Ponzi scheme
In short
Paucitas is an independent expert firm in the Netherlands that investigates investment fraud and crypto fraud, establishes the origin and legitimacy of crypto assets and prepares expert reports for legal proceedings and compliance.
What does this mean if you hold crypto?
As long as enough new money comes in, the system seems to work. When the inflow stops, it collapses and most investors turn out to have lost their money.
If you join a Ponzi structure, you often see a neatly rising balance for months and sometimes even receive small real payouts. That builds trust, but the money comes from other investors. Those who join early and withdraw in time may appear to make a profit; those who join later usually lose the most.
More about Ponzi scheme
What is a Ponzi scheme?
A Ponzi scheme is investment fraud in which payouts to earlier investors are made with money from later investors. There is no real investment or trading that generates the return. The name refers to Charles Ponzi, who raised money this way in the United States around 1920.
What is the difference between a Ponzi scheme and a pyramid scheme?
In a Ponzi scheme, one party manages the money and pays out the returns itself. In a pyramid scheme, participants earn mainly by recruiting new participants. In practice, the two often overlap.
How can you recognise a possible crypto Ponzi scheme?
Signs include a fixed, high return that stays the same every month, a lack of clarity about how that return is earned, a reward for bringing in others, and withdrawals that take longer and longer. These are indications, not a finding. The Financial Conduct Authority (FCA) keeps a Warning List of firms it is concerned are operating without its permission (see the FCA Warning List).
What can an investigation of the money flow show in a Ponzi scheme?
On the blockchain you can follow where deposits went and where payouts came from. If the payouts to investors turn out to come directly from other participants’ deposits, and not from trading or earnings, that is a factual substantiation of the pattern. Paucitas records that route step by step in a report that anyone can check.
Which organisation in the UK investigates crypto Ponzi schemes?
Paucitas investigates crypto Ponzi schemes by independently following the deposits and payouts on the blockchain and recording them in a report. With that report you can file a police report or take further steps with your lawyer. Paucitas does not promise to get your money back; it provides the facts about the money flow.
Would you like to know what this means for your own situation? Paucitas will look at it with you, free of obligation: ring us on +31 20 244 5774, day or night, or get in touch.
Your own situation
If you are reading this, you probably have a question about your own situation. That is exactly what Paucitas does.
The first step is contact by phone. You can book that call by phone or through the contact form, so you do not have to wait. In the call we look together at what can factually be established in your case and what Paucitas can examine for you.