MMM Krypto Resurfaces: Formerly Popular Ponzi Scheme Returns, Issues Caution on Guarantees to Users

 

The notorious Ponzi scheme, Mavrodi Mondial Moneybox (MMM), infamous for its widespread impact across Africa, particularly in countries like South Africa, Zimbabwe, Nigeria, and various East African nations, is making an audacious attempt at a comeback under the guise of MMM Krypto.

A recent event organized by MMM Krypto on December 2, 2023, in Durban, South Africa, was highlighted in information found on a promotional flyer. Despite its past tarnished reputation, MMM Krypto boldly markets itself on its website as a "Worldwide Mutual Aid Fund, a Financial Social Network, or a World People’s Bank," signaling an intention to attract an international audience.

The organization portrays itself as a voluntary informal association comprising millions of individuals globally who have allegedly declared a "war against the banks and the Fed to kick against financial slavery." However, a disclaimer on its website issues a stern warning, stating, "there are no guarantees and promises! Neither explicit nor implicit. There are neither investments nor business! Participants help each other, sending each other money directly and without intermediaries."

The grim history of MMM in Nigeria, where an estimated three million people suffered losses amounting to N18 billion, was revealed by the Nigerian Deposit Insurance Corporation (NDIC) in 2017. This figure underscores the devastating impact of the scheme on unsuspecting victims.

Tragically, in 2017, one of MMM's countless victims, Ada Kole, reportedly took his own life in Kubwa, a satellite town in the Federal Capital Territory (FCT). It was reported that Kole consumed insecticide following the collapse of MMM, a financial blow he experienced after investing N750,000 shortly before his wedding.

The attempt by MMM to resurface as MMM Krypto raises concerns given its notorious history and the substantial financial losses suffered by individuals who placed their trust in the scheme. Authorities and financial institutions are likely to closely monitor the activities of MMM Krypto to prevent a recurrence of the widespread financial distress caused by its predecessor.