Lotteries, casinos, sweepstakes also lead to loss of money in them just at the expense of new investors (players) is formed profit they also do not produce goods or services and serve to enrich a small part of investors (players).
Why is it not SCAM? Because the rules of the game are known and open!
You're not hearing me at all. Read wikipedia (
https://en.wikipedia.org/wiki/Fraud) -
(In law, fraud is intentional deception to secure unfair or unlawful gain, or to deprive a victim of a legal right.)
If I informed investors in advance that (that early investors are making a profit at the expense of new investors) it is not considered fraud because there is no deception, false information, concealment of information.
The basis of any fraud is deception if there is no deception then there is no fraud.
Give me at least one example of fraud where there is no deception.
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There are and are developing a lot of complex high-tech projects using the technologies of smart contracts, sadchains, ring-sing and other schemes.
The rules in such projects are very often floating, adaptive, not fixed.
A full audit of such projects requires high-class IT specialists (highly paid), as well as a lot of time (one two three years).
If you conduct a comprehensive analysis of such projects (where the money comes from and how to be distributed in the future) (what goods, services are produced (created), what is their price, as well as distribution among all participants (investors) of the project.
You can find the same pyramid with different options for the distribution of funds or rights to future income.
To prove that such projects (SCAM) are very difficult and expensive. Because there are so many complex interdependent rules that you misunderstood or didn't know.
I made my site specially (intentionally) very simple (primitive) so that even a child could understand it, and the audit can be carried out in 2 minutes.
In my project, 99% of the funds are redistributed among investors(players).
What is the meaning of my project - in the possibility of making a profit and the risk of losing investments (rates). The choice is always people's (if they are aware of it).
I can spend a lot more time and money to create a project in which there will be a product or service in the future time, but why deceive myself and others, especially inexperienced investors (players).