What is HYIP About – The Ugly Truth

Let’s talk about what is a high-yield investment program. What is HYIP about exactly? HYIP is a type of Ponzi scheme, an investment scam that promises unsustainable high returns of investment, claiming to invest the members money on stock, mostly Forex, markets, but in fact pays the members with the money invested by the others.

What is a High Yield Investment Plan or Program?

What separates the HYIP from other kind of investment plans is it’s relatively short turn over period with exceptionally high yield for your money. The plans can be divided into two categories:

  • Short Term
  • Long Term

Short term promises you a 10-35% return every few weeks and supposedly pays out the whole amount after few weeks or months.

A Long Term plan promises a certain return, such as 2% daily for instance the next 2 years. Some even offer to pay you forever or at least as long as their scam gets exposed and taken down.

An average lifetime for a HYIP is 6-12 month, although the are some exceptions out there, most notably Forex Paradise which has maned to stay online for 2.5 years, setting a new record. The lifespan of any HYIP website depends on their ability to fool their affiliates and get them to bring in more people.

Where Are the HYIPs Located?


Most people are expecting the scams to be registered in off shores, such as Panama, Gibraltar or Macau. But in fact the top 3 countries these investment plans are lately popping up from are:

  • Russia
  • Hong Kong
  • UK

I guess everyone was expecting Russia, but I bet the last 2 came as a surprise for you. In fact it is very easy to start a company in Hong Kong without ever even visiting there. Although they are officially not an offshore, they are in fact a haven for financial frauders as they have very liberal financial laws and corporation laws, together with very low taxation. There are numerous companies who will offer you a package to set it all up. They will even run a virtual office for you for a very low fee, leaving you free to deal with the financial side of things.

Once you got a company registered in Hong Kong, you can easily open a branch in United Kingdom, hence opening up the European market. This is due to the fact that Hong Kong used to belong to UK. Most people are actually not aware of this loophole and often don’t suspect a company registered in one of these location. I am hoping that if the Brexit will ever actually happen, this will make it more difficult for the HYIP companies to pretend to be European based.

An average lifetime for a HYIP is 6-12 month, although the are some exceptions out there, most notably Forex Paradise which has maned to stay online for 2.5 years, setting a new record. The lifespan of any HYIP website depends on their ability to fool their affiliates and get them to bring in more people.

What Type of People Are Attracted to HYIP?

  • Normal people looking for online investment opportunities for their savings
  • HYIP pros

Many people are struggling with their finances in today materialistic world. It’s easy to end up in a situation where you can no longer pay off your bills or credit card debts. These people are desperate to make a change in their lives. Some, such as professional gamblers, are even looking for ways to cover up their financial mistakes before the partner figures out what’s going on. They are scanning the Internet for any way to make money and believe the glowing reviews and testimonials.

There are many HYIP pros, or sharks as I like to call them, out there, seeking out new HYIP plans every day. They like to get on to  new one as soon as spot it and start massive recruitment campaigns. They are keeping their investments small and spreading their money across multiple plans. These people know exactly what they are doing. They only invest what they can loose and once one plan stops paying, they move into the next one without skipping a beat. There are countless websites and communities which advice you how to best make money with HYIP.

Can I Actually Make Money With HYIP?


By Investing? Yes you can with a little bit of luck, at least at first. The reason why most people loose their money with HYIPs is the fact that they make a little Proof of Concept by investing 10-20USD and once this investment pays itself off, they immediately invest a larger amount, not realizing that 200USD or 2000USD is entirely a different thing.

However if you get into one of these plans early enough, while it’s still growing and invest only small amounts, let us say upto 100USD at the time, you can indeed make a little bit one money.

By Recruiting? Absolutely! This is what the HYIP scams are counting on, you recommending the scheme to others and sharing your testimony on the Internet. Besides for offering high yields for your investments, they also pay for your participation in fooling the others. You will get a certain fee per person you recruit or a percentage of their investment. This way it’s easy to make a lot of money at the cost of the others. These people are considered the lowest of the low among all the network marketers and are often banned from groups and communities for sharing their links.

By Reviewing? Best way to get rich! Many of these plans pay for both video and written reviews, especially in the beginning when they don’t have so many customers. I consider the HYIP monitor admins breed of their own. According to a recent review, approximately 95% of them get paid via the HYIP they are supposedly monitoring, either by receiving a higher percentage of their downline or simply getting paid to keep the status Legit and Paying long after the HYIP scam has been exposed.

