Well, I guess if you are a person who are unable to determine what you're going into is a scam or not, then, it's best for that person to stay away from it. Think about it, there are alot of other things out there that will entice you into putting your hard earn $$/precious time in promise for a good return. It could be MLM, direct selling, blindly investing into equity/debt/derivative instrument/structured products/unit trust/insurance, etc. The list just keeps going on. Till he gets it, it will jsut be another painful lesson to go through. Our regulators can only do so much and I must say there have been doing quite a great job so far.

It is indeed sad to see/say that the direction taken by the society of the world today in developing ourselves materially (concentrate gather $$) is probably a digression and is probably an inhibitator to development but this is an entire topic all together. Had we not develop such a social system that places empahsis on $$ so greatly, we might just have people with greater characters and less greedy. I stand to believe that the result of all the greed today is in a way a by product of the system that we've live in. Yes, humans might just be greedy by nature but our created system has definitely greatly amplified that effect.

Genneva hibah model is at 24% pa + commision to their consultants/agents at around 12% pa. That's a hefty 36% pa and we have yet to also include their overhead cost. So, gold will probably have to rise at about 40-50% pa just for their operation to be viable/profitable. We're also assuming that they will be able to sell their internally minted gold buillion to the open market at a price very close to the spot price (in the very unlikely event that the gold indeed does rise so substantially). Also, in the long run, what are the chances of this suceeding? Finally, this is a very stupid way to raise capital if indeed you do project gold to raise so substantially.

So yeah, Genneva's business is really nothing but a ponzi scheme.

Something that I've forgotten to add on in my previous post, since the buyback clause is an option to be exercised at the discretion of the customer, if indeed gold do rise by 50% in that ever year, customer will have keep the gold instead selling it back to Genneva. So really, there is really no way Genneva to profit under this scenario either.