web3/concepts/pyramid-scheme.md

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# Pyramid Scheme
A pyramid scheme is a fraudulent investment based on recruiting an ever-increasing number of "investors" or [greater fools](greater-fool-theory.md) into the scheme. The initial promoters recruit investors, who in turn recruit more investors, and so on.
## References
* [Invesator.gov Pyramid Scheme](https://www.investor.gov/protect-your-investments/fraud/types-fraud/pyramid-schemes)