How Do They Get Away With It?

It’s really easy to get started with a scam nowadays. All you need is domain, a website with some sort of e-commerce system which allows you to accept payments. You can find so many tools out there that allow you to set this all up in a less than a day and you can be on your way to scam people out of their hard earned money.

Next thing you need to do is the spread the message across. Several easy ways to get the message across:

  • HYIP monitors
  • Investment Bloggers
  • Members
  • Paid Adds

Contacting HYIP monitors is a good start as most HYIP sharks are checking these out every day. You can use SEO keywords to ensure that your website ranks well in the various search engines and even pay Google to advertise your services, as Xena accidentally discovered yesterday.

There are also plenty of fake investment bloggers out there, who are pretending to write an honest positive review about a certain plan, of course at the same time sharing their join link, hence recruiting new members.


You also need to get some proof of payments and reviews, since these are very important for any beginning HYIP scheme. There are two ways to go about it:

  • Paid Reviews
  • Member Reviews

Several freelancer websites are advertising professionals, who are willing to either a write or record a Youtube video review about your plan. If you pay close attention, you find out the same people are reviewing up to hundreds of different scams.

Since people are starting to slowly recognize the individuals and the buzz lines they are using, most program are encouraging, often even rewarding, the members to upload their own testimonials and proofs of payments. Members are complying as they realize this is the easiest way to convince the others of the profitability of the HYIP.

Once the ball is rolling, all the effort goes into keeping it moving as long as possible, the constant flow of new investments being the key. It’s therefore important to do plenty of advertising, releasing new even more attractive plans and incentives. Many websites advertise things such as investment guarantees, conferences and exotic holidays to appeal for even broader audiences.

Should You Get Involved?


Definitely no! These schemes are highly illegal and so is participating in them. This is the reason why people who invest in these schemes like to stay anonymous and prefer digital payouts and currencies, such as Bitcoin. It is not easy to explain to your bookkeeper or even your wife how you made 500% return on your investment in few months, so better keep the money hidden.

While the likely hood that you get caught and facing criminal charges is not very high, you will at least end up on the spam list of every Online Marketing Company out there as these HYIP schemes earn a lot of money by selling your contact details to the others. Furthermore if you have supplied them with valid address details and or scans of any bills and identity documents, you might be facing online identity theft.

Besides you should also consider the fact that even if you know what you are doing, someone you recruit on the Internet might not. They might very well be investing their life saving into one of these schemes and loose it all once the plan goes bye-bye. Do you really want this on your conscience?

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Cryptocurrency – Future Money Trends Are Here To Stay

Cryptocurrency has become a media sensation and has been called one of the greatest technological breakthroughs since the Internet. Although it was widely discussed, many people are still confused what cryptocurrencies actually are. The goal of this article is to provide a strong foundation for those who are new to the cryptocurrency market but also a reminder for those more familiar with it.

What are Future Money Trends Exactly?

btcA cryptocurrency is a virtual medium of exchange that uses cryptography based on various algorithms to secure its transactions and to control the creation of new units. The cryptocurrencies are decentralized as oppose to the centralized banking and other economic systems which are controlling the regular monetary units, known also as the fiat currencies. That means corporate boards, governments or other institutions cannot control the supply of cryptocurrency for instance by printing additional money or making changes or additions to digital banking ledgers.

Cryptocurrencies make transferring funds between two parties or merchant and buyer much easier. These transfers are facilitated through the use of public and private keys for security purposes. The fund transfers are done with minimal processing fees, which are mostly donated to the people who are mining the digital currency to help to cover the operating costs of the needed infrastructure and electicity. This allows users to avoid the high fees charged by most banks and financial institutions for wire transfers or checking. The first system upon which all the later cryptocurrencies are based, was created by the group or individual known as Satoshi Nakamoto in 2008.

The Evolution of Cryptocurrencies

litecoinThe first cryptocurrency that really caught the public’s eye was Bitcoin or BTC as it’s often shortened. Original BTC was created in 2008 and but launched officially only in 2009. This ground braking cryptocurrency was the new mean of completely digital payment method. As the first decentralized peer-to-peer network, it was powered mostly by its early users and adaptors. At the end of August 2013, the value of all the Bitcoins in circulation exceeded 1.5 billion dollars. Today millions of dollars’ worth Bitcoins are exchanged daily.

