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A type of investment scam.

A ponzi scheme is a fraudulent investment operation that involves paying returns to investors out of the money raised from new investors.

The scheme is named after Charles Ponzi, an Italian immigrant to the United States in the 1920s.
I got taken by a HYIP ponzi scam last week. They promised 20% a month but ran away with my money!
ponzi by Alfredo Alberto September 19, 2004
Related Words

ponzi scheme 

see social security.
A scam involving paying off money to old investors with new investors' money. Eventally the last group of people paying into the scam never get their money back.
Bill: Hey Will, what's this line on my paycheck that says "Social security"?
Will: It's the government's ponzi scheme. You'll never see that money again.
ponzi scheme by Pseu D. Onym October 11, 2010

Ponzificate 

The process of winning new church members by indoctrinating additional recruiters and missionaries. Specifically (but not exclusively) for the Roman catholic church.
Go out my children and ponzificate.
Proselytize and ponzificate!
Those on the lowest tear of the ponzification pyramid are screwed - only those at the top go to heaven.
Ponzificate by Kai_F April 13, 2010

Attention Span Ponzi Scheme 

An Attention Span Ponzi Scheme is a system of recruitment of people to pay attention to a topic. People recruited to the topic are then encouraged to drag in the attention spans of others.

The entire system collapses when everyone realizes that the topic is bankrupt of value to be discussed in the first place.
Examples of Attention Span Ponzi Schemes include chain letters, time-wasting Facebook applications, and any social reference group that is based on recruiting others to participate or play for the subject to have sustained interest.

Ponzi Gangbang

An orgy hosted by a couple of enterprising young men. These men provide at least 1 woman and promise a huge orgy to everyone who can bring along a woman. The first guys who host the gang bang, have little investment, since they can make the guys who come later provide all but one of the women, and pay for the hotel room. As long as there is a good pool of fresh women, all of the late comers will not notice they are being fucked.
Last Friday Dave and I, hosted a 14 hour Ponzi Gangbang. I had to leave after I had been with my 9th woman of the night, but it was cool since we got them to pay for the hotel room.
Ponzi Gangbang by the042 June 30, 2009
A Ponzie is the central architect of any Ponzi scheme, either historically or one in the present moment.

A Ponzie is similar in some respects to Fonzie (aka the Fonz) from the show "Happy Days" apart from the fact that he isn't called Fonzie, isn't in the show "Happy Days" and is, instead, running a fraudulent system of fictional finance.
That Ponzie just madoff with all the money.
Ponzie by Tulipia Manica June 23, 2011