pyramid scheme

noun

Definition of pyramid scheme

: 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

Washington state Attorney General Bob Ferguson sued LuLaRoe clothing last week, accusing the company of pyramid scheme in which thousands of Washington residents have lost money selling clothes. Kate Thayer, The Seattle Times, "Move over, jewelry and leggings. Selling CBD oil is the new side hustle for moms," 29 Jan. 2019 That's right — gift chains actually break the U.S. Postal Inspection Service's gambling and pyramid scheme laws. Zoe Miller, Good Housekeeping, "The "Secret Sister Gift Exchange" on Facebook Is a Scam," 13 Nov. 2018 Even without a buy-in price, that’s quite literally a pyramid scheme. Nadra Nittle, Vox, "This new would-be currency isn’t crypto — but is it for real?," 8 Nov. 2018 In one attack on Ms. Constand’s character, the defense contended that she had once been involved in a pyramid scheme designed to solicit money from others. Graham Bowley And Jon Hurdle, New York Times, "In Bill Cosby’s Case, Who’s the Con Artist? Both Sides Close by Pointing Fingers," 24 Apr. 2018 Tens of millions of people are ensnared in these pyramid schemes that use cult-like techniques to brainwash their targets and bilk them out of their money. The Economist, "A multi-level scourgePyramid schemes cause huge social harm in China," 3 Feb. 2018 Both are apparently classic pyramid schemes, with new investors’ money going to pay off older investors. David Meyer, Fortune, "Vietnam Is Outraged Over a $658 Million Cryptocurrency Scam," 12 Apr. 2018 According to the criminal complaint against Raniere, his original company, Executive Success Programs, is a good old-fashioned pyramid scheme. Matthew Martinez, miamiherald, "Who is Allison Mack, and what is her connection to Nxivm, the alleged sex cult? | Miami Herald," 21 Apr. 2018 Short on money, Gill plots against the pyramid scheme that fleeced her. Hal Boedeker, OrlandoSentinel.com, "'Central Florida' TV series comes from YouTube," 3 July 2018

These example sentences are selected automatically from various online news sources to reflect current usage of the word 'pyramid scheme.' Views expressed in the examples do not represent the opinion of Merriam-Webster or its editors. Send us feedback.

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First Known Use of pyramid scheme

1949, in the meaning defined above

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Last Updated

15 Feb 2019

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The first known use of pyramid scheme was in 1949

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More Definitions for pyramid scheme

pyramid scheme

noun

English Language Learners Definition of pyramid scheme

: a dishonest and usually illegal business in which many people are persuaded to invest their money and the money of later investors is used to pay the people who invested first

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Rhyming Dictionary: Words that rhyme with pyramid scheme

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