Open HYIP Review – Huge Scam Or Legit System?

Open HYIP ReviewIf you’ve been paying attention lately, you’ll notice that Open HYIP has been getting a lot of hype.

Because it’s new, it’s getting a lot of buzz and if you’re in an online business, I am sure someone will push it on you at some point.

It’s especially popular on social media at the moment.

I do want to let you know that I am NOT affiliated with Open HYIP as a member or distributor.

My goal is to gather all the facts in one place for you so you can do your research – and it’s all here in my Open HYIP Review.

Is Open HYIP a legit business, or is it a complete scam?

Will I be able to build a business with it?

I tell you all about it in my Review of Open HYIP

Read below to find out more.

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What Is Open HYIP?

Open HYIP is an investment scheme that uses Bitcoin for payments. The company refers to itself as an ‘MLM Investment Club’. The website (openhyip.net) was first registered in September of 2016, but unfortunately the registration details have been set to private, and there is no information available on the website itself about who owns or runs the company.

With all opportunities like this, it is important that you do a great deal of background research before committing any investment. This includes research into the owners of the company so you can get a good idea of their history and success with previous companies. If these details are being kept secret, it can be an indicator that something is not right with the opportunity being presented.

Open HYIP Scam

What Products Are Being Sold?

Open HYIP offer no actual products for retail to customers. Instead, affiliates are able to recruit new members to become part of the scheme.

Info On The Open HYIP Comp Plan

The idea is that affiliates invest funds into the scheme with Bitcoin, and are promised a 100% return on their investment. Affiliates are also able to earn referral commissions, which entitles them to a percentage of funds that have been invested by members that they are responsible for recruiting.

The referral commission is calculated using a unilevel team structure, which is organized in the following way:

  • You, as a new affiliate, are placed in a position at the top of the structure
  • Every new affiliate that you recruit to the scheme is placed in a position directly beneath you. This is referred to as Level 1
  • Every new affiliate recruited by those on Level 1 will, in turn, be placed in a position beneath whoever recruited them, and this is referred to as Level 2.
  • Every new affiliate recruited by members of Level 2 will be placed in positions directly beneath them, forming Level 3.
  • This process continues in the same way. In theory it can keep going on for an infinite number of levels, although Open HYIP only offer commission payments for activities on the first 5 levels.
  • You will receive the following commission for those 5 levels:
  • 2.5% commission of all investment made by Level 1 members
  • 1% commission of all investment made by Level 2 members
  • 0.75% commission of all investment made by Level 3 members
  • 0.5% commission of all investment made by Level 4 members
  • 0.25% commission of all investment made by Level 5 members

What Will It Cost Me To Join Open HYIP?

There is no cost to become an affiliate member of Open HYIP. This will allow you to earn referral commissions in the way stated above. To take advantage of the 100% return on investment promise, you are required to make a Bitcoin investment into the company.

Any Truth To The Open HYIP Rumours?

Any time a new business opportunity launches, you will always hear rumours about them being scams – so is Open HYIP a scam?

From reading above, you might already be thinking Open HYIP is a scam.

So, is it?

Is there a Open HYIP scam, or is it legit?

To be honest, Open HYIP isn’t a complete scam.

However, there are some red flags to be worried about, which I discuss in the conclusion.

See my tips below for helping to make money.

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And Now, My Open HYIP Conclusion

The structure of Open HYIP is not sustainable at all. The only way the company is able to generate funds to pay out to existing affiliates is by getting investments from new affiliates. Without any product sales to retail customers to accompany this income, the plan falls firmly within the definition of a Pyramid scheme- something the company makes no attempt to cover up. They are, in fact, quite open about this. Their website says that:

“We are up front on how the program works: it is a MLM investment club. We aren’t going to lie about how we are forex or commodities traders, we aren’t going to put up a stock photo of a good looking guy and call him our CEO. We won’t steal your money and run away or claim we were ‘hacked”

For the record, people lose out with these types of schemes because they structures are inherently flawed and designed in a way that benefits the owners and initial members. The things they say on their website are just some of the ways MLM companies have behaved before once the schemes have collapsed for reasons that Open HYIP is fully susceptible to.

They go on to explain the way in which the funds are paid out:

“All funds invested minus fees are put into the payout pool, once an hour the payout pool is processed as follows:

  1. The oldest 10 immature payments are selected
  2. The amount in the payout pool is divided among them evenly up to a maximum of each investments maturity value
  3. If there are any funds left, repeat from step 1”

This means that the money you invest through bitcoin will be directly paid to the ten oldest investments within the scheme, which will more than likely be held by the owners of Open HYIP (as well a one or two of the earliest members). To make the promised return of 100% of your investment you will, therefore, need the company to be in operation for long enough that your investment makes it to the top 10. The chances of this are rather slim.

Open HYIP will fall foul of the same problem that all Ponzi schemes do. They can benefit those at the top (the owners and first members) but the funds will never be able to sustain payments to any further members. Soon, the recruitment of new members will slow down, current members will cease any further investments because of the lack of return, and the consequence of a massively reduced investment will cause the entire plan to collapse. At this point everyone who has not yet made a return on their investment will lose out, and the owners will have made a substantial sum (from holding the top positions, and charging admin fees on the payments). To make matters worse, with the payment being made through bitcoin and company owners remaining anonymous, it will be virtually impossible to track down anyone responsible for the scam, so you will have no course of action when it does all go wrong.

Open HYIP is on very shaky ground, even admitting themselves that they are offering an unsustainable plan. This company is destined to scam plenty of people out of their money, so don’t let yourself be one of them. There are plenty of other opportunities that are run in sustainable ways and are open and upfront about the owners and the way that funds are being generated. You will have a much better chance of success with one of these than by getting involved with Open HYIP.

I hope you have gained value from my Open HYIP Review.

I have put all the details you need to know here, because all other reviews of Open HYIP have been fairly limited with details.

If you do decide to proceed with Open HYIP or any business, you’ll find my free training helpful – I will show you how to make money online.

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