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They promise people that they can make money by just installing the app and inviting people. A lot of people will fall for this (they make them feel special by telling them they are one of the first, and they promise them they will make money from all the people below them), so thousands of people will install this app. They will then invite all their friends hoping to make money and tell them the same story and within no time there will be millions of people that have the app installed.
Then once the app has millions and millions of users it will be used as a social advertising platform. Companies can advertise their products/apps, and the users that share will get a % of the sales/installs, based on a MLM scheme.
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