Any clue why whales are pumping shit coins at DEX?

[absurde]

As you know , if you are trading at Dex you could easily see x100 pumps . After that pump, price down to usual point. So what is that meaning?  If any whale wants to collect the tokens, there are many better ways to collect them more cheaper. Any clue ? is that money laundring?

[Tytanowy Janusz]

There are various explanations based on situation.
Throw some examples (token and exchange) and i'll explain it from economic point of view.

is that money laundring?

It might be. But it needs to be backed by volume from nowhere. If 1000$ was used to make pump (what is common on low volume coins on dex's) than it's definitely not money laundering.

[bitbollo]

most of times these are just "Pump and Dump" scheme.
Newbies see price growing and good volume, and they decide to invest in the coin... but they dont' know that some one is ready to dump all coins!
I don't think they pump a scam coin for money laundering..... I can't see any advantage for a trader
there are some scientific papers about this argument e.g: https://papers.ssrn.com/sol3/papers.cfm?abstract_id=3267041

[absurde]

There are various explanations based on situation.
Throw some examples (token and exchange) and i'll explain it from economic point of view.

is that money laundring?

It might be. But it needs to be backed by volume from nowhere. If 1000$ was used to make pump (what is common on low volume coins on dex's) than it's definitely not money laundering.

Could you pls explain  mdab/bnb trading? here is the link ; https://www.binance.org/en/trade/MDAB-D42_BNB
2 days in a row, this is just an example there are many tokens like that at various exchanges.

[absurde]

most of times these are just "Pump and Dump" scheme.
Newbies see price growing and good volume, and they decide to invest in the coin... but they dont' know that some one is ready to dump all coins!
I don't think they pump a scam coin for money laundering..... I can't see any advantage for a trader
there are some scientific papers about this argument e.g: https://papers.ssrn.com/sol3/papers.cfm?abstract_id=3267041

this is not newbie buying, he is buying approx bought 30K $ in one pump minumum...how can we read it?

[electronicash]

nice whales are already in the dex?  must be too afraid an exchange will freeze their accounts. risk free and i guess that's a reasonable than sending thousands of USD but locked by a scam exchange.

i'd probably ride the pump if there is an opportunity but going to be careful if the token is very unknown like that MDAB. binance dex would be a great place for them to do it.

[Jating]

It's possible about the money laundering theory, but it's hard to proved it.

As you know , if you are trading at Dex you could easily see x100 pumps . After that pump, price down to usual point. So what is that meaning?  If any whale wants to collect the tokens, there are many better ways to collect them more cheaper. Any clue ? is that money laundring?

What we all know is that there are a lot of p&d signals groups around. And they mostly breed in DEX because they know that mostly beginners are trading on DEX. So together with whales and p&d, they are going to pump a certain coin of their choice to x100 and then sold and then take the profit, easy peasy.

[youdacapt]

Could you pls explain  mdab/bnb trading? here is the link ; https://www.binance.org/en/trade/MDAB-D42_BNB
2 days in a row, this is just an example there are many tokens like that at various exchanges.

what happens to dex, especially Binance dex is often triggered by the pumps of their own dev and the whales just welcome it. There is no specific reason for money laundering, but this is more valid because they have the power to do it, I call it the quick profit mode. The interest of traders in Binance dex is different from the others with a slightly better volume day by day.

[ReiMomo]

Actually there are too many ways to manipulate coins, especially on DEX or even in Binance Dex. But since we don't have any proof we can be predicting on it what is a possible scenario that happens. Perhaps, that was probably on the pump and dump group. Buying at large amounts at a time and then lure traders also to buy, but when the big whales hit the target they will sell all they had. O another thing is just a simply manipulating the price on the said exchange.

[bitbollo]

most of times these are just "Pump and Dump" scheme.
Newbies see price growing and good volume, and they decide to invest in the coin... but they dont' know that some one is ready to dump all coins!
I don't think they pump a scam coin for money laundering..... I can't see any advantage for a trader
there are some scientific papers about this argument e.g: https://papers.ssrn.com/sol3/papers.cfm?abstract_id=3267041

this is not newbie buying, he is buying approx bought 30K $ in one pump minumum...how can we read it?

People that pump coins (so who bought 30K in one pump) he is not the newbie.
The newbies come after these big movement and then decide to invest.
If a pumper get coins from a range of 1 satoshi to 10 satoshi, he is able to dump coin with a great gaining until price touch 2 satoshi.

If you want @absurde you can send a MP with information regarding this coin/trade and I will take a look into....

[absurde]

most of times these are just "Pump and Dump" scheme.
Newbies see price growing and good volume, and they decide to invest in the coin... but they dont' know that some one is ready to dump all coins!
I don't think they pump a scam coin for money laundering..... I can't see any advantage for a trader
there are some scientific papers about this argument e.g: https://papers.ssrn.com/sol3/papers.cfm?abstract_id=3267041

this is not newbie buying, he is buying approx bought 30K $ in one pump minumum...how can we read it?

People that pump coins (so who bought 30K in one pump) he is not the newbie.
The newbies come after these big movement and then decide to invest.
If a pumper get coins from a range of 1 satoshi to 10 satoshi, he is able to dump coin with a great gaining until price touch 2 satoshi.

