This is an email that I got from the site Fairpumps. Fairpumps claims to propagate “fair pumps and dumps” on altcoins. They choose one altcoin per week for a pump and dump. This week, it seems like it was Bitshares turn for pump and dump.
Quite surprisingly, the group was able to pump and dump Bitshares quite successfully, as you can see from the price graph from Coinmarketcap.
The reason it’s surprising is because fairpumps usually chooses small altcoins that are easy to manipulate. Bitshares had a market cap of over $40 million during the event, and it is much harder to move these altcoins that have such a high marketcap.
Pump and dump schemes are quite common in the altcoin world. The events are announced at Bitcointalk, Twitter, IRC channels, emails etc. The group has been behind several different pumps and dumps in the cryptocurrency world. However, to date, Bitshares was definitely their largest target measured in terms of market capitalization. It is a bit of a concern that the group was able to manipulate the price of a $40 million crypto and the community should be aware of such events.
Lots of people get caught up in pump and dump events, which look like a breakout from the outside and the people who are really involved in that specific crypto think that the world has finally seen light and acknowledged how revolutionary their coin is. Bitshares can be one of the most prominent ‘echo chambers’ for any altcoin, so it shouldn’t come as a surprise if people were affected during this event.
Here’s the full text of the email:
Subject: tonight’s coin pick: Bitshares / BTS
tonight’s coin is BTS / BitsharesX. Why did we chose this one?
– it is relatively new on bittrex, and hasn’t seen a decent pump on there yet. This strategy helped us very well on our last longpump. After we smash a few smaller sell walls on the orderbook, it’s US controlling the limited BTS-market on Bittrex. New investors won’t be afraid, as the price isn’t inflated yet and we can build this up step by step.
– this isn’t a quick coin created to rip people off, as it exists for several months now, which is quite a long time in altcoin world
– it uses a UNIQUE technology, keywords are Delegated proof of stake (DPOS) and BitAssets. Search the web for these technologys and promote the technology on twitter and other platforms
Further pump development, like target prices and other stragety will be discussed on
our forum and in chat as soon as target price is reached, EVERYBODY starts HYPE on twitter to attract new investors. If it drops below 50k, we work with buy walls to stabilize the price.
EVERYBODY PROMOTING BITSHARES ON TWITTER WILL AND POST THE TWEET ON OUR FORUM WILL GET AN EARLY COIN HINT ON OUR NEXT PUMP!
today price-target: 20k and hold
week price target: 50k
long-term communication: http://fairpumps.net/forum/viewtopic.php?f=7&t=33
tonight’s communication irc:
Surprising how many spelling and grammatical errors the announcement was riddled with, yet managed to cause such a big Bitshares pump and dump for that day!