Loom Ponzi Scheme Review - Scam or Legit?

If you are on this page then you must have requested to know if LOOM income programme is fake or legit.

in this article we'll tell you all you need to know about this loom of a programme, how they'll finally cart away with all your hard earned money.

Recall, that before now we have encountered similar ponzi schemes such as MMM and the likes and those who got involved in them knew how much it cost them when the platform went down.

That same way, LOOM Money is the latest and fastest growing Ponzi scheme in Nigeria currently and it's spreading very fast across like wildfire.

I know most of us have vowed not to get involved in any ponzi scheme, but, one thing i can assure you is that; provided you get the information during the early stages of the programme, then you might not benefit much, so i personally won't advice you to take the risk of investing after maybe 2-4 months of awareness because you are taking a high risk.

How Does LOOM Work?

The scheme which was first reported in the UK, then by an Australian media, ABC News (Australian Broadcasting Corporation) as a scam after it had gone viral in Australia, commenced in Nigeria recently.

  • The first step of the process is being invited to join a WhatsApp group chat, usually by a friend or relative. Then you are asked to ‘invest’ N1,000, N2,000 or N13,000 with a promise that you will make eight times the amount back once you recruit new entrants.
  • After you have paid in the money, you are asked to invite at least one person to join the system.
  • There are four levels in Loom Nigeria – Purple, Blue, Orange and Red.
  • Each time eight people join the loom, the person in the centre (Red) will get the target amount and leave the group.
  • The loom will then split into two groups. The top half and the bottom half become the new looms and everyone moves into the next level (Purple Level – into Blue Level – Into Orange Level) and the cycle begins again.
The more people you manage to add to the circle, the quicker the movement of it, and thus, the easier it will be for you to make your own money.

The basics are that you get eight times the amount you “invest.” If you invest N1,000, you get N8,000; if you invest N2,000, you get N16,000; and if you invest N13,000 you will get N104,000

Is Loom Fake or Legit??

However, in every Ponzi scheme or business, there will always be Testimonies from the early users. But that doesn't make the business a legitimate one, especially Ponzi Schemes.

Let's take a brief look this...

  1. Firstly, you have to pay to join the program. And for the first person to part away with any money, he or she has to supply 8 new members.
  2. And to make money as Loom promises, you have to supply members in this format in a WhatsApp group:
  3. 1st payment attracts 8 new people.
  4. For 8 people to be paid, the WhatsApp group needs 8 × 8 new members = 64 new members.
  5. For 64 people to be paid, the WhatsApp group needs 512 members which can be calculated as 64 × 8.
  6. For 512 people to be paid, the WhatsApp group needs 4,096 new members and vice versa.

Now, Here's where the scam appears:

There’s where it will reach, the ponzi scheme won’t be able to get new investors or members in the system and once that happens, the program or system will crash and pack all available money with it.

P.S: I even overheard someone saying he wants to create his own LOOM with the sole aim of scamming people who joins, all because he has lost his N1000 to the programme, this alone shows that he's frustrated and wants to take advantage of new investors which might be YOU.

Take for example as a Nigerian:

When NNU first came out; It was working smooth and clean but as soon as so much persons got into it, the system crashed because the referring system becomes hard. It packed a lot of money along but not still as much as that of MMM.

The same thing applies to Loom, when the time comes it will crash and make way with all your money.

Funny enough, It won’t only affect you, it will affect your family members that you invited to participate without knowing what it entails.

So, LOOM ponzi scheme is a pure scam and I advise you stay away from it before you regret. It will be painful when it happens. Remember, I warned.

Although, some will say "Loom is not a ponxi scheme or mmm. Some of u hv been asking what if it crashes, it has no website or email. Abi whatsapp dey crash? No!
This is purely osusu, when it reach your turn you cash out and leave."

Don't worry, your village people is at the front of your back.

In Summary "Loom is a pure ponzi and pyramid scheme which is illegal and often not sustainable to continue paying the circles".

Nevertheless, Everything in life is all about Risk which is quite right.

Just don't cry when you get "LOOMIFIED"

Please let's hear your own say in the comment box below. Are you already into Loom Ponzi Scheme?

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  1. I'd like to believe you,and intact a lot of things you said are true,but to be honest,you wrote this article out of small knowledge of how it truly is.
    Your "let's take a brief look at this section" is completely wrong because you don't need that much people,it's 15 people in a loom,when someone gets his money,the group breaks into 2,each group having 7 people each,and to make it 15 again,8 new people have to be invited ,which will give the potential winner his money

    1. You might be right; i don't know abour the programme but loom is ponzi scheme which is unarguably a scam.

  2. And I came to this article to see a valid reason how loom will crash and take all our money,but you didn't really tell us how that's going to happen ..all you did was to tell us how similar money schemes like this have crashed,and obviously theirs crashed because of paying money to a single account,but in loom the money is paid to different people,people you most likely know.