In recent years we have been witnessing a proliferation of new online trading platforms such as Hyperfund that promise huge and fast returns.
But is Hyperfund a scam? Is Hyperfund a pyramid system or a Ponzi scheme?
Yes Hyperfund is a scam, it is the usual Ponzi scheme, and like all systems that promise easy earnings ( Mirror Traiding Interantional, Arbistar 2.0 ) it is destined to disappear.
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Let’s start by telling you that certainly, in this way, they capture the interest of numerous users but, unfortunately, not always, these platforms move through a legalized system.
In fact, many of these, acting almost as if it were customary, disappear into thin air, taking with them the money entrusted to them by the users who used them.
A new platform providing blockchain technology services has fallen into the eye of the storm.
What platform are we talking about?
The protagonist of this study is Hyperfund , whose position is not yet completely clear because despite the different opinions on the web, which evaluate the company very positively, there are other strongly negative ones where there is talk of a real scam.
Our article aims to provide clarity on Hyperfund in order to elucidate users in case they are faced with this new platform.
1 Hyperfund, What is it?
2 Decentralized Finance (DeFi), What are we talking about?
3 The dark sides of Hyperfund
4 Hyperfund, are we facing a scam?
5 Rayan Xu, Who is it?
6 Conclusions on Hyperfund
7 FAQ Frequently Asked Questions
Hyperfund, What is it?
According to the website https://thehyperfund.com/ . Hyperfund is a new platform from Hypertech Group Founder that introduces herself to users as the one who “built a DeFi ecosystem that will provide a fully decentralized financial infrastructure for all digital currency users. HyperFund will focus on developing quality blockchain projects, lead the strategic direction of Fintech and aim to make greater contributions to the blockchain industry ”.
But let’s try to understand better.
Hyperfund therefore allows you to invest cryptocurrencies and use them on a daily basis through an open source technology.
What attracts users to your network is the possibility of obtaining numerous earnings; this concept is spread through an important marketing strategy presented by the platform itself.
But let’s go step by step, first of all it is good to know the vocabulary used by Hyperfund which, as we have seen on the homepage of the site, is defined as a DeFi.
Decentralized Finance (DeFi), What are we talking about?
The concept of Decentralized Finance (DeFi) has grown in popularity over the years.
A DeFi is the set of all financial instruments that are based on decentralized networks, or, in other words, we are talking about a new technology that allows investors to operate independently, eliminating intermediaries, in order to guarantee open and free finance. of censorship and better access to financial services.
Decentralized Finance guarantees the digital sending of money anywhere in the world and at any time, without the need for an intermediary.
On the surface it all seems very tempting, high earnings, free and fast management of our money, but what lies behind Hyperfund, and why is it often established by users who consider it a scam platform?
The dark sides of Hyperfund
Before judging Hyperfund, it is necessary to understand the usage.
After registering, the investor deposits a sum of money on the platform, of which only a part is invested after months.
Only after reaching a certain return, the investor gets the profits he was entitled to, not in real money but in HyperCash, the corporate cryptocurrency.
This cryptocurrency is only usable within the platform as it is not valid anywhere else.
The profits received from the use of the platforms are converted and transformed into this corporate cryptocurrency, HyperCash, which however is unusable outside the broker in question.
Hyperfund works following a pyramid scheme, that is, there is the concept according to which it is possible to earn only when you are recruited by other customers and so on; we can define everything as a continuous word of mouth that travels towards the top of the pyramid.
It is precisely this scheme that has led the platform to be investigated and accused.
Hyperfund, are we faced with a scam?
The platform and its operation clearly do not offer services for the benefit of the customer but what’s more, several reviews describe Hyperfund with words such as “scam” and “illegal”, why?
As stated by Striscia la Notizia on 18 October 2021, Hyperfund is classified as a platform that follows the Ponzi scheme, which is illegal in Italy.
This mechanism consists of:
Promise high earnings and daily rewards in order to attract the attention of as many users as possible;
Encourage the potential customer to make a large investment by promising that it will be very profitable;
Initially increase the investor’s turnover to make him have more and more trust in the platform in order to obtain ever greater investments;
Get more and more customers through word of mouth.
