25 ms·
No. Businesses whose success depend on network effects are not automatically Ponzi schemes.
by phailhaus 8y ago
No. Businesses whose success depend on network effects are not automatically Ponzi schemes.
- amelius 8y agoWho said anything about network effects?
- phailhaus 8y agoThe comment you replied to is (snarkily) saying that as long as a company is "hot" (i.e., it has a lot of users) then investors will keep coming. That's totally reasonable; a product doing well that grows as a function of the number of users using it is a promising investment (especially when those users are paying!). That's not a Ponzi scheme.