Without proof the funds 'invested' are not being used to fund payouts, the only reasonable course of action is to stay far away from schemes like this.
That's absurd logic. Think about this....10 ppl invest, all their funds go into a cryptocurrency on the exchange, the coin(s) are bought then sold at the higher price for profit. Then the funds are placed back in the pool and a payout is calculated based on the amount of profits made. So collectively all the investors' funds are creating profit and by proxy funding the payouts.
How else would profit be made and paid??? From thin air!?
It wouldn't. The operators would take funds from their investors and create the impression of shating profits by paying their victims a small portion of the funds they 'invested' whenever payouts are due. The users, happy, report success, convince new marks to join and possibly throw more funds at the scheme themselves. This goes on until the amount to be paid to victims exceeds the amount of funds coming in from the victims.
There is no place for trust in giving money to strangers. If a 'business' can't prove they're not operating as outlined above, especially when claiming to operate an investment scheme, they are to be avoided at all costs.
