Pi and ponzi

I saw in another thread people calling this a ponzi and I'm trying to understand why.

The two main complaints about pi are 1) mlm: but here no real money was spent by anyone. It was just used to build community, and increase the number of users. 2) kyc: Being from India, we are used to doing kyc and it gets leaked left and right. Unless you wanna stay completely anonymous, this shouldn't matter.

I've got few thousand coins and am confused about transferring or locking it.