If you don't state the odds or how a winner is chosen, then you are not clearly stating how it works.
Well shit, isnt that how ponzies work?? Even when they state that you may not be paid or he may just run with your money, he never tells you when or the odds you have of winning or loosing, thats my point exactly..
Not necessarily, there are some ponzi "games" that are upfront that they are a ponzi and clearly state the rules of the game. If the operator is honest and follows the rules of the game, then it is not a scam. The problem is that there is no way to make them provably fair and an honest ponzi game may look identical to a ponzi game where the operator is cheating against the players.
The investor-based games sub-section was created because the gambling section was flooded with these types of games. Without this section, they would just flood the main gambling section again.