Multi-level marketing (also known as network marketing) is a controversial direct-sales business strategy where individuals sell products to others in their network. It follows a pyramid structure where people that make the most are at the top, and those who find themselves at the bottom usually don’t make any money at all.

Pyramid schemes are considered illegal because they’re paying distributors to recruit other participants. MLMs claim that they're different since you don't have to recruit but sell their products. However, without your network, you wouldn't be able to sell anything at all. People often get involved without even knowing that it’s a total scam and lose a lot of money along the way. Fortunately, some of them do escape.

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