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An investment scam is a deceptive operation. Scammers lure unsuspecting individuals with promises of high returns or quick profits. There is usually a business or investment opportunity that sounds too good to be true. Typically, scammers create a sense of urgency. They pressure victims to invest quickly to avoid missing out. Phoney testimonials from 'successful investors' may be used to add credibility to their schemes. Often, these scams are presented as exclusive opportunities. Scammers may claim that the information is only available to a select few. A hallmark of an investment scam is the promise of guaranteed returns, a claim no legitimate investment can make, In a Ponzi or pyramid scheme, a classic example of an investment scam, money from new investors is used to pay existing investors. This gives the illusion of a profitable investment, but collapses when there are no more new investors.