Thursday, March 4, 2010

How to make money from hyips?

HYIP means "High Yield Investment Program". The world of HYIP is crazy, if you Google it, you can get a list of HYIP program which will promise you some very attractive investment returning, such as 200% or 110% profit per day, 180% profit per 10 days. Is it true, or are your money put in safety?
The answer is hard to be given, but one thing should be remember is: No one can keep on providing so high profit to you except God. All HYIP program are short term, since they promise high profit, it's very hard for them to keep the program ongoing. They say they invest your money on some very profit project, but which project can give you 2% profit or more per day continuously. The most common scenario is that they use the money of late joiner to pay off the early joiner's profit, and invest on something "definitely"(who know what they use the money for investment or gambling). When the program is hard to move, they begin to stop paying. But the program is still open, the person who invest to the program at that time will get nothing back and the person who haven't earn all their principal back will lost some money.
But there are still some long-run program which can last 1-2 year, and its really seldom. Most of them provide very low profit so that it can last longer.
Most of the HYIP program will require you to deposit the money to e-gold. The reason e-gold is widely used in HYIP is that e-gold won't verify the truth of the account. So, when people want to scam your money, even you know their account, you still don't who they are, e-Gold company doesn't know either since the information in their database are incorrect at the same time. Funny thing, you might think right now, e-gold has become the best method for scamming online.

What is hyip

HYIP is short for "High Yield Investment Program". A high-yield investment program (HYIP) is a one type of Ponzi scheme, which is an investment scam that promises an unsustainably high return on investment by paying previous investors with the money invested by newcomers.
But that doesn't necessarily mean that it's a safe and solid investment. Look to HYIPs as more like gambling than an investment, and only use money that you can afford to lose. HYIPs basically take the investments of their members and invest them as a whole into more standard investments, including stocks, high yield bonds, foreign exchange trading (FOREX), or other programs. It works almost like a loan to the creator of the HYIP in which they pay you back with the profits that they gain on your money, kind of like interest on your principle.
Those HYIPs that are not ponzi schemes are frequently outright scams. Investors not only are never paid any interest yield, they also never see their original investment in the HYIP again either. If the returns sound too good to be true, the HYIP is likely too good to be true. Claims of secret banking systems and alternative financial networks are simply false. In fact, the problem became common enough to cause the Federal Bureau of Investigation (FBI) to issue warnings about being taken in by the claims made in these fraudulent programs. You are probably best off if you heed their warnings.
For Example, Some website may offer you 30% Daily 4 Days. If you invest 10$, you will receive 3$ Daily for 4 Days. Overall you will get 12$. The profit is 12$-10$ = 2$