Quote:
Originally Posted by Palikari
IMO this is nitpicking. Yes, you're right. It's not a pyramid scheme by definition.
But honestly it works EXACTLY the same. If the flow of new recruits ('fish') stops then the whole system collapses.
The spirit of the business model (not the game!) is the same.
And that's what I meant. But you know that
The system absolutely does not stop if the flow of new recruits stops. It only stops if the deposits stop. The poker economy allows people to deposit multiple times, and allows for players who were previously winners to become losers and deposit themselves.
A pyramid scheme works because it cons all members into having the expectation of making money. Every person who joins is told their money is going to increase by a certain amount. This is certainly not true in the poker economy, where most players have the hope of winning, but are never promised it will happen. Also, the players pumping the most lifeblood into the system (the frequent depositor) knows that they have little to no expectation of winning money. If they do, the only deception happening is some pretty good self deception.
In a pyramid scheme, someone is encouraging you to make an investment and promising returns. The understanding on the part of the depositor is that they will, almost certainly, receive more than they put in.
In poker, someone is encouraging you to gamble by promising entertainment. The understanding on the part of the depositor is that they will have some fun, maybe lose the money, or maybe win some.
It's not semantics, and the contrast is significant.