He told the two of them the history of the meeting.

Gu Zhiruo said angrily: "Who is this person? He even defrauded his nephew of his money. This is so shameless!"

Lin Yuzhen asked curiously: "The interest rate for this kind of promotion is so high, how do they make money?"

Lu Yiming said: "They don't want to make money at all. You are staring at his interest, but they are staring at your principal."

Gu Zhiruo curled his lips and said disapprovingly: "No one with a right mind would fall for such a stupid thing, right?"

Lu Yiming said: "If you are not greedy, you will not be cheated, but if you are greedy, you will definitely fall into the trap. In the early stage, in order to attract more people to join the club, the leader of the club will usually be very generous and give

Providing high interest returns. By the time you believe it and invest money in it, you have actually fallen into the trap."

This is actually the basic routine of a Ponzi scheme. The money used to pay interest is actually the deceived's own principal. As long as enough people join in the follow-up, the fund pool will continue to expand, and there will be enough

money to pay interest.

But any scam has a limit. Once the scam can no longer sustain, there will be an avalanche immediately, and no one will be able to get their money back.

Lu Yiming explained the working principle to the two of them, and they were immediately frightened.

Throughout the 1990s, illegal fund-raising flourished everywhere.

For example, Lu Yiming's previous scandalous operation involving the return of recharge rewards would have been sent to prison more than ten years later.

But he can do it now. As long as he can pay back the money in the end, no one can make trouble for him.

But more private fund-raising routines are much more showy than this, and they are not walking on the edge of the law at all, but trampling on the law at all.

For example, in the "Yi Li Shen" scandal around 2002, the Yi Li Shen Group used the so-called ant farming routine to defraud 1.2 million farmers, involving more than 20 billion yuan, and even invited Zhao

Black soil for propaganda.

In the southeastern coastal area, due to developed commerce, private capital is even more active. There are so many private organizations like the Chaoshan Capital Mutual Aid Association.

However, no matter how many tricks are changed, the core is actually still the same fund operation model that was proposed at the beginning.

Lin Yuzhen asked: "You have said things so horribly, is it possible that everyone is a liar? No one is reliable?"

Lu Yiming said: "Of course there is. The future fund I opened is 10% annual interest, principal guaranteed and interest paid. Do you want to invest a little? The minimum investment is 100,000, and you will make money if you buy it."

"..."
Chapter completed!