MMM Nigeria – Let’s start with this question ladies and gentle men…what is your definition of Investment?

This will help us have a common ground for us to help each other on the above topic so that the unbalanced tears and joy that MMM Nigeria brought will not be experienced again.

To get this topic well addressed, the following shall be out sub topics:

  1. What is MMM Nigeria?
  2. What is the origin of MMM Nigeria
  3. What is a Ponzi Scheme?
  4. What Makes MMM Nigeria a Ponzi Scheme
  5. What makes both MMM Nigeria and Ponzi Scheme not to be Investment
  6. Conclusion.
MMM Nigeria

What is MMM Nigeria?

This is an acronym for Mavrodi Mundial Moneybox (MMM) which served as a mutual financial aid box and site where people with financial needs meet people with financial provision which is considered as investments with 30% yield on the amount provided.

Yet another definition exits which is that MMM is the names of all the founders Sergei Mavrodi, Olag Melnikova and Vycheslav Mavrodi.

The three Ms in the name is what this second definition sees as the answer to the question what is MMM in Nigeria.

Whichever way it is looked at, one name stands out in MMM and that name is Sergei Mavrodi

What is the origin of MMM Nigeria?

MMM was founded in the year by a Russian named Sergei Mavrodi who is late now in the Month of November 2015 which is the answer to the question when did MMM start in Nigeria?

Is MMM still working?

There is a mixed feeling about this but what is clearly obtainable here is that after the death of Sergei Mavrodi, the MMM Nigeria placed a hold on its operation.

They wrote in their website that continuing the system without our leader and ideological inspirer is impossible and makes no sense.

However, people believe that this is a ploy for systematic burial of the old clandestine system for a rebirth in many other ways.

This is why people believe that MMM is gone; yet MMM is born else were with a new face and a new name.

Ponzi Scheme:

The definition of a Ponzi scheme is very clear. This is a financial system that uses thrifts collected or cash deposits from its last customers, subscribers and depositors to pay the first customers subscribers and depositors at an interest fee the sum total of the deposit cannot yield in the possible future.

Ponzi Scheme may not necessary be a fraud but that does not mean that it cannot be fraudulent from the beginning.

Everything about the Ponzi scheme depends on the sincere opinion of the inventor.  The question here is how can one know the real and sincere opinion of a Ponzi Scheme?

Dismissing fraud from Ponzi Scheme, it is still worthy of note that the financial principles of Ponzi Scheme is hinged on principles that are not obtainable in the banking and financial sector as described above in its interest and principal repayment.

When Ponzi makes such repayment, it pays unreal interest (Interest carved out from a certain principal which the transaction done with the cumulative principals did not yield).

Imagine a gradual payment of interest from principals which is the deposits made by customers, subscribers and depositors in a cycle that is highly unbanking.

It will get to a time when all the Principals will be used to pay interests to the extent that those yet to be settled depositors cannot be attended to anymore. This will bring up the liquidity issues and the end of such Ponzi Scheme.

MMM Nigeria as a Ponzi Scheme

You might have had questions on how does MMM cooperation works. The explanation you will find here answers that.

MMM modus operandi fits into the definition of Ponzi Scheme. In this scheme, a certain help Provider settles a help needing person with a whooping interest of N30, 000.00 based on the amount the help needing person deposited as a help providing person.

This attracted a lot of deposits from many Nigerians since a deposit as low N10,000.00 gave an interest based repayment value of N13,000.00 in 30 days.

N1,000,000.00 gave the sum of N1,300,000.00 in 30 days which is an interest banks cannot give within such period.

These huge payments caused MMM a serious liquidity issue that phased it out. The above is a clear insight on the question how does MMM cooperation work?

Why MMM is not an Investment?

The main question here is what is investment? Investment is the act of allocating money to a particular business or financial dealings with hope or expectations of getting a return.

For a genuine investment, this expectation must not be cut off especially by unworthy and unprofessional practices which the case is with MMM and other Ponzi schemes.

Genuine investment can go bad because factors like weather and climate, change in financial policies, death, social vices like murder and kidnapping but not on the account of ignorant practices like payment from unrealized interests which is why even sincere Ponzi Schemes will eventually die off.

Now you can see why MMM Nigeria and other Ponzi Schemes is not and will never be an investment.

MMM Nigeria


Please take note of this today. Your money is worth more in your hands than in a million of unrealized and undetermined investment out there.

Invest your money for a return but invest it wisely to avoid had I know.

Thanks for your audience…you may also read: How to hack Bank Account

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