Bitcoin’s great success encouraged others to create their own cryptocurrencies. There is an extensive cryptocurrency list but the most popular of these bitcoin alternatives are Litecoin, Namecoin and Dogecoin. Litecoin was released in October 2011 and became the first successful cryptocurrency using scrypt as its hash.

Scrypt was a key, which gave the general public possibility cryptocurrency mining for Litecoins, without the purchase of highly specialized hardware such as the ASIC machines, which are used to mine Bitcoins. Litecoin began receiving media attention in late 2013 when it reached a market cap of $1 billion.

Ripplecoin, created in 2011, was built on the same protocol as Bitcoin, but it is unique  in a sense that its services are based on a payment system which supports any fiat and cryptocurrency.

The last 3 years several Network Marketing companies started their own cryptocurrencies, ImperialCoin was the first. It was launched in December 2013 and quickly followed by others such as Global Coin Reserve and Latium.

Most of the attempts  of creating a popular cryptocurrency with network marketing have failed, them either been destroyed by the speculators or the creators have turned them into profitable ponzi scemes. The problem for  the alternative cryptocurrencies, which might very well be technically superior to Bitcoin, remains the rule of supply and demand.

Why would anyone invest in a currency is it cannot be used anywhere? Still new ones keep on popping up on weekly basis and today the ones with largest networks are Onecoin and Swisscoin, together they have more than 1 million members.

There have been several attempts to regulate network marketing companies creating and selling cryptocurrencies under their affiliate programs and it is now considered illegal to combine cryptocurrency with Network Marketing both in US and Europe since May 2016. Based on this several of the cryptocurrencies based on network marketing strategies have been abandoned as the companies have been closed down or dissolved.

Where To Purchase Bitcoins and Other Cryptocurrencies?

bitcointugPrimary way of acquiring cryptocurrencies is to use one of the many crypto currency exchange services that besides displaying the current bitcoin price, buy and sell bitcoin and other cryptocurrencies for local currency, mostly USD. This is the easiest way to get started and get cryptocurrencies.

The other way is to sell goods and services through cryptocurrency marketplace, such as the popular Coindesk service. There are also some online buy-and-sell websites that accept or ask for cryptocurrency for transactions. This method is similar to the regular online shopping and transferring money via bank account.

Bitcoin ATMs are  getting more common and can be found at several large shopping centers, airports and other prime shopping locations. These ATMs allow you to either exchange Bitcoins into local currency or purchase Bitcoins with local currency.

You can of course mine for cryptocurrencies. What you need, in most cases, is a specialized hardware. Mining is the process of verifying the transactions and adding them to the public ledger, blockchain. In addition, it’s the only way to introduce new coins into the circulation, as miners are rewarded for every block of transactions they process as the first. Mining has become such a lucrative business that companies have designed chips solely for running the cryptographic algorithms cryptocurrencies like Bitcoin use for mining.

Finally you can create your own crypto currency, most of the code is publicly available and can be easily modified if you have the right programming skills and knowledge.

People who mine for any of the cryptocurrencies often organize in groups or clubs to get cryptocurrencies more quickly and easier. The method is called pool mining. Miners who share their processing power over a network, pool their resources together and split the reward equally, according to the amount of work they contributed to solving a block.

Where to Store Cryptocurrency?

bitcoin-wallet-purseVirtual money, just like the regular one, is kept in a so called digital wallet. Inside the wallet, you’ll find secret codes that are required to spend your coins, as well as an address which is similar to a PayPal e-mail that you need to give people sending you money. Some wallets generate additional addresses to increase security. This way you can give a unique address to each person only for the duration of the transaction.

There are many types of wallets, including online, desktop program for Windows, Linux and Mac, mobile apps for Androids and iOS to mention some of the most common. The smart phone apps are the most popular type as they are practical if you want to use Bitcoins for purchases in regular shops.

Cryptocurrency credit cards are also rising their heads and several companies offer either VISA or Mastercards, on which you can deposit your Bitcoins and then use for purchases online and offline or withdraw money from a regular ATM.

Advantages of The Cryptocurrencies

anonymousCryptocurrencies have numerous advantages which can make them more desirable to use under certain situations. One of them is complete anonymity. The transactions made with cryptocurrencies can be made completely anonymously. You don’t need a bank account, credit card or personal information to purchase products or services. It basically works like a cash transactions.

You also have the complete control over the transactions you make. This means that no company can charge you with additional fees or other hidden costs. There is no way to automatically withdraw additional funds from your cryptocurrency wallet.

