Global Glosssary: Includes FCA Definitions & Handbook references

Exploiting a computer system or private network inside a computer with the intent of stealing personal information, such as passwords and bank account information, for financial gain.

Ponzi schemes promise passive income and high returns in short periods through an investment of crypto assets. These schemes often offer payment structures similar to that of multi-level marketing or pyramid schemes to recruit new investors, promising early investors a percentage of the profits of other investors they recruit. These schemes are usually heavily promoted through social media and may use paid social media promoters to market their product. Initially, the investment platform will appear legitimate and produce positive returns consistently. However, the scammer will eventually take off with the invested funds and freeze the platform under the guise of technical issues, before completely shutting down the platform.