Hey! I just want to say somethings about the future of this ponzi scheme. MMM started over a year ago in Nigeria and since then it has been effective.if you go through the testimony platform of the scheme , its clear that the scheme has really helped many families especially in this period of economic recession.

Its unfortunate that the scheme is facing a challenging moment and I think its worth the analysis of financial expert because the scheme has over 2.5million participants and imagine the billion of naira that is involved in the scheme. I'm not ignorant of the fact that the federal government had warned Nigerians from this financial initiative but then you will agree with me that such kind of initiative is impossible to avoid in this period of economic recession!

I usually make it clear to friends who wants to join the scheme that the scheme is highly risky, although the return is a compensation for it. This is in accordance with the fundamental finance principle of “the higher the risk the higher the return” but most people question me on the basis that the scheme has been operating effectively for a while and so its near impossible for it to crash. I’m not surprise that this is happening.

Let me quickly address some basic question.

Why the freezing?

MMM is built upon PH and GH. For the scheme to be operative some participants must be willing to PH while some others who had PH before will GH at least two(2) weeks after. So at anytime when PH is not equal to GH there will always be problem(very much relatd to the theory of demand and supply). This simply means that there are more people who wants to GH than PH. This inequality is most likely to occur during festive period. It can also occur at any time when people lose trust in the scheme. The best action to take therefore is to freeze all mavros so that a rescue mission can be embarked upon.

What are the possible actions that can sustain the scheme?

Participants are to PH a minimum amount. I wasn’t surprise when I saw an article on watsap that all participants are pleaded with to PH #20,000 to rescue the scheme from crashing. This is actually an effort to equalize PH and GH.
In my opinion, I doubt if Nigerians are willing to spare #20,000 when they are not sure their previous Mavro is cashable. Ponzi scheme is actually built on the trust of participants, if participants fail to trust a scheme anymore then the future of such scheme is blur.

All guiders can be mandated to PH a large amount. Since Nigerians ae not willing to PH a better alternative is for the guiders to be mandated to PH. The chances that guiders who are also Nigerians will risk their funds is very slim!

If Federal government, individuals or financial institutions can give out loans to rescue the scheme. This is largely impossible because federal government is actually against the scheme. I doubt if there are investors( corporate and individuals) who are willing to rescue the scheme. Financial institutions will not give out loans because of the level of risk involved.

It should also be noted that the three(3) points highlighted can be combined to rescue the scheme.

Presently it is worthy of note that lots of people have been blocked because they failed to PH after they have been matched because of the fear that the scheme will crash. A rational human being will definitely not PH in this season!

My Conclusion
The future of MMM in Nigeria lies in the hands of participants. The reaction of participants is key because the scheme is largely built on trust. If participant lose trust in it, I’m 100% sure that it will crash!

#folarinadeola#

This is the first unbiased composition I'm Reading.. Kudos op