Another advantage of cryptocurrencies is that you can quickly and easily send cryptocurrencies around the world without the need of waiting or paying the processing fees.

Cryptocurrencies are also safe for vendors. Transactions made through cryptocurrencies are secure and irreversible. Transactions also do not contain the customers’ personal information, meaning the customers information is safe.

Cryptocurrencies payments are easier to make than debit or credit card purchases, and can be received by companies without a merchant account. Payments are made from a wallet application that is installed on a computer or smartphone by entering the recipient’s address, the payment amount, and pressing send.

Where to Use Cryptocurrency?

gocoin1The value of cryptocurrency as an alternative method of payment has been accepted by the investors, technologists, merchants, entrepreneurs, and consumers. Recent events show that cryptocurrency is more than a passing phenomenon. Although many people still don’t understand how cryptocurrencies work and the differences between them and services like Visa or Paypal. new ones are born every day and their usages is getting more and more widespread.

Several large airlines, travel agencies, online merchants, online payment processors, trading companies and utilities companies start accepting most commonly used cryptocurrencies the same way they use other more traditional means of payment. In several countries where the local currency is under heavy devaluation, people request to get paid with Bitcoin. It is only a matter of time until we will start taking cryptocurrencies for granted and use them on a daily basis.

In fact, it represents the beginning of a new phase of digital markets that have the potential to disrupt conventional market strategies and longstanding business practices. The development of cryptocurrencies should benefit the consumers and in the long run – macroeconomic efficiency!

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Getting close and personal with Xena – Interview with Crypto Queen

Zeus: Hello Admin! Nice of you to join me for a chat. What can I call you, surely Admin is bit too impersonal?

Admin: Hi Zeus 🙂 I go by many names, but you can call me Xena.

Zeus: Xena as in Warrior Princess Xena??? 😀

Xena: Indeed. I identify with her. She fights for the injustice and defends the weak. This blog is called Crypto Queen and people ask my why did I not choose some queen as my avatar instead. The truth is I have been writing as Xena for long time and simply didn’t want to chance. So yeah, Xena graduated into a queen and learned about cryptocurrencies 😉


Zeus: Heh, she is also sexy and fearless warrior. Sounds like you indeed. BTW just to make things clear to the audience, Xena and me, Zeus, know each other in real life. In fact we work together and also hosted various websites together for quite some time.

Xena: Yes indeed. Good old times 🙂 I mean you carry a pretty bold pseudonym yourself 😉


Zeus: It never hurts to have confidence, right? *laughter* So Xena, tell the readers little bit about yourself. What do you do for living? Where do you live? Where are you from?

Xena: *mumbles* Same old, same old *sighs* Well, I have Master is Mathematics and Computer Science. I run my own IT based consultancy company with around 50 employees. We specialize in security and problem analyzing. I also work as a consulting expert for a crypto currency company and 3D printing startup.

Besides that I also trade both bitcoin and alt currencies, give crypto talks and write books about trading and crypto currencies.

Zeus: Where do you live? Where are you from?

I’m a nomad with no real place I call home. Currently I am constantly on the move between the largest European cities. I am a mixed nationalities word citizen, who has lived and worked in 12 different countries.

Zeus: Sounds like the Xena I know and admire. 🙂 Always on the move looking for new challenges. You used to run a very successful blog, which name I have agreed not to mention here, with a large following about scams on the Internet and then you suddenly deleted the blog and disappeared. Can you tell me something about your reasons behind this and now starting out with a brand new blog about crypto currencies?

Xena: Running a successful blog is hard work as you know as well. Running a blog about online scams is even harder as besides the investigations, which take their own time, there is also the creative writing itself.

You also get constantly bombarded with trolling, questions, request for making a review of a certain program and requests for helping people to get a refund. You get constantly contacted by admins running scam sites and wanting to pay for a glowing review or marking them as paying and legit. Your server is a constant hacking and DDOS target and you must endure all sorts of threats.

Things kinda got out of hand, I got exhausted and needed a break. I used my energy elsewhere and got my life back in balance.

Zeus: So why did you chose a written blog? Most people are doing video blogs nowadays 😉

What comes to me choosing written format, I simply prefer this medium for tree reasons. Firstly I hate video blogs myself, it takes so long time to get to the point. I find skipping back and forward in a video to find the bits your are interested in very frustrating! Secondly I believe there is still place on the Internet for written content, not everyone has high speed access which watching the HD videos that Youtube is full of today requires.

