Altcoin Pump and Dump illegal/legal?

magpie_lover

jr. member

Activity: 182

Merit: 8

Quote from: nacho999 on June 28, 2017, 02:57:47 PM

Dear Community,

i found a channel/group where they pump and dump altcoins (https://t.me/AltcoinPumping)
I joined it, but I saw, there are over 16.000 members investing in a mentioned coin (sometimes more than 800 Bitcoins) and I have a little bit fear now, because it´s so big, that I think, it is not allowed. Shocked

Is here a expert or something who can tell us, if "Altcoin pump and dump" is illegal?
And how is the tax handeled with pumping profits?

I hope, you can help me, I searched in other boards and in different topics, but no one had a "save" answer. Huh

Greetings, Nacho

The answer to the question regarding legality will depend on the jurisdiction and will be different for different countries, but I do think in most countries this kind of action will attract the attention of the Regulators. CFTC in the US, for example, has already called out this and have set up a bounty for the whistle blowers.

Link - Blow the whistle on pump-and-dump schemers

Goldberg007

member

Activity: 196

Merit: 10

Ofcourse its legal in the crypto market.You can pump and dump all coins feel free.If you are earning money from it enjoy it.

hansbans

full member

Activity: 380

Merit: 100

Absolutely legal. But if you do not have experience, you may lose your money due to the signals from these groups. Be careful that these groups made for speculation may harm you.
I dont use them and im feelin safe

IgniHash

member

Activity: 224

Merit: 10

One Token to Move Anything Anywhere

Quote from: nacho999 on June 28, 2017, 02:57:47 PM

Dear Community,

i found a channel/group where they pump and dump altcoins (https://t.me/AltcoinPumping)
I joined it, but I saw, there are over 16.000 members investing in a mentioned coin (sometimes more than 800 Bitcoins) and I have a little bit fear now, because it´s so big, that I think, it is not allowed. Shocked

Is here a expert or something who can tell us, if "Altcoin pump and dump" is illegal?
And how is the tax handeled with pumping profits?

I hope, you can help me, I searched in other boards and in different topics, but no one had a "save" answer. Huh

Greetings, Nacho

Maybe, it's not regulated yet. But form my perspective, pump and dump group can damage the crypto community. They only make a profit for themselves. I've been joined some Pump and dump group, and there is no positive impact for may crypto future.

Ceballos

sr. member

Activity: 621

Merit: 288

WPP ENERGY - BACKED ASSET GREEN ENERGY TOKEN

This is free market not a regulated stocks market.
so there is no problem about legality. Its all legal.
You can pump or dump all coins feel free

Thyaga

sr. member

Activity: 644

Merit: 250

Quote from: nacho999 on June 28, 2017, 02:57:47 PM

Dear Community,

i found a channel/group where they pump and dump altcoins (https://t.me/AltcoinPumping)
I joined it, but I saw, there are over 16.000 members investing in a mentioned coin (sometimes more than 800 Bitcoins) and I have a little bit fear now, because it´s so big, that I think, it is not allowed. Shocked

Is here a expert or something who can tell us, if "Altcoin pump and dump" is illegal?
And how is the tax handeled with pumping profits?

I hope, you can help me, I searched in other boards and in different topics, but no one had a "save" answer. Huh

Greetings, Nacho

Of course it's not illegal because the exchange where the pumps and dumps have got approval from the government where they work.

JuniAiko

member

Activity: 126

Merit: 10

DOGE:DDvXm3ZkXSFeZF9YVaTWGNyBZzfwVf8nnh

You could probably try collecting the identities of the key members if possible, and wait patiently till cryptos are regulated, and contact them that YOU KNOW! Tongue

I have read that banks are actually involved in some of the pump and dumps; at least in the stock market, etc.

sinner

hero member

Activity: 615

Merit: 500

Quote from: Febo on June 28, 2017, 03:11:26 PM

If you are afraid of illegality just pick up a phone and call your local police. they are there to tell you what is legal and what is illegal. None of them is here. And every place on world have different laws and rules.

LOL the police definitely dont know. local police are fucking morons. if you want a reliable answer you call the right lawyer.

that being said, i think pump n dumps are legal in crypto even tho they're illegal in stocks. theres just no laws for it yet.. even if they make em, kinda hard to enforce with VPNs n stuff.

hase0278

hero member

Activity: 882

Merit: 544

Quote from: Ipwich on August 02, 2017, 03:43:58 AM

You cannot prevent them from doing it and it is not illegal, we should be smart and not to fall for that kind of trap.
In the world of crypto there are a lot of ways to make a fortune but we need to be smart enough to get on the right timing so you can
make money at the right time and eventually grow it more as you are getting more aggressive.

No one can prevent them but pumping and dumping coins somewhat needs to be illegal in cryptoworld all over the world. There are laws about money laundering in US that states that it prohibits money laundering through other informal value systems, and cryptocurrency can be considered as an inform value system. Therefore, crypto pump and dump can be considered illegal on US at least and those doing it on US can be subjected by law.

