Want to play in the cryptocurrency market manipulate

The Cryptocurrency space and manipulation of the market have become almost synonymous. Group pump and dump (dump'n pump'), insider trading esoteric knowledge, the closed channels with paid admission — all rampant in the crypt. In part illegal, in part legal or quasi-legal activity creates a sea of gray separating legitimate from illegal land. Do not be manipulation of the market, cryptocurrency would not be so attractive. Manipulation is contagious. But who cares?

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In the beginning was Fontas

Traders manipulate the cryptocurrency markets since its inception. In the early days of Bitcoin, both he and altcoins, there were several illiquid markets, where they Pamphili, Pamphili danili and again. The coins were lost and purchased in the blink of an eye; then they were worth no more than chips in a casino. Say, what to do a daily trade, it is better to just "hoglet", pressing the coins closer to the heart, because if you look back at those days and remember Litecoin to $ 1, jokes the former does not seem so harmless. Today, litecoin crossed the threshold of $ 150 per share.

In 2014, the Pampa and the dumps were associated mostly with the alias Fontas. Often schemes of the pampas is played in chat Btc-e, exchanges are less than pure reputation. No one knows how many BTC Fontas earned nubah who get involved in giving away the scene, obeying the fear of lost profits.

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Phase two: private groups pampow

As soon as the cryptocurrency markets have started to Mature, manipulation matured along with them: they became private and switched from open chats on the exchanges in the group in Slack, the shell and Telegram with entrance by invitation only. The goal was the same: buy cheap, pump the coin (spreading false news on partnerships and other buy signals) and then throw it at the peak.

But the pampas and dumps — just one form of manipulation, perhaps the mildest of them. The consequences Panov and dumps do not last very long, and any trader that blindly follows a rising candle, not understanding why she takes off, deserves only sympathy. Other attempts to cheat the system is more subtle and not always illegal. For example:

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• Developer buys shidoin (shitcoin, literally, "germanet"), and then carries out a double fork it with Bitcoin, in order to inflate the price.
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• Major stock exchange informs his associates about the inevitable listing of the coins, allowing them to accumulate bags before massive weight.
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• of the Crypto team that is buying its own coins, before announcing a major partnership.
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• Group-whales who get the coins on the ICO at a deep discount, and then sell them to the masses, providing FOMO (fear of lost profits, which leads to irrational buying coins at the peak value).

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don't shoot the pianist, he plays as best he can

Every second of every day, traders are trying to cheat the system and take advantage of any advantage they might have against the other. Whales to create sell walls (giant wall sell orders that perform cosmetic function and suppress the price) on the stock exchanges; traders on Twitter stock up on coins and then praising it like it's a new iPhone; the slanderers slander, FUDстеры FUDят; bots buy; launder launder. Everything in this game accept manipulation as part of the system.

In the world of Finance manipulation have existed since the first day, and insider trading and manipulation of stock market long ago were taught in schools of Economics textbooks. Exchanges like Bittrex and Cobinhood condemn this behavior, and CTFC offering a $ 100,000 reward for the prevented attempt Pampa. The cryptocurrency world is an underground and anonymous, fighting an even more secret manipulation is very difficult in the absence of a Central regulating authority.

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Play all

Not so long ago on Steemit published an article exposing the blatant attempts at manipulation alithinou, but many who read it, did not agree with the author's assertion that the lie was a crime of the highest order. "I've already contacted the SEC, FBI and other Federal authorities concerning them [the evildoers] of activity in the market. I have every intention to make a personal visit to them today or tomorrow to deliver all these screenshots," wrote the author. Some expressed the opinion that cryptocurrency users that are crying to the national security agencies, is the last thing community.

 

In his autobiography "Higher loyalty", the former FBI Director, James Comey recalled the decision to prosecute Martha Stewart for insider trading when he was attorney General. The amount that was involved in the case, was trivial — actions on $ 50,000 — but in the end it is still condemned because it was obvious evidence that she benefited from insider information and later lied about it. In most cases, recognized the Komi Republic, the offender cannot be accused, because it is difficult to prove the reason why someone buys or sells the asset. Sale of savings before the dump could be an innocent coincidence.

How to deal with manipulation on the market

Given the impossibility of eliminating the manipulation of the market, you might want to search for more pragmatic solutions. One of them is that the cryptocurrency community will publicly condemn such behavior, while recognizing that it will not do anything. An alternative may be the approval procedures and the adoption of them as part of the game. Some people think that doping in professional sports need to approve, because it will put all athletes on an equal footing. The situation in cryptocurrency market is about the same.

When Martha Stewart was Vishal from prison in 2005, and she sat a short time, she found that her fortune increased by $ 200 million. When the benefit of more punishment, persecution becomes useless. The manipulators will manipulate and insider traders will continue to engage in insider trading. Such is the nature of people.

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