Exit scam after shipment

What is Pump & Dump Fraud

Pump & Dump (P&D), also translated as “拉高出货,” is a long-standing market fraud that also exists in traditional financial markets. In short, scammers use misleading positive statements that do not reflect reality to artificially inflate the price of an asset they hold—also known as “speculation”—so they can sell the asset at a high price after buying it at a low price. Once the scammers start selling, the excessive selling pressure causes the price to fall, and the losses are borne by other investors. The pumper (speculator) may be an insider of the project or other market participants.

It is important to note that the price increase mentioned here is detached from the actual supply and demand in the trading market and is not driven by the intrinsic value growth of the asset—such price surges are the result of manipulation. This type of trap is very common in small and medium-cap projects.

The development of the internet has provided scammers with many conveniences. They can reach and incite a large number of potential investors through social media platforms, spam emails, online advertisements, and other channels.

What is Rug Pull Fraud

In the crypto market, a Rug Pull refers to the project team withdrawing investors’ funds or running away with the project. Just like a rug being suddenly pulled out from under your feet, investors are left to fall hard on the ground.

Rug Pull is one of the common crypto scams. In this type of scam, a project quickly gains attention in the market through marketing hype and large fundraising, then suddenly stops allowing investors to withdraw funds, and the team quickly runs away with the money (for example, pulling liquidity from a decentralized exchange). **$ARPA **$PARTI