: an investment swindle in which some early investors are paid off with money put up by later ones in order to encourage more and bigger risks
Examples of Ponzi scheme in a Sentence
Recent Examples on the Web
Andrew Jacobus, 64, was jailed at the Federal Detention Center in Miami on charges of operating a Ponzi scheme, wire fraud and money laundering in suspicion of stealing over $94 million from investors.
—
Arkansas Online, 19 July 2025
An investment advisor who lives in a Coconut Grove luxury high-rise condo was arrested Thursday on charges of operating a Ponzi scheme and swindling tens of millions of dollars from Venezuelan investors and two Catholic dioceses in the South American country, according to a federal indictment.
—Jay Weaver, Miami Herald, 18 July 2025
Rolling Stone story involving inmate Steven Hoffenberg, imprisoned for 18 years for committing a $450 million Ponzi scheme, detailed how Hoffenberg worked with Epstein in the financial sector.
—Nick Mordowanec, MSNBC Newsweek, 15 July 2025
McClain's moniker is named after Bernie Madoff, the former Nasdaq chairman who masterminded the largest Ponzi scheme in U.S. history by defrauding thousands of investors.
—Louis Casiano, FOXNews.com, 14 July 2025
See All Example Sentences for Ponzi scheme
Examples are automatically compiled from online sources to
show current usage.
Read More
Opinions expressed in the examples do not represent those of Merriam-Webster or its editors.
Send us feedback.
Arkansas Online, 19 July 2025
An investment advisor who lives in a Coconut Grove luxury high-rise condo was arrested Thursday on charges of operating a Ponzi scheme and swindling tens of millions of dollars from Venezuelan investors and two Catholic dioceses in the South American country, according to a federal indictment.
—Jay Weaver, Miami Herald, 18 July 2025
Rolling Stone story involving inmate Steven Hoffenberg, imprisoned for 18 years for committing a $450 million Ponzi scheme, detailed how Hoffenberg worked with Epstein in the financial sector.
—Nick Mordowanec, MSNBC Newsweek, 15 July 2025
McClain's moniker is named after Bernie Madoff, the former Nasdaq chairman who masterminded the largest Ponzi scheme in U.S. history by defrauding thousands of investors.
—Louis Casiano, FOXNews.com, 14 July 2025
See All Example Sentences for Ponzi scheme
Cite this Entry
“Ponzi scheme.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/Ponzi%20scheme. Accessed 29 Jul. 2025.
Copy CitationLegal Definition
Ponzi scheme
noun
Pon·zi scheme
ˈpän-zē-ˌskēm 
: an investment swindle in which early investors are paid with sums obtained from later ones in order to create the illusion of profitability
Etymology
Charles A. Ponzi (ca. 1882–1949), Italian-born American swindler
Love words? Need even more definitions?
Merriam-Webster unabridged
Share