Shock Closure of Hypedrop Sparks Accusations of Exit Scam Amid Financial Turmoil

In a surprising move, Hypedrop and Hypeup recently announced the closure. The announcement came without prior notice to Hypedrop’s users, influencers, or partners, leaving many in shock.

The owner cited internal issues and a lack of management as the reasons behind the closures. However, insiders suggest that this explanation does not tell the whole story. Over the past few months, leaked internal profit metrics have painted a different picture. Hypedrop had been spending a staggering $2,000,000 monthly on its daily case rewards system alone, not including other expenses such as affiliate and influencer deals. This financial burden accumulated over several years, ultimately catching up to the company as the site’s popularity plummeted in the last six months. Faced with mounting losses amounting to hundreds of thousands of dollars monthly, the owner was forced to close the brands, leading to what many are calling an exit scam.

The term "exit scam" is used because Hypedrop’s daily case rewards were marketed as an investment opportunity, promising users a return on their gambling activities. Unlike traditional casinos, Hypedrop claimed that there was no risk of loss to users, as long as the daily case system paid back losses within three years. This model allowed Hypedrop to operate in countries with strict online gambling regulations, including the United States, by arguing that users did not experience actual losses.

The recent closures have left millions of creditors without recouping their losses. This has sparked accusations that the owner is attempting to avoid paying his debts through an exit scam.