In the diagram below, the image on the left shows how a plug is normally connected to an outlet.
The image on the right shows how the socket is replaced by a new configuration. One of the holes on the original socket is used and connected to a transformer, while the other plug is connected to the ground to create a circuit. The rationale for this is: when I used a voltmeter to connect the socket to the ground, I was able to read 110V. Clearly, there is some voltage you can draw from just one hole of the socket.
The voltage is run through a step up transformer, creating 220V. This is used to create a new socket. One of the holes is connected to the ground, while the other one is live.
This entire setup clearly looks incorrect to me, but I don't know the specific reasons why. I created a setup that looks roughly like this (using a voltage regulator for the new socket, and using a long line to plug the wire in cemented ground far away from me) and it was able to charge a power bank, but it couldn't drive an electric fan forward -- the blades started spinning, but very very slowly. There were no fires or electric shocks experienced by anyone.
But, I don't understand why the setup worked in the first place. It seems to me like it shouldn't have worked at all.
My question is, What is wrong with this design, and why did it sort of work?