2) You ask me for hard proof.  A Ponzi scheme, as defined by Wikipedia:  http://en.wikipedia.org/wiki/Ponzi_scheme  some highlights:

-- Typically extraordinary returns are promised on the investment,[5] and vague verbal constructions such as "hedge futures trading," "high-yield investment programs", "offshore investment" might be used. The promoter sells shares to investors by taking advantage of a lack of investor knowledge or competence, or using claims of a proprietary investment strategy which must be kept secret to ensure a competitive edge.
-- A Ponzi scheme claims to rely on some esoteric investment approach and often attracts well-to-do investors
-- Ponzi schemes can survive simply by persuading most existing participants to reinvest their money
-- Initially the promoter will pay out high returns to attract more investors, and to lure current investors into putting in additional money. Other investors begin to participate, leading to a cascade effect. The "return" to the initial investors is paid out of the investments of new entrants, and not out of profits.
-- Promoters also try to minimize withdrawals by offering new plans to investors, often where money is frozen for a longer period of time, in exchange for higher returns.

sound at all like BCST?

Proof Ponzi