Pump And Dump Signal Group Explained #002

jueco (76)in Tron Fan Club • last year

It is an honor to come before this great community today to discuss on an issue of great importance.

I feel happy to be a member of this great community, I believe you all are doing perfectly well and are enjoying your activities in the community.

In one of our discussions, we learnt about pump and dump signal group but we were unable to discuss some content in the topic.

Today, we shall be examining some other things related to the pump and dump signal group in the cryptospace.

As we know it, pump and dump signal group are often a form of scams that if one is not careful and smart, he's going to loose some or all of his savings.

Join me as we examine some reasons people get involved in pump and dump signal group.

MOTIVATION BEHIND PUMP AND DUMP SIGNAL GROUP

There are several reasons group of individuals engage in pump and dump scheme as some of the reasons are popularly known while some are not

We shall be examined some reasons

PROFIT MAKING:

One of the main reasons group of individuals engage in a pump and dump scheme is all for the aim of making profit.

They tend to purchase a commodity at a low price and then after the asset has been spiked by social media hyping, they hurriedly sell off their stake on such commodity, as such making a huge profit from the market.

Without the aim of making huge money from this fraudulent practices, individuals would prefer to build a project that would last, but because of the desire to make quick cash, individuals are motivated to engage in pump and dump schemes.

MARKET MANIPULATION:

Another reason individuals are motivated to engage in pump and dump scheme is because it is easy for them to manipulate the market.

Due to the fact that the market is not under any regulatory body, it becomes more easier for market manipulators to manipulate the market to their profit.

They seek to take advantage of the lack of regulations and perform their wicked schemes which in turn will be harmful to investors in the market.

LIQUIDITY MANIPULATION:

Due to the fact that there are not always liquidity in the market, it becomes very easy for manipulators to increase trading volume, thus attracting investors.

As a result of this, manipulators are confident that they can manipulate the market and thus scam investors of their hard earned money.

MEDIA HYPE:

Source

Media hype is another motivation scammers have to engage in pump and dump schemes.

By simply paying some social media celebrity, they can get their project endorsed and hyped, thus attracting more investors to their project.

With the availability of social media, it becomes very easy for individuals to attract investors into a project, and as a result of that, individuals are motivated to engage in these schemes.

PERSONAL GAIN:

Personal gain is another major reason individuals decide to engage in these schemes, they practice this things because of what they tend to gain from the schemes.

They see the pump and dump scheme as annl effective method to make quick huge profits and they see it as worth the risk.