Since Start of Putin’s War in Ukraine, Number of Pyramid Schemes in Russia have Risen to All-Time Record, Central Bank Says

Paul Goble

            Staunton, Dec. 14 – Pyramid schemes plagued Russia during the 1990s but the government gradually brought them under control; but since the start of Putin’s war in Ukraine, they again have exploded in number and now more than at any time in the past, according to the Russian Central Bank.  

            The bank reports that in 2021, there were 870 financial arrangements that it classified as pyramid schemes; but so far in 2023, there have been 2176 of these fraudulent arrangements to enrich their organizers at the expense of those who fall for their schemes (iz.ru/1620063/elena-balaian/vodit-za-vznos-v-rossii-v-poltora-raza-vyroslo-chislo-finpiramid).

            According to Moscow analysts, this has happened because of the complicated economic situation in the country and the extremely low financial literacy of the population. Some suggest that “only 10 percent” of Russians can identify the features of pyramid schemes, and that means that 90 percent are potentially at risk of falling victim to them.