DeutschWhat Does Pump and Dump Mean?
The pump-and-dump “scam” is a problem that often affects smaller investors in particular. Market participants with large capital resources buy large quantities of a cryptocurrency or other assets and artificially inflate the price in this way. The result: Many buyers in turn decide to buy. Fraudsters then quickly sell off their holdings and take profits. As a result of this wave of selling, the price sometimes collapses dramatically. Altcoins with a low trading volume and low market capitalization are much more frequently affected.