It should be added that the web platform is exclusively in Chinese or English therefore, sometimes, especially those who do not know the aforementioned languages well, risk having problems in understanding the procedures on the homepage, as there is a risk to accept the illegal procedures that are proposed.
Hyperfund has no license to operate in Italy, as well as in the rest of Europe and other parts of the world where it has been declared illegal.
In fact, the platform is under financial investigation in the following countries: United Kingdom, Germany, India, New Zealand, Nepal, Bermuda, Bailiwick of Guernsey.
In the aforementioned countries, Hyperfund has been outlawed as it does not possess the necessary licenses.
While in Australia, the Supreme Court ruled that the company itself was declared bankrupt.
But since the platform is illegal, if we are faced with a scam, why is it possible to find positive reviews on the net?
It is very likely that we are faced with untrue, bogus reviews created and paid for by the same company in order to gain customers.
In this regard, one of the most suspicious signs is that Hyperfound does not provide any information about its company, except the name on the homepage of Rayan Xu , a famous Chinese scammer.
Rayan Xu, Who is it?
Rayan Xu , also known as Zijung Xu , holds a BA in Electrical Engineering and Electronic Information from Shanghai Jiao Tong University , China.
This character is not known for his computer and academic skills but for the scams committed through the creation of brands, companies and labels. We are therefore talking about a very controversial character in the world of cryptocurrencies, who for several years has been increasing the number of victims of their scams.
But if his name is so well known and his scams documented why no authority can stop him?
One of the causes is that investigations are made difficult precisely by the virtual nature of cryptocurrencies .
Furthermore, Rayan Xu, and his accomplices, continue to move from China to new countries where they open and close companies; we are talking about countries where the Chinese, American, European and Australian authorities cannot have access to documents relating to investigations.
Hyperfund is not the first platform that he created, indeed several companies have already been closed, disappearing together with the money invested by the victims.
Among the list, we have as the first scam, ACX Exchange , to follow Media Chain and then to Hshare , whose name later changed to HyperCapytal , and finally (or at least for the moment) we have the fifth Hyperfund scam .
Conclusions on Hyperfund
Hyperfund is referred to as a DeFi but conversely it is a CeFi. What is the difference?
A Defi is a tool through which you can also invest money in the form of cryptocurrencies but if the DeFi closes the money does not disappear.
It represents a tool that allows us to simply manage our money electronically at any time and in any circumstance.
On the contrary, the CeFi which is an instrument through which our money is entrusted to third parties who manage it ; this does not guarantee any safety criteria, in fact, very often, it is impossible to get back the money invested in a short time, on the contrary, there is the possibility of an immediate closure of the CeFi which, disappearing, leaves no trace of the capital invested by users.
However, the existence of these platforms should not discourage novice users whose intent is to invest.
The online trading is an activity that if done with awareness can be really profitable.
The first step according to the experts is to study the trading activity and get informed as much as possible.
One of the most frequent advice given to novice investors is to use safe and regulated trading platforms, which allow them to make real gains.
In fact, there are many safe trading platforms , whose reviews are real, among them the experts recommend XTB Broker .
Logo broker XTB
Logo broker XTB
XTB is one of the largest brokers in the world, born in 2004 and does not require a minimum deposit from its users, in fact it is possible to trade even with a very small capital.
But its plus points don’t end there.
XTB offers its customers a security guaranteed by the licenses, from regulatory bodies of different countries, that the broker has obtained over the years; these certifications therefore make it an authorized broker.
Another note of merit is the possibility of opening an XTB account in a fast, simple and free way. Customer assistance is guaranteed and is provided by telephone, e-mail and online chat and is available in ten different languages, including Italian. XTB also takes care of the training of its clients in the trading field by offering them free training courses.
Following several reviews we can therefore say that XTB is presented as a guarantee for traders, both for the most experienced and for beginners, and above all for all those who want to invest in safety without running the risk of engaging in numerous scams. of the web.
FAQ Frequently asked questions
Hyperfund, What is it?
Hyperfund is a system that allows you to invest cryptocurrencies and use them on a daily basis through an open source technology .
What is meant by the DeFi platform?
A DeFi is the set of all financial instruments that are based on decentralized networks.
Is it possible to make profits from Hyperfund?
No! The profits received from the use of the platform are converted and transformed only in HyperCash. This cryptocurrency cannot be converted into any spendable currency in the world.