Pyramid schemes - a form of multi-level marketing - involve paying commissions to distributors only for recruiting new distributors. Pyramid schemes are illegal in most states because the plans inevitably collapse when no new distributors can be recruited. When a plan collapses, most people - except those at the top of the pyramid - lose their money.

“I literally screamed so loud that I shocked even myself! … It is hard to describe the feeling one gets when one makes the first money from blogging. … I have felt that feeling several times since then, but nothing compares to the first time when I actually did make some money from my blog. And this sale came less than one year after starting my blog!”
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