Pennywise HYIB: The king of Absurdity

Just last week, some dudes came to my office to offer the ever enticing money doubling schemes. I don’t think am being fair in calling Pennywise money doubling or S’ogun D’ogoji because man, Pennywise is something else!
This is how it works. You give them a paltry N2,500 for a slot and over a period of 9 weeks, the scheme will pay out a cumulative of N251,390. Effectively, you multiply any amount you put inside by 100 in 9 weeks. Interesting!
What if I decide to invest just N250K back? Further still, or what happens if I decide to roll over my investment every 9 weeks for a period of 1 year?
With my MS Excel, this is what I get:

Week
Naira
Dollars
0
2,500.00
19.23
9
250,000.00
1,923.08
18
25,000,000.00
192,307.69
27
2,500,000,000.00
19,230,769.23
36
250,000,000,000.00
1,923,076,923.08
45
25,000,000,000,000.00
192,307,692,307.69
54
2,500,000,000,000,000.00
19,230,769,230,769.20

So with my humble N2,500 in January 1, I could, by second week of January the next year, be worth over $19 trillion, isn’t that wonderful?
Yeah, this is Pennywise!

Author: Adedeji Olowe

Adédèjì is the founder of Lendsqr, the loan infrastructure fintech powering lenders at scale. Before this, he led Trium Limited, the corporate VC of the Coronation Group, which invested in Woven Finance, Sparkle Bank, Clane, and L1ght, amongst others. He has almost two decades of banking experience, including stints as the Divisional Head of Electronic Banking at Fidelity Bank Plc. He drove the turnaround of the bank’s digital business. He was previously responsible for United Bank for Africa Group’s payment card business across 19 countries. Alongside other industry veterans, he founded Open Banking Nigeria, the nonprofit driving the development and adoption of a common API standard for the Nigerian financial industry. Beyond open APIs, Adédèjì works deeply within the fintech ecosystem; he’s the board chairman at Paystack. Adédèjì is a renowned fintech pundit and has been blogging on technology and payments at dejiolowe.com since 2001.

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