Isthe DGC Market Dying?? or Just Hyips??

[jryangold]

Hey Everyone!

For those of us that have been around for quite a few yesrs we have seen the ups and downs and twists and turns that are the Digital Gold Currency Market.

It would seem that the DGC industry as a whole has shrunk significantly in the past 1-2 years. I mean we have had some major raids by government agencies, namely on INTGOLD-EMOCORP-EGOLD-EBULLION, we have also hadsome pretty public failures/frauds with the likes of evocash and others. Yet the market always seemed to rebound.

But it would appear to me that the overall market feels much smaller than what it did 3-4 years ago. There also seems to be less established e-currerencies that are accepted and they have become harder to spend at a legitiamte merchant.

I would also say that the prevalence of HYIP's has reduced significantly...and the ones that are left are more hit and run affairs and much harder to make any sort of money out of. Sowe really arnt seeing the likes of the big hyips like starfund or foreignfund etc.

Also, there seems to be ALOT less people posting on message boards than what there usedto be. Take TG for example...used to be pages of new posts in the General section everyday and your thread would barely get any time on the 1st page etc.

I'm assuming that HYIPs have been largely responsible for a goodly share of the daily transactions that would be running through the various currencies and so with their demise has this reducedthe balance and flow within the gold economy? because say what you want about the scams...but they did stimulate the overall gold/DGC economy with purcahses of various goods and services etc.

So what i'm asking is has the failure of these e-currencies and major HYIP's burned so many people that they are avoiding the industry alltogether? or has it been the successive government attempts to kill DGC's alltogether that has done it?

And then the big question...where to next for the industry?? Willit find a way to make itself totally legitimate and therefore attract general business?? or willit evolve into another avenue?? or will it shrink and die out eventually?

This thread is for serious discussion..so please contribute accordingly.

p.s I apologise for formatting...have a sticky space bar

[talkgold]

Interesting take on things. Although I agree there are ups and downs, atleast Talkgolds traffic has remained steady and even increased a bit over the last year. So it's hard to say exactly.

[LookFwd]

If you mean eg and eb than I can't but agree that with those 2 having gone forever the industry was forced to go back like 5-6 years ago and start over. But it's not dying for sure, on the contrary DGC market is growing which means more alternative. It just needs more time I think.

[jryangold]

Thanks for thre replies brian and lookfwd.

Brian, do you think that the TG traffic has increased because its changed?? more make money/forex based rather than the good old fashion hyip traffic? I just wonder if the new folders that were introduced a while back sought to change the demographic of TG etc

Lookfwd, If the DGC industry is growing...what sections are being pushed forward?? is it HYIP that is growing or gold payments/legitimate merchants etc because i've not seen a huge amount of interest in standard merchants outside the gold industry wanting to accept it etc.

Anyway, thanks for the opinions guys...its an interesting thread and id love to hear some more on where you think this is all going.

[LookFwd]

Originally Posted by jryangold

Thanks for thre replies brian and lookfwd.

Brian, do you think that the TG traffic has increased because its changed?? more make money/forex based rather than the good old fashion hyip traffic? I just wonder if the new folders that were introduced a while back sought to change the demographic of TG etc

Lookfwd, If the DGC industry is growing...what sections are being pushed forward?? is it HYIP that is growing or gold payments/legitimate merchants etc because i've not seen a huge amount of interest in standard merchants outside the gold industry wanting to accept it etc.

Anyway, thanks for the opinions guys...its an interesting thread and id love to hear some more on where you think this is all going.

Hyips. The point is that more hyips manage less money now. Say we go back to 2004 and see that about 5 programs could really share the market, the egold market (!) Now it's totally different. But it's ever growing quantity of hyips that moves GDC market forward.

JMO

[sceptre]

I would argue that the total size of the DGC industry, in terms of users, is growing. However I would also argue that the amount of money that is circulating is decreasing. 4-6 years ago, the majority of users were from Western Europe and the United States. Now, it seems that the majority of users are from China, India and Eastern Europe. The result has been 32988239893 new users, but a decrease in the nominal dollar value being circulated.

7 years ago, if a hyip got 2000 members, it was likely that it would have $1-2m+ invested. Today, if a site has 10000 members, its unlikely that it even has $100,000. While some people are benefiting from this, the fast majority of users suffer. In order to attract bigger investments, hyips must spend thousands on advertising, rather than spending this money paying members. The result is shorter lived hyips and lower returns.

Take TG for example...used to be pages of new posts in the General section everyday and your thread would barely get any time on the 1st page etc.

This is another clear example of the type of members that are left. When TG was full of actual investors, who spoke English proficiently, there was alot of good quality discussion on TG. Now, 90% of the new posts are "I got paid!' in the hyip folder.

The number of scams has increased dramatically, while the amount of dollars going into them has shrunk. Scripts, such as gold coders have broken down any barriers that once existed to starting a hyip, so they're popping up everywhere. That being said, I still think there is money to be made in hyips. When investing, NEVER invest in a program that is using a generic script such as Gold Coders. Also, look for high quality features such as nice designs, custom programming and admins who speak English. While these are still probably scams in the long run, if you invest early, you'll probably do well.

As for where it is headed, I'm not quite sure. If the government continues to intervene, it will fizzle away pretty quickly (though I don't really see this happening). Time will tell!