however.

  • @waspwrap1235
    @waspwrap1235 6 місяців тому +1

    1:29 I have a question to ask, if Ponzi was making money from the exchange rate of stamps, why did he need the money of new investors?

  • @johannesahlback6777
    @johannesahlback6777 3 роки тому +3

    02:24 Is the reporter really named Lauren LaPonzina? He, he!

  • @emilieloveskiwi
    @emilieloveskiwi 6 років тому +9

    I still don't understand how it works and why it's illegal and how the people doing it are making money...

    • @limemabean7251
      @limemabean7251 5 років тому +6

      I feel the same way! People are still getting paid, and I don't know how the schemer makes money if he is continually giving the profits away to the original investors.

    • @Doomslayer0110
      @Doomslayer0110 4 роки тому +6

      Lime Mabean by getting new investors and paying the old ones with the new money and then getting new investors again to pay off the former new investors and so on until it grows so large that he can’t find enough new investors and everything falls apart

    • @suehowie152
      @suehowie152 3 роки тому +1

      Because it's all a lie.
      He invested nothing..He paid himself and others from the new investors money..He runs out of new investors and the house of cards comes crashing down and his clients lose everything..

    • @udontknowme154
      @udontknowme154 Рік тому

      @@Doomslayer0110 damnn

    • @zero1188
      @zero1188 Рік тому

      Because its a pyramid scheme. Also he not investing, he just pocketing money. Basically money is changing hands

  • @avirei98
    @avirei98 3 роки тому +5

    How do people keep getting away with this how is no one catching this before it gets that far what in the world...........

    • @noel7777noel
      @noel7777noel 2 роки тому

      The people incharge are at the top of the Ponzi Schemes.
      On 1/6 I was watching TV T***p doing a coup. On 1/6 T***p was watching TV. Who was t***p watching on TV doing a coup?
      We elected politicians to do the policing, but the politicians are stock investors. Passing tax incentives to feed their Ponzi Scheme. Who's doing the policing?
      Cognitive dissonance.

  • @suprithAnCom
    @suprithAnCom 6 років тому +7

    Please make video about MLM scam,(ebiz in India's and Amway I'm us)

  • @RandomDudeOnTheInternet936
    @RandomDudeOnTheInternet936 2 роки тому +2

    1:01 420k Dollars?
    Nice.

  • @ozthebeeman
    @ozthebeeman 2 роки тому +1

    Man this is like those ads that are like do you want to make money when the entire market clopases and I'm like oh ye you just have to be the reason it all colpases

  • @marlikparsi7259
    @marlikparsi7259 2 роки тому

    short and sufficient . thanks.

  • @Hahakhan-b8i
    @Hahakhan-b8i 2 роки тому +2

    It's now called NFT

  • @nerosonic
    @nerosonic 2 роки тому

    thanks for sharing!

  • @penbunny9078
    @penbunny9078 2 роки тому +1

    0:34 So Bitcoin?

  • @thesuitelifeoflilcody3243
    @thesuitelifeoflilcody3243 Рік тому +1

    Here after power ghost

  • @ivornworrell
    @ivornworrell 3 роки тому +2

    @02:00 was the 64.80B-$$ real (paper) money, or was it just a book value like if u show a net-profit of say a million-$$ but in reality u dont have no money bcz the cash account is dried-up?

  • @sapientpearwood613
    @sapientpearwood613 5 років тому +2

    "420,000 dollars." *nice*

  • @scootdingerman60
    @scootdingerman60 2 роки тому +4

    Sounds like LITERALLY every cryptocurrency. No exaggeration, this is what nfts are, and this is kinda what Bitcoin is (expect Bitcoin is a really successful one, but still a ponis scheme).

    • @Jaywesterlow
      @Jaywesterlow Рік тому

      Sounds like something banks would never do… oh wait-

  • @camcappe353
    @camcappe353 4 роки тому +2

    Stock photo sites are a ponzi scheme but with photos.

