Which of the following is a fraudulent investment operation that involves paying abnormally high returns to investors out of the money paid in by subsequent investors, rather than from the profits from any real business?

Question

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A Ponzi scheme is a type of investment fraud where returns are paid to existing investors using the capital contributed by new investors rather than actual profits. This scheme is named after Charles Ponzi, who became notorious for using this technique in the 1920s. The Ponzi scheme relies on the constant influx of new investors to pay returns to old investors, and eventually, the scheme collapses when the number of new investors dries up, and there are no more funds to pay old investors.

Which of the Following Is a Fraudulent Investment Operation That