Are There Legitimate HYIPs?
Are you familiar with HIYP’s or otherwise known as High Yield Investment Programs? Have you ever wondered how it makes money? Most of these companies seem to promise on the surface, but after a while, they end up stealing your money and then disappear after six months to almost a year. It makes you wonder if there are any out there that promise to make your money grow and help you earn legitimate money without worrying about losing it.
In case you didn’t know, these HIYP’s are operated based on a Ponzi scheme, which is a pretty dangerous business. These Ponzi schemes are investment scams that only deliver empty promises like unusually high investment returns.
This is often the reason why people seem to be skeptical about companies that operate a business this way, which is why it makes us wonder if there are HIYP’s that operate legitimately.
If you are wondering as well, you do not need to worry because in this article we will be discussing HIYP’s and how they end up making money regardless if they are legitimate or not.
How do HYIP’s make money?
As mentioned, most of these companies are not real, and because these enterprises do not deliver most of the time, a lot of people get scammed and sometimes hunted down because they also get other people to join them and invest the same amount of money to participate.
The way these companies operate is, they will ask you to spend a certain sum of money with their business, and sometimes it can range from a small amount to a significant number. The larger the amount you invest, the bigger the return you get and in record time. This translates into a yearly-uncompounded return figure, which is highly unlikely to be possible by legitimate investment business.
The only way that you can make money out of these companies is by asking another person to join you, and in return invest the same amount as all the other people. It is like an illegitimate form of network marketing, but these businesses rarely deliver on their return of investment. In short, these are referral programs, which require you to invite people to invest in the same business.
Are there real HIYP Programs?
Unfortunately, we all want to believe that there are companies out there that operate legitimately but sadly, there aren’t many. However, if you would like to do your research, there are ways that you can find out if these sites you want to join are real or fake, e.g. by using hyip monitor. And here are some additions signs and tips that you should look out for:
Company address certificate
- Company address – for sure, most HIYP companies will have their business address listed on their websites, just like anyone else, we will naturally feel safer to invest with a company that has the above information present. But you should also know that there are some enterprises that use fake addresses. To ensure your safety, do not treat any address listed on an HIYP site as a sure sign that the company is legitimate. Be sure to check it out on Google maps first and do your research to ensure that the business is real.
- Certificate – almost all HIYPs show a certificate on their website that may seem legitimate, but it can be pretty obvious if the certificate has only been bought somewhere. If you want to be sure that they are real, you can search for the company’s registration number. Take note, that anyone on the Internet can come up with their company that is based on any business using a fake certificate, so always ensure to do your research.