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Identifying pyramid schemes: a call to action

Warning: Users Call Out Crypto Project as a Potential Scam | Controversy Surfaces in 2026

By

James Tanaka

Jan 7, 2026, 09:47 PM

Edited By

Laura Cheng

3 minutes of reading

A person looking closely at warning signs for pyramid schemes, surrounded by financial documents

A growing number of people are raising alarms over a crypto project they label a pyramid scheme. As skepticism mounts, comments on forums suggest many feel misled about its true nature and possible repercussions for investments.

What's Happening?

The project in question has users concerned that it’s more than just a new crypto venture. A post spurred a surge of comments on forums, with one user adamantly stating, "If you can't smell the sh*t coming from the toilet after this, there is no helping you." The call for concern resonates widely, especially among those wary of scams within the crypto community.

Key Themes from User Comments

  1. Scam Allegations: Many users are outright calling the project a scam designed to take advantage of people.

  2. Investment Woes: Users voice fears about being required to lock in large amounts of a specific token, which raises questions about the project's intent.

  3. Distrust of Promises: Skeptics reference infamous incidents, like the Epstein files, suggesting a pattern of deception and distrust.

β€œThey also want you to lock-in thousands of dollars of their own token. When they rugpull it, you are left with a multi-year hold.”

  • An unhappy investor shares their experience.

The sentiment on these forums is predominantly negative, with many users doubting the project's legitimacy. One comment notes about utilizing disposable income, which hints at a sense of resignation among some investors who feel stuck in this situation.

What Are People Saying?

  • β€œIt’s a scam. And you’re probably in the Epstein files.” - A user expresses their suspicion clearly.

  • β€œI do not have the desire or money to go buy the latest/greatest hardware, so it’s a fun way I’m getting BTC besides buying low.” - Another highlights their situation in the crypto space, indicating lower entry barriers may not lead to safety.

Key Takeaways

  • 🚨 Strong accusations of scam surround the project with growing user frustration.

  • πŸ“‰ Concerns about locking in investments lead many to fear devastating financial losses.

  • πŸ€” Distrust runs deep, fueled by comparisons to previous scandalous situations in the crypto world.

As the situation develops, many are left wondering if this project will continue to operate or spiral into the pitfalls that others have faced in the past. Investors are advised to remain vigilant and weigh their options as reports unfold.

What Lies Ahead for Investors in This Crypto Space

There’s a strong chance this project could face intense scrutiny in the coming weeks as regulatory bodies take note of rising complaints. Experts estimate around 70% of ventures labeled as pyramid schemes eventually collapse, leaving early investors with little to show for their faith. As people grow increasingly wary, many may choose to withdraw their funds, pulling the project's value down and creating a ripple effect that could hasten its downfall. Conversely, if the project shifts strategies or introduces more transparency, there’s a chance it might regain some user trust, but skepticism remains high.

An Unexpected Reflection from the Past

This scenario draws an interesting parallel to the short-lived e-gold phenomenon of the early 2000s, where folks believed in a digital gold standard but were met with unanticipated regulatory responses. Just like today's crypto investors, many were drawn in by the allure of quick profits, only to find themselves caught in a whirlwind of legal battles and financial instability. The evolving landscape of technology often reveals that what seems like a golden opportunity can sometimes lead to quicksand, leaving a lasting impact on those who dared to tread too close.