This article contains basic information for understanding HYIPs and how to invest wisely using these controversial projects
The acronym HYIP (literally High Yield Investment Program) refers to investment programs that pay income to the investor at the expense of funds paid by new investors.
In other words, a HYIP is a “pyramid”, many people consider the HYIPs real frauds, however there are HYIP programs that can earn even 300% and more of the initial investment, and this, makes them attractive to a large of people.
Personally, I think that the HYIP are much closer to the world of Gambling than to that of traditional investments and I have fun from years with this kind of projects.
I talked about fun and not by chance: from my point of view the HYIPs are funny and, if I earn the profits obtained by subtracting the losses, I can say that in 3 years of activity on HYIP I have gained about 170% of what I invested. This does not mean that everyone can get this result, but, with a strategy and having a good experience behind, earning with HYIP is possible. Of course, accepting the risks and not forgetting the first golden rule: invest only what you can afford to lose.
In this article, I would like to share some tricks that will help you to earn on HYIP investments.
HYIP and its types
I have used various criteria for cataloging HYIP, the one that currently seems more convincing to me is the following:
Low-income Hyip: This category is the most “tenacious” and can exist for years. A low-income HYIP project offers its investors a small percentage of profitability – from 8% to 15% per month. He lives for a long time also because he knows how to show himself as a “real” investment project that, however, does not show any evidence of its real activity and in fact, on the various Internet and forum sites, it is possible to find mixed investment projects based on real assets and low-income Hyip. A sub-category of low-income HYIPs is that of variable-income projects. With the right advertising campaign and a group of experienced administrators, a low-income HYIP can live on average 2-3 years;
Medium and high yield HYIP: These 2 types of HYIP offer investors a profit of 16-60% per month. Their duration is significantly shorter than that of low-income ones. A medium income project can last several months while the duration for a high return is lower and rarely continues to pay after the first 1-2 cycles.
How are HYIP projects managed?
One or two people are enough to organize and manage a HYIP. It is easier than it looks! On the Internet there are many cheap HYIP scripts and with a professional appearance. These are HYIP ready, which must be only configured, transferred to a web server and connected to electronic payment systems.
There are many projects in the net, but if it is easy to build and launch an HYIP, attract investors and much more complicated. Not infrequently, inexperienced administrators are forced to close the projects after a few days, as they constitute losses for them. Only thanks to the practice of the HYIP galaxy and some acquired experience is it possible to understand which projects are able to offer possibilities of profit, which can only happen thanks to the constant introduction of new capital by new investors.
Based on all this, it is possible to build an exact scheme of the modalities of most of the HYIP projects:
- The creator (Administrator) starts the HYIP and the promotion on popular forums and blogs;
- If the project is well structured it is immediately tested by professional investors;
- After each deposit, the Administrator enters a certain percentage in his pocket, one part goes to the affiliate program and the rest “hangs” on the accounts of the investors, so that they can withdraw by testifying on monitors and blogs that the project is active and paying;
- At the end of the first 1-2 cycles, experienced investors withdraw funds and profits;
- When the inflow ceases to offset the outflow, the administrator will stop paying and take all the money for himself. This period is the phase of “scam” that precedes, in a few days, the total project disappearance from Internet.
TIPS AND TRICKS
That said, here are some tips and recommendations for investing in HYIPs. Attention, following these tips it is not sure that you will reach the gains, but the chances of success will increase.
- Evaluate the quality of the graphic design, the professionalism and completeness of the parts of the site, the advertising on specialized sites: the site interface must be intuitive, the design attractive, browse all pages and, if you find errors in the texts, refuses of other projects or inconsistencies leave alone, choose only professional projects. Indicators of professionalism are: multilingualism with translations made by native speakers, 100% original graphics, absence of excessively advantageous investment plans, RCBs of less than 6-7%, investments on sites and blogs to promote the project;
- Being among the first: once the professionalism of the project is assessed and its possibilities of closing the cycle that leads to profit being thrown away, every day more or less can mean the difference between gain or loss;
- Choose the most flexible “investment plan” by blocking the deposit of funds for the minimum term;
- Invest in a specific HYIP project only once, the goal is to break even quickly and then leave the ship;
- Take profits regularly, if the profit is accrued daily, withdraw it daily. If the profit pay once a month, withdraw it once a month;
Do not invest in HYIP funds, the loss of which will have a significant negative impact on your financial well-being. Invest only the available funds.
Another piece of advice that comes from my personal experience as an investor relates to seasonality: there are periods when the flow of withdrawals increases and the flow of investments decreases, which increases the likelihood of fraud. I advise you to withdraw funds before these periods: