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What s the difference between “pyramiding” and “networking”?

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What s the difference between “pyramiding” and “networking”?

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Simply put, “pyramiding” schemes have no product or service to sell. They rely on bonuses or incentives from people who pay to join the organization (sponsoring only). This is illegal in some countries. “Networking”, on the other hand is legal since it involves tangible products and members don’t earn through referrals alone. This Prepaid Card business is done through networking, aside from retail and wholesale methods.

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