It is no longer news that MMM Nigeria has crashed but what had eluded the news is the people whose actions actually led to the crash of the popular Ponzi scheme. Every participant who put their funds into the Ponzi scheme has been calling for the head of Mavrodi, however, as an observer I sat down, analyzed and finally was able to fish out the real major culprits who should be blamed for the crash of MMM Nigeria.
1 The MMM Nigeria Guiders:
As a guider in MMM Nigeria, you get 10% of the help provided from every downline or referral that are duly registered. This means that if you as a participant is to provide help of N100,000 your guider will get N10,000 richer. Now, a guider that has about let’s say 100 downline for example and each of the downlines are providing help of N100,000 that means that the guider will get N10,000 X 100= N1Million each month for doing nothing. So cool right? Wrong!! Pulling out such huge amount will lead to a major financial strain on the system, that’s why a lot of people couldn’t get help anymore.
A perfect example is the Number 1 guider Chuddy. If MMM has a participant of over 3Million people and each of the people provide an average help of about N10,000 monthly, this means that Chuddy the number 1 guider will be cruising with N10,000X 3M= N3Billion monthly. This amount alone is enough to crash the system as one man eats virtually almost all the cake. Now, add all the guiders (over 12,000 guiders) to this equation and you will see that the guiders were eating the lion’s share of the cake without giving help back. All what a guider do is to log in, check how many people have provided help and then cash out. Most do not even provide help at all that’s why the system crash.
Honestly, these guiders don hammer on top participants head.
2 Greedy Nigerian participants:
Yep, most participants that took part of the Ponzi schemes were very greedy, whether we like it or not that is the bitter truth. Greedy in the sense that you were advised on the MMM Nigeria website to invest only your spare cash in the program but did Nigerians listen? No
After the crash of MMM Nigeria, you will start hearing people confessing that they put their life savings into the scheme, some put in their children school fees into the Ponzi scheme while others went as far as using their house rent in order to get a higher return. Of recent we have seen how a husband beat the living daylight out of his wife for using their savings to invest in the Ponzi scheme, infact I know of a sales girl who stole her employers half a million Nigeria to invest in MMM. Now that the money is gone, who is to be blamed?
3 Participants that upload fake proof of payment:
If you really took part in MMM Nigeria, you will know that fake proof of payment was so rampant, many participants were getting frustrated and no longer interested. Uploading fake POP is another form of scamming your fellow participant and this is how it works; the scammer uploads a fake POP without providing help or paying money to your bank account and expects you to confirm payment. If you don’t check your account balance regularly, you will confirm receiving payment without a single naira entering your account. This was the initial scope of the fake POP uploads. However, others took the fake POP upload to another level in order to extend the hours to make payment while putting the receiver in frustration and anguish. Such participant with that kind of experience will not want to participant in the scheme any more. One question I always ask participants of this Ponzi scheme is why offer to provide help when you don’t have the cash to do so? I am yet to get a valid answer.
4 CBN, SEC, banks and the media:
We are all aware that the CBN and several banks were against the MMM scheme because it actually poses a major threat to their existence.
Imagine an individual getting a whopping 30% on his finance monthly without lifting a finger. Honestly, the offer is tempting and a lot of people were pulling their monies from the banks. This in turn will affect the banks from making huge returns of customer’s money.
Several people pulled out their funds majorly because the Nigerian banks offered almost nothing in terms of returns or interest for leaving your money in their bank for several months. A friend complained to me that after leaving several hundreds of thousands of naira in a Nigeria Bank, all he got at the end of each month was deductions for service charge. This is what propelled Nigerians to participate in the Ponzi scheme offer.
Now threatened by MMM Nigeria, the CBN, SEC and some banks had to use the media to kick against the scheme. Advert telling people not to participate in the scheme was seen in newspapers, social media and even on radio/TV.
The actions and steps taken by the CBN and banks really shook the MMM Nigeria community to the extent that a letter was written on 11th of December 17, 2016 which was addressed to the Federal government, CBN and banks. The next day, MMM Nigeria crashed.