Quote from: Foxpup on December 16, 2012, 05:38:28 AM

Quote from: coder_guy on December 16, 2012, 05:12:27 AM

What I am wondering is, if this was actually illegal, since the money was not "fiat currency." If it is, would that mean that a ponzi scheme based on, I don't know, WoW gold, would be illegal too?

Ponzi schemes are illegal regardless of whether they involve "real" money or not. Whether it's dollars, bitcoins, WoW gold, actual gold, or pork bellies, it's still illegal.

Quote from: coder_guy on December 16, 2012, 05:12:27 AM

Does that mean all those websites that don't even accept money, but say "you visit this link, and the next 2 visitors will visit yours" are illegal too, because they are ponzi-ing website pageloads?

That's a pyramid scheme, not a Ponzi scheme, which is also illegal for the same reason, though these site probably get away with it since there's nothing of real value involved.

The strangest part of Pirate's scam is that apparently nobody is willing to admit to the authorities that they were scammed, though I don't blame them. I mean, 3300% interest? Seriously? If I fell for a scam as stupidly obvious as that, I wouldn't admit it either. Roll Eyes

While I agree with you on the legality of ponzi schemes, and pyramid schemes, I have to wonder what makes you say nobody is willing to admit to the authorities they were scammed. Did the authorities getting involved come from their keen detective work, or due to complaints. Out of all those involved you think none have lawyers? It sounds like you would be an ideal mark given that you wouldn't seek any recourse. You have found the right forum in such a case.

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