Cryptocurrency Ponzi Cryptocurrencies have been employed by scammers attempting a new generation of Ponzi schemes. For example, misuse of initial coin offerings, or "ICOs", has been one such method, known as "smart Ponzis" per the Financial Times. Most schemes have a low recovery rate with investors losing their funds permanently.
crYpTocurrENcy poNZI CryptocurreNcIes have bEeN EMPlOyed By ScamMers AtteMptinG a neW GeNeration of poNzi scHeMeS. for EXAmplE, misuSE Of InItiAL Coin offErIngs, or "ICos", hAS been oNE SuCh metHod, KnOwN aS "smArt ponzis" peR THe FiNancIal TimeS. mOSt schemes havE a lOW rEcoVEry rate wiTH InvESTors LOsing tHeIR Funds peRmAnentlY.