In the United Arab Emirates and China, setting up a financial pyramid scheme can result in the death penalty.
A good example is the Ezubao pyramid, which existed from 2014 to February 2016. During this time, at least 900 thousand people suffered from the actions of its organizers. The Ezubao online service created by fraudsters offered users to make deposits in Internet projects, promising high interest rates. The defendants in the case were found guilty and sentenced to prison terms and fines. The main defendant in the case was Ding Ning, the chairman of the board of directors of the parent company of Ezubao. The convicted person was ordered to pay a fine of 100 million yuan ($14.4 million) and had property worth 500 thousand bc data yuan ($72 thousand) confiscated. The court also sentenced Ding Ning to life imprisonment and deprivation of political rights.
KAZAKHSTAN
According to the Criminal Code of the Republic of Kazakhstan, the creation of an investment pyramid is punishable by a fine of up to 3 thousand monthly calculation indices (in 2018: 1 monthly calculation index = 2,405 tenge, about 7 US dollars) or restriction of freedom for up to three years, or imprisonment for the same term, with confiscation of property. Raising money or other property on an especially large scale is punishable by imprisonment for a term of five to ten years.
Posting information and distributing advertisements for pyramid schemes entails a fine for individuals in the amount of 150 monthly calculation indices, for officials - in the amount of 170, for small businesses or non-profit organizations - in the amount of 200, for medium-sized businesses - in the amount of 300, for large businesses - in the amount of 600 monthly calculation indices, with suspension of the media outlet's activities for up to 3 months in accordance with the Code of Administrative Offenses.
In countries where the criminal code does not have a special article that provides for punishment for the creation of a financial pyramid, such an act can be classified as conducting illegal business activities, fraud.