  • @tanjimazad3669
    @tanjimazad3669 2 роки тому

    I know ponzi scheme from Seinfeld 😂😂

  • @DigitalCashFlow
    @DigitalCashFlow 2 роки тому

    Wow...if you want to see a crazier story you know where to go

  • @chathuridissanayake4928
    @chathuridissanayake4928 Рік тому

    Thank you! That was a really helpful video.

  • @chiefschillaxn1781
    @chiefschillaxn1781 4 роки тому

    This is exactly what China is doing. during the coronavirus outbreak they reported 4% growth when they had a reality of -4% to -12% growth.

  • @meowmeng3632
    @meowmeng3632 4 роки тому +3

    Im a victim of ponzi scheme 😭😭. They get 44,000 peso from me 😭

    • @galaxce8989
      @galaxce8989 4 роки тому +3

      That's terrible! Sorry to hear that, I hope things get better for you and stay safe for next time.

    • @meowmeng3632
      @meowmeng3632 4 роки тому +1

      @@galaxce8989 thank you 😢😢😢

    • @macpj12j
      @macpj12j 2 роки тому +1

      you knew it and took the risk dont cry about it just stand up and move on lol

  • @rudyvalentin1789
    @rudyvalentin1789 Рік тому

    Ok I'm not saying that investment fraud isn't a crime to be punished severely. What I am saying is Murder, Rape, Insurrection? Why are they getting just a slap on the wrist.

  • @jonathanngo7452
    @jonathanngo7452 Рік тому

    Basically, if it sounds too good to be true, it usually isn't.

    • @josephsaeteurn9158
      @josephsaeteurn9158 Рік тому

      well check this out.. is this too good to be true? if you invested $100K beginning this year on a high yield stock average at $17, and stock is currently trading at $11.25.. you are still up $14,700 profit.. price dropped from $17 to $11 and you still profit $14k. is this scam?

  • @HungerTheLetsPLay
    @HungerTheLetsPLay 6 років тому

    I came here from today I found out to reject an ass. :P

  • @kinshukyo4767
    @kinshukyo4767 6 років тому +3

    I came here after getting a link But Now I think it was worth it👍👍.
    great job, I know that all of you must be working hard but please try to explain it in a bit more lenient way.
    I know you can do it.

  • @M0RN1N6_5T4R
    @M0RN1N6_5T4R Рік тому +1

    Who’s here because of DJ Envi? 😂 😊

  • @adawg3032
    @adawg3032 2 роки тому

    Cough cough Sam Bankman Fried cough cough

  • @josephinestabel9647
    @josephinestabel9647 3 роки тому +2

    SAD STORY ,HIS 2 SONS ARE ......😱. 😞

  • @MsDamosmum
    @MsDamosmum Рік тому

    Promises high returns with little risk, doesn’t that describe 99% of UA-cam adverts!

  • @gerbrut007
    @gerbrut007 2 роки тому

    This should be impossible to do south modern technology like SCHUFA in germany for example

  • @CrusaderDom3
    @CrusaderDom3 4 роки тому +2

    AKA SOCIAL SECURITY

  • @pablohierro5060
    @pablohierro5060 11 місяців тому

    Im to shock to know about hot it works historically the Ponzi Scheme.

  • @LeadTheMartyrs
    @LeadTheMartyrs Рік тому

    I’ve just had a family member do this very similar thing to me. Is it possible to get your money back?

  • @SuperThejester
    @SuperThejester 6 років тому

    Aren't you the guy that does household hacker?

  • @meisterl0
    @meisterl0 2 роки тому

    I'm currently in one right now, but I'm gonna cash out, once I get the profit back, which is in 20 days to date.

  • @AnaLucia-wy2ii
    @AnaLucia-wy2ii 10 місяців тому

    They know it’s all going up some day. So why do they do it?

  • @seandavis1386
    @seandavis1386 6 років тому +4

    Isn’t Social Security based on the same exact principles? Think about it, please!

  • @Caspricocious
    @Caspricocious 5 років тому +2

    Profiting off market uncertainty is pretty smart actually. Exactly what they're doing

    • @Caspricocious
      @Caspricocious 4 роки тому

      @@Psyxic_Crimes It depends on their age and appearance erotically. That's all I have to say.

