Ponzi

American  

[pon-zee] / ˈpɒn zi /

noun

1. a swindle in which a quick return, made up of money from new investors, on an initial investment lures the victim into much bigger risks.

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Etymology

Origin of Ponzi

After Charles Ponzi (died 1949), the organizer of such a scheme in the U.S., 1919–20

Example Sentences

I fantasize about all of us sending small donations to each other, picking a new American each week to fund until everyone in the lower and middle classes is freed from the Ponzi scheme of American health insurance.

From Slate

Until recently, Vietnam's crypto scene was a wild west, with highly speculative ventures and outright Ponzi schemes flourishing alongside startups offering legitimate products.

From Barron's

Last September, the Securities and Exchange Commission filed a civil lawsuit against Lopez and his partners, accusing them of running a Ponzi scheme, misleading investors and misappropriating $16.1 million.

From The Wall Street Journal

The director of bank supervision at the Iranian central bank last year called Ayandeh “a Ponzi scheme.”

From The Wall Street Journal

“He’s not running a mill creating fake paintings or running a Ponzi scheme,” Wynne says.

From The Wall Street Journal