One of the largest cryptocurrency forum communities, CryptoInTalk, recently terminated over 915 cryptocurrencies from its platform. |
CryptoInTalk CEO, Ako Stark, addressed the reason for the massive termination, as “the fact that there were tons of coins that are not worth any money, and many trying to take advantage. They did this by providing fake news and misleading information about them to fraudulently pump the coins prices.”
“This is a big ‘No’, in our community,” he continued. “We will absolutely not tolerate anyone trying to manipulate the prices of worthless coins that bring no value to our investors under any circumstances.”
If you are not familiar with pump and dump, it is an age-old scheme that quickly raises the value of a worthless asset, before selling it to reap the profits from the price increase. Not only is this illegal under the securities laws, but it is also extremely popular in the world of Blockchain technology, cryptocurrency, and digital assets.
When you look at the complexities that go into making a physical dollar bill, it’s easy to see why most people don’t start trying to print new forms of currency every day. But making a new digital currency is surprisingly easy for someone with even basic coding skills. With the right tutorials and a decent computer, anybody could do it. As cryptocurrencies have grown in popularity, people have figured out ways to create their own.
Hundreds of altcoins have been created through “initial coin offerings”, or ICOs. This is a new way for companies to raise money, somewhere between a Kickstarter-type crowdfunding campaign and a company listing its stock through an initial public offering (IPO).
Facebook has already banned cryptocurrency advertising because of reasons just like this. So many initial-coin-offering-ads were ‘frequently associated with misleading or deceptive promotional practices’ that the platform had to shut them down.
“We want people to continue to discover and learn about new products, services and educational information through CryptoInTalk without fear of scams or deception,” Stark said.
“That said, there are many companies out there who advertise binary options, ICOs and cryptocurrencies that are not currently operating in good faith.”
For more visit http://cryptointalk.com/
Related Articles -