Rokinlobster
Nightwolf of the galaxy
The thing is, they are not directly asking users for money right now, which makes it not a pyramid scheme.
Here is what I think it is, and it may look like a pyramid scheme, but there is a core difference. The top of the pyramid is not asking the lower parts for money directly. This is how "layered marketing" works, but instead of money they use a product, and it is completely legal. Mary Kay Makeup is one I have heard that is like this, but there is a plethora of them for all kinds of products even meat. The way you can spot one of these is looking for a company that says to recruit new employess and you will get a portion of what ever they sell, and if they bring any new employees in you get some of their money from sales too! "If you invite 5 friends, and they invite 5, and those 5 invite 5...." BUT it is actually possible to achieve some success with some of these programs, albeit nearly impossible.
What this site intends to do seems different. I suppose their goal is either to generate ad revenue and pay it to initial users, or do that and sell user information and pay it to users. Or they pocket all the ad revenue and revenue from selling your info. Scam, possibly, but entirely legal as it stands now.
I suppose right now what they are trying to do is
1: Create a user base of X, when X is achieved (Likely a number that is able to support the servers off of advertisement revenue) start the next stage.
2: When user level reaches Y (Where Y is a number of users generating enough ad revenue to pay X +Y anything + server costs)
3: keep gaining users which in turn generates more ad revenue etc etc...
Here is what I think it is, and it may look like a pyramid scheme, but there is a core difference. The top of the pyramid is not asking the lower parts for money directly. This is how "layered marketing" works, but instead of money they use a product, and it is completely legal. Mary Kay Makeup is one I have heard that is like this, but there is a plethora of them for all kinds of products even meat. The way you can spot one of these is looking for a company that says to recruit new employess and you will get a portion of what ever they sell, and if they bring any new employees in you get some of their money from sales too! "If you invite 5 friends, and they invite 5, and those 5 invite 5...." BUT it is actually possible to achieve some success with some of these programs, albeit nearly impossible.
What this site intends to do seems different. I suppose their goal is either to generate ad revenue and pay it to initial users, or do that and sell user information and pay it to users. Or they pocket all the ad revenue and revenue from selling your info. Scam, possibly, but entirely legal as it stands now.
I suppose right now what they are trying to do is
1: Create a user base of X, when X is achieved (Likely a number that is able to support the servers off of advertisement revenue) start the next stage.
2: When user level reaches Y (Where Y is a number of users generating enough ad revenue to pay X +Y anything + server costs)
3: keep gaining users which in turn generates more ad revenue etc etc...
