Saturday, July 28, 2012

Why do HYIPs Scam?

Observations has shown that the number of HYIPs scams is as high as the number of new HYIPs programs started daily. A conspiracy theorist point of view is that new HYIPs are created by the same administrators who have recently made away with investors money in a HYIP scam.

High Yield Investment Programs (HYIPs) therefore continues to be an euphemism for High Risk Investment Programs (HRIPs). The risk involved in HYIPs is so huge that very few ventures to invest in HYIPs. In some (if not most) cases, the HYIPs administrators set out deliberately to scam people by offering very mouth watering returns to attract substantial volume of deposits - huge and small. The intention being to accumulate, in very short time, enough funds from investors, and the bolt with it. The frequency and the increasingly shortening life span of most HYIPs is an indicator that they (administrators) are becoming more successful in their scams. It is hard these days to identify serious minded business inclined administrators, who will live up to the hype of their HYIP. It's gets harder by the day.


It is also important to note that some good HYIPs might develop technical or administrative challenges which might affect payments processing. Unfortunately, in a world (HYIP world) where delays are viewed with extreme suspicion, such delays are quickly taken as signs of trouble by anxious investors and monitors. The monitors react by downgrading the status of the HYIP, and this generally rings the death knell of the program. Administrators, of such problem program, especially those whose HYIP business is built on Ponzi system, are often quick to pull a plug on their program, taking with them whatever money investors have deposited at the material time. This is often the case when the problems have affected the volume and quality of new deposits they receive.

However, despite the frequency of rise and fall of HYIPs, JustBeenPaid, insist their program is sustainable, and have posed a million dollar challenge to whoever could find a mathematical flaw as to the unsustainability of their program. Can you?

While mathematicians and statisticians continue to worry their heads over this challenge, a few dollars invested in JustBeenPaid by me as part of this journey is apt. The search for the holy grail of HYIPs and other ways of making online money yet continues...

Related Topics:

High Interest HYIPs: Risks and Returns
HYIP Monitors Review?
Can you recover lost HYIP fund?
Can HYIP investment be insured?
Learn winning strategies of HYIP

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