Bitcoin Forum
June 24, 2018, 07:02:55 PM *
News: Latest stable version of Bitcoin Core: 0.16.1  [Torrent]. (New!)
   Home   Help Search Donate Login Register  
Pages: [1]
Author Topic: How do CryptoCompanies Manipulate their Coin Value?(Explained)  (Read 314 times)
Offline Offline

Activity: 84
Merit: 11

View Profile
May 12, 2017, 08:14:38 AM

There has been a lot of talk about how Whales manipulate coin value, however, how do the companies themselves do it? How can a coin with no real life use or value become so valuable? A cryptocurrency company has 3 channels which they can use to manipulate their coin value, these are Media, Pump on Stock, Zombie Army. Through media companies have many methods direct/indirect which build positive brand perception, some examples are: they can over exaggerate how well things are going, they're able to throw out future possibilities and events which are aimed at getting investors to buy in asap as the price will shoot up soon. They're able to mislead investors in multiple ways by twisting the truth. Pump on stock can be done by Whales who have no affiliation with the company or by insiders that are within the company network, Zombie Army description is soon to come...  When all 3 of these are in combination with the right timing it is quite the spectacle. The one effect all these have is they put investors in a frenzy as they see potential earnings before their eyes. We the investors then do the rest of the work... after awhile a time comes where the hype settles then the company uses the media and/or a pump again to start the hype, overtime people who have profited become a Zombie Army for the company that will support it no matter what. Once a company reaches this level and gains their personal Zombie Army all they need is a good marketing strategy which they can use to inflate their value to unprecedented levels. A cryptocurrency Zombie Army is best familiarized by seeing it as a sort of cult following where no matter what they will support the company. They become a media channel themselves as wherever they go, whoever they talk to they will tell them what a great investment so and so company is and this causes more investors to come in. This can even be done on a forum like this where there is such a huge audience of potential investors. Imagine seeing and hearing the same advertisement over and over again(this will affect you at a subconscious level) there comes a point where most people just buy in further increasing the coin value. This trend will continue until the day people realize what they're investing in actually has zero to little value and it all collapses, by that time the company is extremely rich while many poor naive innocent people have lost their money, some have investments they can afford to lose, however there will always be some that put more than they can afford to lose in hopes of a better future. This is not a matter of if, this is a matter of when in regard to some coins. What will those companies tell their investors?

We're a joint community here on a Crypto journey so feel free to add your opinions and knowledge to this
Pages: [1]
Jump to:  

Sponsored by , a Bitcoin-accepting VPN.
Powered by MySQL Powered by PHP Powered by SMF 1.1.19 | SMF © 2006-2009, Simple Machines Valid XHTML 1.0! Valid CSS!