Is this an investment SCAM or what????

Ok so a couple years ago a co-worker told me to 'invest' in the Iraqi Dinar (Their currency)... because you see, their money is worthless at this time but once their economy stabilizes their exchange rate will rise thus bringing an incredible ROI.

This was two years ago. 

Now another co-worker of mine, a relative of the one who first propositioned me with this somewhat strange idea is HARDCORE into the theory that the IRAQI Dinar will RV (revaluate or some crap).

Currently 1 Dinar is worth something like .000008 of a US PENNY.  These websites that tout this funny money speculate that once IRAQ gets stabilized 1 dinar will be = $3.80 USD or somewhere in that ballpark.

Basically making a $1,000 investment in the dinar worth over 1 MIL. USD if it 'hits'.

My co-worker keeps putting his money into this to the point where he's got 10k 'invested'.  I have been telling him for months now that this is a scam and that the only people he can sell it back to are those who he bought it from and that they will only re-imburse him for 80% of what he paid for it!

This guy won't listen.  Am I missing something here or is this not one of the biggest 'get-rich-quick- schemes on the internet?

 

oh and he's been 'invested' in this scam for like 2 years now but his intel says it's going to happen right around Christmas time this year

I mean, damn! I could understand maybe tossing 1k on some bogus idea like this but TEN GRAND?

 

I do not have any, but I've heard about this I know people who are doing the same thing. I do not know if it is a scam or w/e nor when something like would hit, but it is kind of interesting.

I'm all for investing in foreign currencies... but the Iraqi Dinar?

Dude Monopoly Money holds it's value better.

From what I've read the only way the Dinar would 'hit' and translate into 1 mil dinar = 1 mil USD is if...

The US dollar completely collapsed and was worthless as well.

Theoreticaly let's say...

1 Dinar = .000008 of a penny

and it 'RV's'

1 Dinar = 3.8 USD

Wouldn't every Iraqi be a Millionaire?

Can somebody who knows something about these things please chime in? I'm trying to persuade my buddy that investing 10K in the Dinar is absolutely a BAAAAAD idea but he simply will not listen to me.

Oh and he said the same thing happened to Kuwait's Dinar in the 90s.  Is this true?

Yep, the Kuwait currency did hit the skids and then rebounded strongly, but it did so much faster and less messy than the Iraqi situation.

I purchased some Dinar a few yrs ago (not 10k worth though) expecting that we would actually go in there and do what we said, which was rebuild the infrastructure we destroyed and get out..which is not what we have done.

At this point I am considering it monopoly money, with a revalue it will be tough to exchange from the US since the Dinar is not traded in the open markets.

The currency is pegged right now, the IMF has a set price on it established, it never moves. I dont know what it will take to "un"peg it or if that is even a possibility.

Good info, thanks.

I mean hell, if the Dinar even hit a penny it'd be a tidy profit.  But all this speculation saying that 1 dinar will be worth $3.80 is absurd.

Seems kind of fishy to me since the only people who will buy it back from you are the people who sold it to you... and at a -20% net loss of what you paid for it

I just want to add also that I strongly doubt it would ever hit that high as your were told.

dude i dont think it'll hit period.  My definition of 'hit' for this 'investment' would be getting 100% of my money back.

Google iraqi dinar forums and read the crap the people are spewing about it.  The only people who are profiting are those running this dinar selling sites.

Now with that said, my question is, after 7 years running and not one person has made a penny profit... is it POSSIBLE that a profit could be made?

My co-worker seems to think he's going to be a millionaire

well there is still a lot to be done over there 

What if they just create a new currency; is it then worthless?  Is the Dinar the medium of exchange in Iraq now or do they use dollars?

ALS, that's what I figured would happen...

I just asked my buddy who has 10k vested in it and he said the DINAR is the current currency and I asked him "so you have to pay like 50,000 dinar to buy a loaf of bread?"

He said "yeah basically"... and "I don't care just as long as it hits".

He's sitting here at work trying to decipher a UN security council meeting.

I think my buddy is thoroughly convinced he is going to be a millionaire come x-mas time.

What a scam.

I tried to warn him that this was a losing proposition in every way, what does he do?

Invest 5k more into this.

Oh well not my money.

are u sure this "my buddy" is not really u

it's ok man we are here to discuss everything no need to use decoys

hell no bro I wouldn't put a dollar on this crap. 

LOL I waste enough money gambling as it is.

All I had to do was google 'dinar scam'

But these sites he goes to do conference calls and all sorts of hype-inducing things.

As far as I know this dinar reval myth has been around for about 7 years and not one person has ever gotten 1:1 on the money they've put into it...

Jeez he has his whole immediate family vested into this scam... wife, mother-in-law, brothers...

I asked him "At what point will you be pissed that this doesn't 'hit'"... he said "Summer."

It's good to see that after 2 years at least my buddy has set some kind of timeline.

However guys I must say, his intel has stated that this will happen on or by X-mas time!

So dumb.

you nailed it earlier when you said if 1 dinar = 3.80 usd then all iraqi's would become millionaires. 

This won't happen, no way, no how.  If it does, buy me a beer....plz.

no one is gonna become a millionaire off this you might be able to make a little profit if you wait long enough(years, like 5-10) ,but your better off investing in stock market. Also, due to the instability of ALL muslim nations, the chance you will lose is FAR greater then the chance of even breaking even.

Well?

The Iraqi Dinar has improved quite a bit after the war. When I used to live there, an american dollar use to translate to around 1800 Dinars. Now its closer to 1300 or less from what i'm hearing.

I wouldn't be surprised if it jumps up like the Kuwait Dinar as you said but things have to get better there first and thats not gonna happen anytime soon

With that said, I dunno how this stuff works