1. A Ponzi Scheme is when one set of investors are paid unreal returns out of money received from another.
2. Madoff promised all his investors the "holy grail" as they called it which left no one wanting to turn that down. I think Bernie got away with his scheme because everyone he sold it to he made them believe he was trustworthy, reliable, a good person, and that people were safe with him. Madoff had been exposed to the schemes as a child and knew how to work them. Lastly he got involved with charities and made them invest which looked good on the surface but only led to more damage in the end.
3. A Ponzi Schemer is someone who is very cunning. They seem to have lots of knowledge on what they are talking about. Of course they are amazing liars. They tend to be quick on their feet and very nice at first take. In the video they were described as sociopaths.