: 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
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Redding fraudster Matthew Piercey was sentenced Thursday to 30 years in federal prison for a $35 million Ponzi scheme that ran from 2016 to 2020.
—
Sacbee.com, 23 May 2026
Delgado, 34, was the president and CEO of Goliath Ventures, the company at the center of the alleged Ponzi scheme.
—Annie Martin, The Orlando Sentinel, 22 May 2026
The office of First Liberty Building and Loan, which federal officials allege was a Ponzi scheme, is shown on Thursday, July 10, 2025, in Newnan, Georgia.
—Dan Raby, CBS News, 23 Apr. 2026
Celsius turns out to be a Ponzi scheme.
—Owen Gleiberman, Variety, 20 Apr. 2026
See All Example Sentences for Ponzi scheme
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Sacbee.com, 23 May 2026
Delgado, 34, was the president and CEO of Goliath Ventures, the company at the center of the alleged Ponzi scheme.
—Annie Martin, The Orlando Sentinel, 22 May 2026
The office of First Liberty Building and Loan, which federal officials allege was a Ponzi scheme, is shown on Thursday, July 10, 2025, in Newnan, Georgia.
—Dan Raby, CBS News, 23 Apr. 2026
Celsius turns out to be a Ponzi scheme.
—Owen Gleiberman, Variety, 20 Apr. 2026
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 May. 2026.
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
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