Last of my reasons is the fact that it’s easier to stay somewhat anonymous with a written blog, which is rather important for a blog like this one, as opposite to a video blog that exposes you completely.

Zeus: Yeah, I know it can be tough and by the sounds of it you really got more than your share. What made you decide to get started again with a fresh blog? Surely things are not going to be that rosy either this time around?

Xena: True, but my life is on a different track right now. I sleep very little and spend most of my time browsing around on the Internet anyway, I might just as well use my time for something useful. This time around I am also going to make my own website, so I will not be dependent on any other rules than my own 😉

Besides many of my real life friends want to get involved in trading with crypto currencies and are looking for related information. I want them to have access to reliable information and avoid all the scams out there.

I simply want to help people to invest in cryptocurrencies wisely and I realized that there is actually very little neutral information about cryptocurrencies, especially when it comes to alt currencies and various bitcoin based programs. Most people don’t have the skills to investigate things properly.

Zeus: Your blog has really take off indeed. Why do you think nobody else tried the same?

Xena: Too much work is my guess. My investigations of various programs and services are very thorough, lasting sometimes several weeks or in rare cases even months.

Zeus: You indeed make very little on your website compared to your other adventures. Why do you think it’s important to keep going?

Xena: Honestly because I really hate greedy banks and believe in the opportunities the cryptocurrencies offer. I genuinly want to teach people to use it properly and safely.

Zeus: You have managed to shut down bitcoin scam sites based on your investigations? How exactly did you do this?

Xena: Several hundreds in fact! There are tree ways to accomplish this. One is to starve these websites for new members. Once the new paying members stop joining, the revenue dies, the scam site is unable to make any payments and finally shuts down.

Second, much faster method is contacting the authorities in the country the company is registered in. Most countries have defrauding units and are very interested in throughout investigation. Many of the scam sites have no real company behind them, so using this method is not always possible.

Third and my absolute favorite method is to directly contact the site owner or admin, or sometimes just answer if they contact you first. I engage into conversation and let them know who I am and that I’m on to them. Some get scared, others actually start feeling remorse.

Zeus: Well done! Tell me, do people recover their money once the site is shut down?

Xena: Unfortunately very rarely, although it happens sometimes! In most cases people loose all or most that they have invested in these sites. But at least it prevents others from loosing their savings! Therefore it is important to stop people from joining these sites int he first place..

Zeus: Why do you think people keep on investing in these bitcoin scam websites? They should know better for now.

Xena: Indeed. However easy money will always have it’s attraction. Make no mistake, some of the people who invest in these scam websites do get paid. They have to establish their reputation for payouts, so many of the initial people who invest small amounts will get paid with the high interest, at first.

Some people are aware of this and know exactly what they are doing. They gamble only the amounts of money they can loose and I couldn’t care less about them, each for their own. Others are not so fortunate and actually believe the glowing reviews and get blinded by the possibility of paying of their credit card debts, going for a luxurious holiday or putting some money aside. These are the people I want to protect. I want them to understand that there is no such thing as free money and only invest in real opportunities.

Zeus: What is your favourite affiliate program at the moment? Which investment would you recommend?

Xena: I like the to promote a crypto curency exchange site called Cryptopia and since I also love to gamble, I am part of few bitcoin casinos. You will see ads for all these in my blog. There are also couple of crypto currency programs that I am currently evaluating, but I am still undecided. Those articles are no doubt going to give me enemies *smirks*

Zeus: Thank you very much for your time Xena and for the fantastic Spanish red wine we shared during this interview. You have taken on quite a challenge starting all over again, but I have no doubt that you will make it! I will get the interview in written form by the end of the week.

Xena: You are very welcome. Hey! Who said I will pay for the wine and all the cheese you ate? You invited me out for this interview, remember? Anyway, I made you an author of CryptoQueen.net, so you are welcome to contribute at any time mate. For the purpose of this blog, all my posts are going to be made by Crypto Quueeen and I have dubbed you the the Crypto King 🙂

Zeus: Heh, thnx sheila, I won’t make you regret that, promise. I’ll pay as always, just because I’m a gentleman. I am sure by publishing this interview in my blog, I will make more than enough to cover all the wine we consumed tonight, your name still carries a punch. Please write me a guest blog sometime soon. I could use the extra traffic *grins*

Xena: *waves the waiter* Can we have some more Rioja please?