Smarts Money Review: Exposing a Risky Compensation Plan 2025

To illustrate, consider a $1,000 investment at a 2% daily return, compounded daily:

[ A = P \left(1 + \frac{r}{n}\right)^{nt} ]
Where:

• (P = 1000) (principal)
• (r = 0.02) (daily rate)
• (n = 365) (compounding periods)
• (t = 1) (year)

[ A = 1000 \left(1 + \frac{0.02}{365}\right)^{365} \approx 1000 \times 7.389 = $7,389 ]

This suggests a 639% annual return, which is mathematically unsustainable without a verifiable revenue source. For comparison:

To sustain such payouts, Smarts Money would require exponential growth in new investors. For example:

• Month 1: 100 investors deposit $100,000 → $2,000 daily payouts.
• Month 6: With 50% monthly growth, 3,375 investors deposit $3.375 → $67,500 daily payouts.
• Month 12: 113,906 investors deposit $113.9 → $2.278 daily payouts.

Without a clear business model or external revenue (e.g., trading profits or asset appreciation), this model collapses when new deposits slow, a classic Ponzi scheme trait.

Red Flag: Unrealistic ROI claims and reliance on recruitment suggest a Ponzi structure.