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If internet HYIPs (high yield investment programs) have become a curious topic to you within the last few months, you may be reading signs of caution on forums and blogs related to the Christmas season and wondering what all the “paranoia” is about.
I still remember the first time I was warned back in 2005: “Don’t even think of messing around with those HYIP scams during Christmas time. You might as well assume you are giving the ponzi scammer a Christmas gift, because your chances of seeing your investment back are close to nil!”
That warning might have been slightly exaggerated; however, there is an important pattern concerning HYIPs and Christmas that you should be aware of if you are not already. In fact, the truth is that you should be very careful what you invest in (or, in general, what you purchase) through the internet as soon you start hearing Christmas songs on popular radio stations.
This is because out of the entire year, December tends to be the month with the greatest number of scams falling apart. Consequently, the chain effect involves a lot of angry HYIP participants that are left several dollars poorer only days before the holiday season.
Why are HYIP scams and Christmas strongly correlated?
There are TWO main reasons:
#1. Many HYIP serial scammers start programs – sometimes several at one time – designed to quickly pull in as much cash as possible before the month of December ends. These administrators or operators start basic ponzi schemes in hopes of generating some quick cash for themselves right before the end of the holidays, and some of these fraudsters even manage to steal 5-figures worth of HYIP participants’ funds in a matter of days. Once Christmas is almost here – POOF! They disappear with all the money.
Keep in mind – this does not necessarily mean that these short-lived HYIP ponzi schemes are easy to immediately identify through absurd rates of return (such as 100% ROI in a couple days) or through poor website display. Many highly appealing HYIPs with a somewhat professional outlook have also been started by scammers in a hasty attempt to sucker in a few large investors and then run with the deposits.
#2. Most participants also initially join HYIP programs in hopes of making some fast, easy cash right before the holidays. Around Christmas time, many participants start withdrawing large amounts of “profits,” as opposed to letting their accounts continue to compound. As a result of heavy withdrawals, even the most sophisticated ponzi schemes begin to suffer a great amount of pressure. The basic “rob Peter to pay Paul” model within a ponzi scheme is very fragile; therefore, sudden waves of large withdrawals can quickly suck a large ponzi pool dry in matter of days.
Don’t be surprised to see discussion board topics related to “popular HYIPs” quickly turn into a bitter and/or depressed environment after Christmas, even if the HYIP participants have been posting “I got paid” or “I love this program” for months at a time previously. Even long-term ponzi schemes often have a difficult time surviving the holiday rush. Since ponzi schemes are nothing more than mathematical games that will produce far more winners than losers in the end, you are likely to encounter some horror stories before New Years.
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Just to be clear:
HYIP programs or “investments” are ALWAYS extremely risky, no matter what time of year the calendar currently shows. Also, remember that regardless of the length or outward appearance of the program, all HYIPs with ponzi scheme models can only afford to payout a few “lucky investors” by stealing it from the vast majority of previous participants. “Profits” are nothing more than gains through money laundering activities. Therefore, any participation in such programs is highly discouraged.
In fact, I advise you to apply very strict standards when conducting due diligence on an opportunity to “invest” in a company that solely operates through a website and accepts funds through payment processors. Here’s one golden rule to use: Avoid any company or “program” that is NOT willing to prove the legitimacy or sustainability of its investment model.
Happy Holidays, everyone…. Now keep them “happy” by using sound judgment and avoiding these Christmas scams. 
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- Mr. Ryz
