Is it illegal not to develop people to participate in pyramid schemes?

Illegal. MLM refers to the illegal behavior that organizers and developers calculate and pay remuneration to the developed personnel on the basis of the number or performance of the directly or indirectly developed personnel, or require the developed personnel to obtain the qualification to join on the condition of paying a certain fee. The essence of pyramid selling is "Ponzi scheme", that is, the money of the latecomers is distributed to the income of the pioneers. Legal basis: Article 24 of the MLM Prohibition Ordinance commits the acts specified in Article 7 of this Ordinance, and the administrative department for industry and commerce shall confiscate the illegal property and illegal income, and impose a fine of more than 500,000 yuan and less than 2 million yuan; If a crime is constituted, criminal responsibility shall be investigated according to law. Whoever commits the acts specified in Article 7 of these regulations, introduces, lures or coerces others to participate in pyramid schemes, shall be ordered by the administrative department for industry and commerce to stop the illegal acts, confiscate the illegal property and illegal income, and impose a fine of more than 654.38 million yuan and less than 500,000 yuan; If a crime is constituted, criminal responsibility shall be investigated according to law.