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You are correct, there are no dividends but this part of the definition applies.

"The scheme leads victims to believe that profits are coming from legitimate business activity, and they remain unaware that other investors are the source of funds"

I believe this holds as I don't think most of the investors understand crypto. It is a magic black box so they don't know where the value comes from.

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It's a currency. There is no underlying business activity, only transactions.

Bitcoin failed as a general currency but apparently banks are using it to settle accounts amongst themselves. Sometimes things develop in the most unintuitive ways.

> I believe this holds as I don't think most of the investors understand crypto. It is a magic black box so they don't know where the value comes from.

I don't think this is evidence of any scheme. It's just irrational market behavior.

Which banks are using bitcoin to settle anything?

I don't remember. I read that on some news site a while ago. Can't seem to find the source anymore unfortunately.

GP is probably referring to Ripple, which is not Bitcoin, but rather another crypto currency targeting interbank settlements.

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