The scheme relies on a continuous influx of new investors to sustain payouts. Once the flow of new investments slows or a significant number of investors request withdrawals, the scheme collapses.

Inevitably, the scheme collapses when the flow of new money slows ... investors will supply enough to keep the scam running. What's the Difference Between a Ponzi Scheme and a Pyramid Scheme?

promised investors massive returns through international stamp arbitrage — the classic Ponzi scheme collapses spectacularly ...

Profit is what's left after all the expenses have been paid -- that includes things that would fall under other cash flow categories, like paying loan payments or dividends. CFO by itself is just ...