Artificially inflating the price of a cryptocurrency through false and misleading positive statements, in order to sell them at a higher price.
Example Sentence : Watch out for over hyped coins with anonymous teams as they are often pump and dumps.
by cfaulk 2020-12-04 04:09:29

Pump and dump schemes may take place on the Internet using an e-mail spam campaign, through media channels via a fake press release, or through telemarketing from "boiler room" brokerage houses (such as that dramatized in the 2000 film Boiler Room). Often the stock promoter will claim to have "inside" information about impending news. Newsletters may purport to offer unbiased recommendations, then tout a company as a "hot" stock, for their own benefit. Promoters may also post messages in online chat groups or internet forums, urging readers to buy the stock quickly.

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