With the increase in the value of bitcoin, we are witnessing an increase in pyramid and panzi schemes every day, which promise huge profits and bring people into these schemes, and after a while, they cause financial loss to the person.
One of the reasons we are more concerned about Panzi plans is the growing distrust of people in the digital currency space. And it must be remembered that the failure of digital currencies can lead to the failure of China's extraordinary blockchain technology.
Probably newbies are prone to this scams specially those who can't fully comprehend the basics. Discipline and learning that if its too good to be true, then its a scam. Too many scam projects out there offering big returns and gains simply by holding is also one of that. No one can generate income in thin air. Remember that.