pyramid scheme

noun

: a usually illegal operation in which participants pay to join and profit mainly from payments made by subsequent participants

Examples of pyramid scheme in a Sentence

Recent Examples on the Web
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Scams that often exploit financial literacy gaps and market scams, such as pyramid schemes, gifting circles or unregulated crypto programs, as opportunities for fast-track wealth. Alejandra Rojas, Forbes.com, 14 July 2025 After regulators investigated the business for allegedly being a pyramid scheme, Raniere didn't admit wrongdoing but settled for $40,000. Jessica Sager, People.com, 19 June 2025 By the way, the first rule in my pyramid scheme would be to not create a manual. Dwyer Murphy june 6, Literary Hub, 6 June 2025 The business models of many of these firms resemble and blend together two different types of venerable scam business models - boiler rooms and pyramid schemes. Felipe Schrieberg, Forbes.com, 10 June 2025 See All Example Sentences for pyramid scheme

Word History

First Known Use

1949, in the meaning defined above

Time Traveler
The first known use of pyramid scheme was in 1949

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Cite this Entry

“Pyramid scheme.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/pyramid%20scheme. Accessed 21 Jul. 2025.

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