High Yield Investment Programs - Chance Or Scam?

High Yield Investment Programs or HYIP's are systems where a person (the would-be investor) makes what is known as a "spend" (payment) of cash in amounts including less than $1 to $1000's in desires of getting back a higher come back after a certain time period. Most HYIP's that I have seen use the precious metal digital currency trading business e-Gold as their transaction brand of choice. The rate of come back provided ranges with regards to the particular HYIP (I have seen websites providing rates as extremely higher as 3000%) and when an e-Gold spend is created it cannot be changed. This is according to e-Gold's plan and slogan which succinctly states: "Get paid, stay paid."

The following general declaration can be seen on the home webpages of many HYIP's in referrals to their program: "Our program is suitable for individuals willing to obtain their financial independence but incapable to do so because they are not specialists. xxxxx is a lengthy lasting higher yield private loan program supported up by Foreign exchange market trading and committing in various resources and actions. Income from these assets are used to boost our program and increase its balance for the future."

In reality however, the Great Generate Economical commitment Applications are Ponzi systems. Wikipedia, the free encyclopedia says: "A Ponzi structure (named after Charles Ponzi who became infamous after using the system) usually offers extraordinarily higher short-term comes back to be able to entice new traders. The preferred tax treatment that a Ponzi structure promotes (and pays) require an ever-increasing circulation of cash from traders to be able to keep the structure going. The program is ruined to failure because there are little or no actual income from the cash obtained by the advocate."

It follows that HYIP's are usually short-lived relationships where the so-called buyer is often conned out of his/her cash. I myself created a complete of 15 small stays in 15 different HYIP's lately just to see and I can review that I got paid by none. Nothing. Zero.

So why do these websites continue taking up all over the Internet and gaining "investors" when most individuals know most of them are scams? Well, there's always the highly effective entice of the opportunity of earning cash without raising a little kids finger. That will always entice individuals. Always.

But in reality that if you have some e-Gold currency trading resting around that you don't need, you can get Great Generate Economical commitment Applications and make some fraud performers always on the hunt for fool cash (like mine) feel very fulfilled. Very satisfied. For the future.