Recently, I have noticed the surfacing of overt pump and dump schemes on the internet.
These are groups of speculators that assemble together on a given exchange to attempt to
push the price of a predetermined coin by 100-1000% using about 80-150BTC.
YES, These groups gave always existed in the deep bowels of the interwebs feeding on noob blood , however what used to be a hushed affair is now openly advertised as "exclusive" clubs, some of which charge a membership fee. Any Investor in crypto should be aware of their effects since the cryto-market is still virgin and liquidity is still low especially amongst
under-capitalised coins. Failure to observe for such will see you holding to bag when the pump ends suddenly and losses are the only thing left to be allocated, while the scoundrels laugh all the way.....to cash out.
I have attached the links to two notorious P&D sites.
1 ) http://fairpumps.net/
Please Follow and Upvote :)
@jhixx very informative thank you. I'm surprised the regulators didn't see this coming. reminds me of when everyone thought buying penny stocks was the new get rich quick scheme. funny how these sites claim to be fair and ethical when all they are doing is manipulating market prices.
Thank you, some of the sites are suspected of taking part or failing to protect customers against this. However like you stated, an illiquid market like penny stocks are very susceptible to manipulation that even the brokers cannot rectify due to the fact that the market is young and small. Research Research Research Beware !
Wow, didn't know these existed....scary thoughts. Could br left with a useless 'coin' or 700. Research, research research. Thanks for the post.
Congratulations @jhixx! You have completed some achievement on Steemit and have been rewarded with new badge(s) :
Click on any badge to view your own Board of Honnor on SteemitBoard.
For more information about SteemitBoard, click here
If you no longer want to receive notifications, reply to this comment with the word
STOPIf you want to support the SteemitBoard project, your upvote for this notification is welcome!
Congratulations @jhixx! You received a personal award!
You can view your badges on your Steem Board and compare to others on the Steem Ranking
Vote for @Steemitboard as a witness to get one more award and increased upvotes!