MMM Zimbabwe slash withdrawal exchange, reopen frozen accounts
In an effort to stave off an inevitable collapse, MMM Global’s Zimbabwe chapter froze investor withdrawals a few weeks ago.
Deposits were still permitted, with the intention being to collect money without withdrawals draining the system and unfreeze existing accounts on September 15th.
That plan has now been cancelled, with MMM Global Zimbabwe prematurely unfreezing investor withdrawals.
Things are going so well in the System that there is no need in Mavro freezing any more.
There is however a catch…
While affiliates deposit real funds into MMM Global, the company itself pays out Ponzi points called “Mavros”. Mavros must be exchanged for real money, subject to availability of new investment deposits being made.
MMM Eastern Africa, who run the MMM Global Zimbabwean chapter, have reduced the Mavro exchange rate from 1 Mavro to $1 to 5 Mavros to $1.
This is effectively an 80% reduction in the dollar value of existing invested funds and the Ponzi ROI attached to them.
For example, whereas previously an MMM Eastern Africa affiliate who invested $1 was promised $2 within 30 days, now they’ll receive just 20 cents.
Affiliates who had been hoarding Mavros in their backoffice will now only be able to claim 20% of what they were previously able to request in withdrawals.
This change has likely been implemented due to a lack of new withdrawals, leaving MMM Eastern Africa unable to meet it’s 100% ROI obligations come September 15th.
By reducing withdrawal rates by 80%, it now takes longer for an affiliate to “break even”. But after five months the problem of paying affiliates more than has been invested, known as a “Ponzi liability”, persists.
This will inevitably still bring about a collapse. MMM Eastern Africa have just put it off a bit.
Some existing members are crying foul calling this drastic measure unethical as new members are being offered free money while they are stuck in the system due to their accounts losing 80% of its value.
That’s of course assuming affiliates don’t riot, stop promoting the scheme altogether and demand their money back.