TheRichest's video: The Pyramid Scheme That Ruined A Country

Did you know that in the mid 1990’s, the country of Albania was almost completely taken down by pyramid schemes? It sounds almost too crazy to be true. And yet it happened. In this video, we’re breaking down what happened, why it happened, and how they managed to recover from it. Albania spent 50 years under a communist dictatorship. Citizens didn’t own much, and the government ran everything with an iron fist. Plus, unlike many other countries, Albania also completely isolated itself from the rest of the world when it came to trade and general economic policies. So, when the USSR fell in 1991, and the era of democracy started to begin in that part of the world, Albania was totally unprepared. The people were psyched to have some freedoms, which included the ability to invest and make money. But the country was totally not set up for an immediate dive into democracy and capitalism. So it quickly started to rely on an ‘informal’ economy, which was basically independent companies springing up and lending out money, etc. This might have been ok, if there were economic laws in place to safeguard against bad actors. Sadly, there weren’t. And that meant there was an opening for shady types to start companies that promised huge returns to investors, without having an actual way to make money to pay those investors. And they were using the money from new investors to pay the previous investors. In other words, a classic pyramid scheme. These popped up all over, and when they inevitably came crashing down, they nearly brought the entire country with them. So join us, as we get into the details of how pyramid schemes nearly ruined a country! Subscribe for more amazing videos! ► https://www.youtube.com/@TheRichest?sub_confirmation=1 ◄ CHAPTERS: 00:00 Intro 00:17 The Basics 01:49 How Did This Happen?! 03:04 Tonight We’re Gonna Party Like It’s 1991 04:39 Pyramids to the Rescue! 05:51 Whodunnit? 06:26 The Peak – 1996 07:11 Happily Ever Af-- Wait, Nope. 08:05 Chaos and near-civil war 08:35 Avoiding Full Catastrophe 09:06 So, What Have You Guys Been Up To? 09:35 Outro Written by: Tim Blane Narrated by: Tim Blane For copyright matters please contact us at: legal@valnetinc.com