The minority view of what a hyip is.

The minority view of what a hyip is.

The hyip market is a fairly large market. Some have estimated that the market may be as large as the worldwide market for Coca Cola. The last time I looked the market cap for Coke was about 127 billion. That is a big number and I find that number pretty hard to believe. Lets just say the market is substantial. The Hyip market is pretty much an underground market totally unregulated except for a system of forums and monitoring sites in several languages. Coming up with an estimate of the size of the market would be next to impossible. The truth is if the market were 127 billion dollars governments around the world would be working much harder to find a way to regulate the market and tax anyone involved.

The minority view is that the hyip market finances small Internet business start-ups. Because of the nature of the Internet a person with the correct knowledge can start a business with very little money. Valuing traffic to a site is not an exact science so banks and venture capitalists on Wall Street really don’t have a way of valuing a small virtual asset and collateralize a loan or value a security. Another factor that is prohibitive for businesses getting financing on the Internet is the life cycle of a product is very volatile and constantly evolving. The life span of an e-book could be a matter of days or weeks because competition can so easily move into most any market.

If a person with an Internet business needs capital to expand their business there is really only one source to get that money and that is through the hyip market. There are lots of people on the Internet willing to throw a few dollars at just about any program.

The amount of money needed to expand a small Internet business is really quite insignificant. Hyip investors ask for very little information in return for their investment so it completely amazes me that there is not more scam artists moving in for the easy score.

That being said many people have been burned in this market through poor investment strategies and diversification. Scam artists are everywhere in any industry including this one. Many handle their investments in this industry, as grandma does playing the slot machines at the casino. If you invest in anything in any market by playing hunches and listening to the hype you will lose. To be successful in this business as with any you must have a strategy by which you do your due-diligence or you will just be giving your money away as grandma does at the casino. Due diligence will be the subject of a later post.

The hyip market is unique in that it will pay large returns on a relatively small investment where in most investment markets the higher returns are directly correlated to the amount of investment. This leads to suspicion because we have been trained growing up if it sounds to good to be true it must be false. To good to be true does still apply to this market but 5% per day can be reached on the internet Maybe not through trading or arbitrage but it can be paid and sustained through internet businesses for a time.

Another characteristic of the hyip market that causes suspicion is the lack of transparency in the true business model. Because of the ease of entrance in any market on the Internet many times hyips can’t tell you what they do because of the legitimate fear that someone will copy what they do and put them out of business. Hyip administrator understand that most hyip investors probably don’t understand currency trading or sophisticated arbitrage so the investor won’t ask to many questions about what they are really doing with there money. You may think you are investing in Nano technology when the truth is you’re investing in an e-book explaining a home cure for the dreaded ingrown toenail. You may laugh but a well planned marketing campaign for a $27.95 ebook can and will return a 100% profit per day for years. The toenail ebook is a much tougher sell than Nano technology. The problem is if they told you they were selling an ebook on home remedies for an ingrown toenail you would just buy the ebook improve the ebook and go into competition with them. You can understand a home remedy for the ingrown toenail where you might not understand Nano technology.

The minority opinion is that the hyip market is full of honest small business people doing a relatively simple business that anyone can understand. Investing in hyips is as simple as the businesses itself. You just have to understand how. The how is true diversification and a sound due-diligence philosophy. Sounds like I just created two topics for a post didn’t I. It is time for me to go make some money so check back soon I will try to find time to give you the information you need.

Stump


Check out Stumps Monitoring pages to find great Ideas for your portfolio below

The Best Hyip -Programs that are over 300 days very likely they have a business Model

Top Hyip -Over 60 days with a great record

New Hyip- Have all the makings of a big winner

Money Hyip- Have your money back in less than 30 days