Ponzi

Jamie Dimon, ever the mouthpiece for traditional finance, maligned the industry as a fraud, a Ponzi scheme and a collection of pet rocks, among other colorful descriptors.

He knew something that others did not: that he was operating a Ponzi scheme.

They had the essential feature of a Ponzi scheme: To maintain the fiction that they were profitable enterprises, they needed more and more capital to create more and more subprime loans.

This is a fictitious Ponzi scheme.’”

Qian is believed to have coordinated a Ponzi scheme, which pays out to investors using funds from new entrants.