What is a High-Yield Investment Program (HYIP)?

By | 2018-05-09T15:26:01+00:00 July 25th, 2016|Categories: MLM Glossary, Multi-Level Marketing|

A high-yield investment program, or HYIP, is a type of investment scam or Ponzi scheme that promises unsustainable returns for investors by paying previous investors with funds garnered from new investors. While these types of programs can achieve incredible growth very quickly, they become a victim of their own success by eventually not being able to meet their outstanding liabilities.

High-yield investment programs are popular in the multi-level marketing industry because they are typically paired with an incentive to recruit new members as well.

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