Are HYIPs worth investing?
HYIPs as a way of investment and earnings causes more ironic than a serious reaction of many "mature" investors and ordinary depositors; it was too many problems caused by various scams, and even the very essence of such projects is still very risky. So, is it worth it and will we ever see the death of HYIPs?
To answer this question, let’s get inspired with a bit of history, in particular - the era of HYIP creation. When viewed as a whole, HYIP - this is a simple pyramid, which is disguised as a real activity. Earlier, the creators of these projects somehow trying to pass their work as real, but with the Internet with virtually complete concealment of the individual developer, the need for this action was missing. Now this type of projects “shout from the housetops” that there is no real activity, all the money goes exclusively from payments of newcomers and that closing of HYIP in the future is inevitable.
But what does pull people in such seemingly hopeless projects? If you look at the core of the matter, the HYIP itself appeals to the possibility of quickly and, most importantly, high-scale earnings. Since in HYIPs you don’t need to make a routine work, but instead you will get fabulous interest rates, thus many people see this as an opportunity for their own financial lift. And the more a project and its progress seem serious at first glance, the more people are interested in it, making this project more valuable and profitable.
We can draw an analogy with the well-known MMM pyramid scheme, in particular, its version of 2011. As the most common pyramid, which does not even try to pass themselves off as something real, the project has managed to survive for quite a long time, to gather a few hundreds of thousands of customers and to pay a lot of money. All this became possible thanks to the fact that people sensed benefit and believed (not without the personality of Mavrodi, who was very popular even a few years later), that their contributions and the whole income will be assessed before the crash of this pyramid.
The second criterion, which is accessed by HYIP is a sense of excitement and expectation of winning the big jackpot. As analogy we can take a variety of places, such as a casino or other gambling machines. The whole process and the opportunity to break the bank and just walk away with the big win make people to participate (often unconsciously) in the game and even more - to get into debt and to shift almost all their savings. It is rather a psychological trick, but it also works brilliantly with HYIP, which also managed to organize the "process" of getting money. Many of you probably know the options such as fast-projects that offer their clients almost momentary profit within a day or even a few hours. Such a close target, coupled with other "game" create a feeling that here and now is the perfect place to raise your initial deposit. Of course, for many people such attempts end deplorably, but many of those who contributed to the project, ultimately, came away with a profit.
Summing up, we can confidently say that, the gaming industry, which refers to the feeling of excitement, process and instant profits, and other systems that incite man through greed and easy money and HYIPs, which over the past few years learn to use all these concepts, will unlikely go into oblivion.
But the most important thing that keeps the whole industry working (though small, but still the industry) is people, who invest and earn money. As in other high-risk systems, there are a large number of those who lost in HYIPs, but the fact of existence of these projects in such amounts shows that there are plenty of those who are able to make very good money in HIYPs.