  • @useless1
    @useless1 3 роки тому +2

    I finally understand bitcoin

    • @macpj12j
      @macpj12j 2 роки тому

      it is same thing but bitcoin is just the same but with product

  • @falc302
    @falc302 3 роки тому

    just raise the volume on your videos.

  • @Marksman560
    @Marksman560 3 роки тому

    Shoutout to all of you who got referred from "Earth 2" to this video 😜

  • @artimus7525
    @artimus7525 2 роки тому

    Celsius Network brought me here.

  • @blank4181
    @blank4181 4 роки тому +3

    So basically credit cards.

  • @thafranchise
    @thafranchise 2 роки тому

    Citadel Securities

  • @macpj12j
    @macpj12j 2 роки тому

    it is good bet to play rather than many shits we see out there

  • @TeamLakers24
    @TeamLakers24 3 роки тому +1

    GRANT CARDONE????

  • @jascha_official9879
    @jascha_official9879 3 роки тому

    What und think about ai marketing

  • @palmasmarcos9795
    @palmasmarcos9795 Рік тому

    Thank you *Clockluis8* for the effort you put in helping I and others who have been victim of scam. Your effectiveness, honesty and calmness is astonishing. The world needs more like YOU

  • @JoanCurrie
    @JoanCurrie 10 місяців тому

    Joyce Meyer on doing what’s right

  • @sandwheel
    @sandwheel 9 місяців тому

    And now there’s bit coin

  • @Userizekai123
    @Userizekai123 2 роки тому

    Man I was born in 2008

  • @denismijatovic1239
    @denismijatovic1239 4 роки тому

    Next up: Bitcoin is up 15%!

  • @wolfproducts
    @wolfproducts 2 роки тому +3

    "They're still present today"
    Social Security

  • @greenballscience9514
    @greenballscience9514 6 років тому +4

    BITCONEEEEEECT!!!!

  • @SamA-to6nj
    @SamA-to6nj 2 роки тому

    Zadehkicks up next

  • @volcanowb
    @volcanowb 4 роки тому

    Bitcoin!

  • @Millerfam19
    @Millerfam19 3 роки тому

    Football index

  • @justinhall407
    @justinhall407 8 місяців тому

    His own sonnnnnnnssssssssssss

  • @ContraG
    @ContraG Рік тому

    Hey guys if you give me a roller today I can turn it into 5. Hit me up

  • @shsb2355
    @shsb2355 Рік тому

    This sounds like terra

  • @ginnyburton9219
    @ginnyburton9219 5 років тому

    ...

  • @alexandradelliou
    @alexandradelliou 3 роки тому

    2021: 1421

  • @RobwLPOC
    @RobwLPOC Рік тому

    Just learn how the US Social securty system operates these days and you will understand what a pozni scheme is and why it is fatally flawed.

  • @mahmoodghulam6977
    @mahmoodghulam6977 Рік тому

    SHUT UP IM GONNA FIND OUT NOW WHAR IT MEANS

  • @nataliegrayhandle
    @nataliegrayhandle 3 роки тому

    Fucking crypto!

  • @frlouiegoad4087
    @frlouiegoad4087 10 місяців тому

    Like Crypto Coins?

  • @avaraxxblack5918
    @avaraxxblack5918 Рік тому

    The U.S dollar is the biggest ponzi scheme of them all 😂 each generation are the "new investors"

  • @leomartin1903
    @leomartin1903 2 роки тому

    Sounds like Bernie was a genius.

  • @SrbCrnG23
    @SrbCrnG23 2 роки тому

    This are small kids when you compare them to Russian MMM Мавроди . His piramid had 30-40% procent of the whole country SSSR money.

  • @berry_jones
    @berry_jones Рік тому +1

    Ask the above name on ig for help if you been a victim

  • @palmasmarcos9795
    @palmasmarcos9795 Рік тому +4

    Thank you *Clockluis8* for the effort you put in helping I and others who have been victim of scam. Your effectiveness, honesty and calmness is astonishing. The world needs more like YOU

  • @greenballscience9514
    @greenballscience9514 6 років тому +2

    BITCONEEEEEECT!!!!