XRP suffers from one of the largest pump & dump scams
$XRP has been suffering with legal issues as the SEC files a lawsuit for an unregistered securities offering. The SEC is claiming over $1.3 billion dollars were raised illegally.
Currently ranked #4, $XRP was pumped by a new telegram group which reached the 200,000 user limit of Telegram. The group formed a second telegram group which reached over 95,000 followers.
The sole purpose of the group was to shill and pump $XRP on a specific date while the creators sell (dump) it back on to those they shilled.
A pump and dump is considered illegal when working with securities like stocks, but with cryptocurrencies the jury has been out. While there has been some cases where ICO's have been taken to court, there is no official law against the pump and dump of non-security cryptocurrencies.
Pump and dumps with stocks can last for months but with crypto they can be over in mere minutes. The $XRP pump and dump group used the subreddit /r/xrp to promote their telegram where a lot of the shilling took place.
The leader behind the pump and dump known as The XRP Bully made a 18 minute video on YouTube announcing pump and dump claiming it isn't a pump and dump but in fact is a "Community led event with the goal of bringing awareness to the XRP ledger".
You can watch the video here but I be aware this is all propaganda to get people to buy their bags at an inflated price. The XRP Bully discloses that crypto is a risky investment and you should accept full responsibility for all your loses.
$XRP rose to over 150% following the surge from this pump rally and very quickly fell back down. The pump put briefly $XRP in the #3 position by market cap.
The XRP Bully clearly isn't done as he got onto Twitter to start planning their next heist.
If you have been on Discord for more than a week, you likely have received your fair share of direct messages promoting Pump & Dump groups. Be smart and don't get yourself involved in these groups, most of the followers will end up losing money.
I get direct messages from pump & dump groups on a daily basis in Discord, one thing I noticed lately they immediately attempt to get you on the phone by creating a call within the direct message. I've noticed this starting to happen a few weeks ago and not 100% sure of their motives but I have some suspicions.
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