If you want @absurde you can send a MP with information regarding this coin/trade and I will take a look into....

sure, but you can see the trade link above https://www.binance.org/en/trade/MDAB-D42_BNB , 2 days in a row , this is not pump & dumb groups i am sure about it, i have been trading long time to realize it. 

[bitbollo]

E.g.
the other explanation, other then a pump and dump scheme, can be an "insider trading".
Likewise, they are ready to issue a news and meanwhile they have taken some coins in DEX.
(DISCLAIMER= this is just an hint and not directly linked with this token )

[carlfebz2]

E.g.
the other explanation, other then a pump and dump scheme, can be an "insider trading".
Likewise, they are ready to issue a news and meanwhile they have taken some coins in DEX.
(DISCLAIMER= this is just an hint and not directly linked with this token )

As usual with this kind of scheme, when they do pump out a particular shit coin then announcing and spreading shills would be the next job.
They would find innocent and noob traders to buy out that peaked priced shitcoins that they had recently pumped.A typical P&D which isnt surprising nowadays.

Is this money laundering? No! General speaking it doesnt involve about this matter heck we can check out the volume of such pump and
we dont even know on where those funds came from so we cant really point some fingers on here.

[goinmerry]

As you know , if you are trading at Dex you could easily see x100 pumps . After that pump, price down to usual point. So what is that meaning?  If any whale wants to collect the tokens, there are many better ways to collect them more cheaper. Any clue ? is that money laundring?

It depends on the coin. We can give a better explanation if you can show a specific coin recently who pumped at x100 on Dexes.

In general, the scheme has the purpose of manipulating volumes so that others will fall on the ride. It's not about there is a better way to collect more cheaper coins but pumping the coin also contributes to a form of advertisement and good marketing. If traders see that a certain coin, shit or not, do have an interesting volume that might be fit today or short trades, they will put that coin on their list. Only via pumping it is a good way to market it to create sounds compare to posting ads.

[JeffBrad12]

Could you pls explain  mdab/bnb trading? here is the link ; https://www.binance.org/en/trade/MDAB-D42_BNB
2 days in a row, this is just an example there are many tokens like that at various exchanges.

what happens to dex, especially Binance dex is often triggered by the pumps of their own dev and the whales just welcome it. There is no specific reason for money laundering, but this is more valid because they have the power to do it, I call it the quick profit mode. The interest of traders in Binance dex is different from the others with a slightly better volume day by day.

Well, money laundering is definitely out of question because even if they do they have too much risk of losing the value due to the volatility. I think it's just a usual price manipulation maybe the devs are trying to keep their coin alive by pumping their own coin because most of the coin in dex have low volume anyway so you dont need so much money to pump and they are trying this hoping that people will start to buy and they can then dump their coin afterward. I also couldnt see how whales profitting from pumping this coin anyway.

[alani123]

I think it's just because DEX have really small orderbooks, no market makers and the trade graphs are not regulated or intervened with in any way to look nice.

[Polar91]

As you know , if you are trading at Dex you could easily see x100 pumps . After that pump, price down to usual point. So what is that meaning?  If any whale wants to collect the tokens, there are many better ways to collect them more cheaper. Any clue ? is that money laundring?

It's not money laundering but it'a actually their strategy to easily manipulate the market, making profit from the weak hands that already bought that particular shitcoin at its high price. It's not difficult to understand since what they are doing isn't difficult specially if that shitcoin is only available in one exchange only.

[tippytoes]

As you know , if you are trading at Dex you could easily see x100 pumps . After that pump, price down to usual point. So what is that meaning?  If any whale wants to collect the tokens, there are many better ways to collect them more cheaper. Any clue ? is that money laundring?

It's not money laundering but it'a actually their strategy to easily manipulate the market, making profit from the weak hands that already bought that particular shitcoin at its high price. It's not difficult to understand since what they are doing isn't difficult specially if that shitcoin is only available in one exchange only.

Yes, not money laundering at all! If you are long enough to witness those pump and dump schemes, you will say that it is a regular dirty strategy of those group of people to amass a lot of profit for their own gain. They don't care other investors or small timers who are losing their hard-earned money for not seeing such price manipulation. This is the reason why, if you are an investor, you need to really look at the foundation of the project and not checking only the trading charts. You will understand what's happening if you will dig deeper about where it's coming from.

[sunsilk]

As you know , if you are trading at Dex you could easily see x100 pumps . After that pump, price down to usual point. So what is that meaning? 

That's the basic cycle and logic of trading. DEX isn't an exception because it also happens to the popular centralized exchanges so don't get it wrong and surprise why it happens. Dumping always happens in every altcoins.

If any whale wants to collect the tokens, there are many better ways to collect them more cheaper.

They collect for no reason but they are taking it cheaply and once it pumps, they'll sell it without a doubt and won't do a buyback.

[wheelz1200]

As you know , if you are trading at Dex you could easily see x100 pumps . After that pump, price down to usual point. So what is that meaning?  If any whale wants to collect the tokens, there are many better ways to collect them more cheaper. Any clue ? is that money laundring?

People buy and sell from themselves to make it look like the coins price is going up trying to fool someone into buying it, usually doesnt last long unless some poor sap buys in.  Dont buy into pumps and dont sell into dumps (unless there is an obvious reason) and you should be fine.  Manipulation runs these small volume coins.