Financial schemes in China
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Economy & Finance

China's Pyramids: Promise Riches, Deliver Curse as Economy Slows

The dark side of financial innovation in a slowing economy

201911 min read

As China's economy slows and traditional investment returns diminish, pyramid schemes and fraudulent investment platforms have proliferated, promising outsized returns to desperate savers.

P2P Lending Collapse

The peer-to-peer lending boom turned bust exposed millions of Chinese investors to losses. Many platforms were little more than Ponzi schemes dressed in fintech clothing.

Originally published by MacroPolo, Paulson Institute