Most Nigerians,
especially those on social media, have totally embraced LOOM, the latest ponzi
scheme in town, despite the bitter experience they had with various Ponzi
schemes in the past. When Mavrodi Mundial Moneybox (MMM) crashed in December
2016, many who lost their investments in the scheme vowed never to get involved
in any form of ponzi scheme again. However, today, it is a case of a dog going
back to his vomit as it appears that most Nigerians have rescinded their vows
and are fully into Loom.
Whether we like or not, a
ponzi scheme remains a ponzi scheme regardless of the name it is clad with.
Ponzi schemes share something in common – the early birds benefit whereas the
latecomers become victims. This is something you should know. But if you still
insist on investing in LOOM, below are a few things you should note.
How Does Loom Work?
1. Loom was first
reported in the UK by an Australian media, ABC News (Australian Broadcasting
Corporation) as a scam after it had gone viral in Australia.
2. With thousands of
active members, Loom is now the latest ponzi scheme in Nigeria.
3. The first step of the
process is being invited to join a WhatsApp group chat, usually by a friend or
relative. Then you are asked to ‘invest’ N1,000, N2,000 or N13,000 with a
promise that you will make eight times the amount once you recruit new
entrants.
4. After you have paid in
the money, you are asked to invite at least one person to join the system.
5. There are four levels
in Loom Nigeria: Purple, Blue, Orange and Red.
6. Each time eight
people join the loom, the person in the centre (Red) will get the target amount
and leave the group.
7. The loom will
then split into two groups. The top half and the bottom half become the new
looms, and everyone moves into the next level (Purple Level – into Blue Level –
into Orange Level). And the cycle begins again.
8. The more people you
manage to add to the cycle, the quicker the movement of it, and the easier it
will be for you to make your chunk of ‘easy money’.
9. The basics are that
you get eight times the amount you invest. If you invest N1,000, you get
N8,000; if you invest N2,000, you get N16,000; and if you invest N13,000, you
will get N104,000.
Although most social
media platforms are inundated with positive testimonies about the scheme, you
still have to tread with caution if you must invest. Your experience with MMM,
Ultimate Cycler or other ponzi schemes in 2016 should be your best teacher.
Before you LOOM, be sure you can pull yourself together in case you
get DOOMed.