{"id":373004,"date":"2016-04-11T01:22:15","date_gmt":"2016-04-11T06:22:15","guid":{"rendered":"https:\/\/content.findlaw-admin.com\/ability-law\/state\/idaho-law\/idaho-pyramid-and-ponzi-schemes-laws.html"},"modified":"2016-06-20T19:51:26","modified_gmt":"2016-06-21T00:51:26","slug":"idaho-pyramid-and-ponzi-schemes-laws","status":"publish","type":"page","link":"https:\/\/www.findlaw.com\/state\/idaho-law\/idaho-pyramid-and-ponzi-schemes-laws.html","title":{"rendered":"Idaho Pyramid and Ponzi Schemes Laws"},"content":{"rendered":"\n
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Idaho Pyramid and Ponzi Schemes Laws<\/h1>\n
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While pyramid schemes<\/a> come in many shapes and sizes, the scams’ promoters always promise participants a large payout in exchange for paying a fee to join and then recruiting others to join the scheme. Pyramid and Ponzi schemes are both fraudulent scams in which participants make money primarily from enrollment fees paid by new recruits rather than by selling products or services.<\/p>\n

While a Ponzi scheme<\/a> is similar to a pyramid scheme in that they both create the illusion of profit via continuous recruiting, a Ponzi scheme promoter generally doesn’t have a product to sell or pay participants for recruiting new investors. Instead, Ponzi schemes usually operate with one promoter who recruits rounds of investors with the promise of extraordinary returns on their investments.<\/p>\n

Common examples of pyramid and Ponzi schemes include:<\/p>\n