Ipwich

hero member

Activity: 1050

Merit: 529

Student Coin

Quote from: ShadowBits on August 02, 2017, 03:24:07 AM

Quote from: pearlmen on June 28, 2017, 03:23:03 PM

Quote from: nacho999 on June 28, 2017, 02:57:47 PM

Dear Community,

i found a channel/group where they pump and dump altcoins (https://t.me/AltcoinPumping)
I joined it, but I saw, there are over 16.000 members investing in a mentioned coin (sometimes more than 800 Bitcoins) and I have a little bit fear now, because it´s so big, that I think, it is not allowed. Shocked

Is here a expert or something who can tell us, if "Altcoin pump and dump" is illegal?
And how is the tax handeled with pumping profits?

I hope, you can help me, I searched in other boards and in different topics, but no one had a "save" answer. Huh

Greetings, Nacho

Why do I have a feeling that you are actually advertising that channel.There is a way you could have directed your question without actually putting the link up there because what you have done is just to promote this social menace in the crypto-world because the more people join, the more calamity will be done to the crypto-world. Although, its not illegal but its immoral because it means that innocent people will be losing their investment due to that while some people will be rejoicing at that.

Yeah seems like
Just like to say that anyone advertising pump groups should be banned. THESE ARE SCAMS. The people that run it choose a coin thats low and put their money in so it pumps. THEN they announce thru their telegram app what the coin is and to PUMP. within 2 mins they then SELL and DUMP what they bought leaving everyone else scammed.

You cannot prevent them from doing it and it is not illegal, we should be smart and not to fall for that kind of trap.
In the world of crypto there are a lot of ways to make a fortune but we need to be smart enough to get on the right timing so you can
make money at the right time and eventually grow it more as you are getting more aggressive.

ShadowBits

hero member

Activity: 994

Merit: 504

Quote from: pearlmen on June 28, 2017, 03:23:03 PM

Quote from: nacho999 on June 28, 2017, 02:57:47 PM

Dear Community,

i found a channel/group where they pump and dump altcoins (https://t.me/AltcoinPumping)
I joined it, but I saw, there are over 16.000 members investing in a mentioned coin (sometimes more than 800 Bitcoins) and I have a little bit fear now, because it´s so big, that I think, it is not allowed. Shocked

Is here a expert or something who can tell us, if "Altcoin pump and dump" is illegal?
And how is the tax handeled with pumping profits?

I hope, you can help me, I searched in other boards and in different topics, but no one had a "save" answer. Huh

Greetings, Nacho

Why do I have a feeling that you are actually advertising that channel.There is a way you could have directed your question without actually putting the link up there because what you have done is just to promote this social menace in the crypto-world because the more people join, the more calamity will be done to the crypto-world. Although, its not illegal but its immoral because it means that innocent people will be losing their investment due to that while some people will be rejoicing at that.

Yeah seems like
Just like to say that anyone advertising pump groups should be banned. THESE ARE SCAMS. The people that run it choose a coin thats low and put their money in so it pumps. THEN they announce thru their telegram app what the coin is and to PUMP. within 2 mins they then SELL and DUMP what they bought leaving everyone else scammed.

GreenBits

legendary

Activity: 1148

Merit: 1048

Quote from: letsgoman on July 04, 2017, 03:30:50 PM

I hope they are or become illegal very soon. The owners of these groups are taking easy money off of new people that are coming into crypto and don't know how these groups work.

This is illegal as hell already. A decent prosecutor could make a good case for financial fraud. In normal markets regulated by the SEC, it's pretty much illegal to do anything but speculate. Cornering the market, IE buying up everything on a market so you can manipulate the price. And using FUD or manipulating the price of an asset to alter confidence is just as illegal. Most people get in trouble for insider trading, which leads me too..

Quote from: giveen on July 04, 2017, 03:41:00 PM

About bittrex they can't really ban because they have no proof you are part of the pump group you can just say you simply wanted to buy the coin. About the groups i don't really know how it can illegal as bitcoin isn't regulated so there are no rules how you should use it but i do see some groups posting that they have a backup and a legal team. God knows but if you are making profit why do you care just enjoy.

This is so easy to prove. They would simply audit Polo for trades, accounts and IPs. After they match everything up, they would contact you, and interview you. Unless everyone has their story really, really straight (like why everyone decided to trade at the same time), someone is catching a charge.

Do not fuck with the IRS/SEC. You will catch your issue

giveen

hero member

Activity: 826

Merit: 1004

About bittrex they can't really ban because they have no proof you are part of the pump group you can just say you simply wanted to buy the coin. About the groups i don't really know how it can illegal as bitcoin isn't regulated so there are no rules how you should use it but i do see some groups posting that they have a backup and a legal team. God knows but if you are making profit why do you care just enjoy.

letsgoman

member

Activity: 66

Merit: 10

I hope they are or become illegal very soon. The owners of these groups are taking easy money off of new people that are coming into crypto and don't know how these groups work.

EthBooks

newbie

Activity: 28

Merit: 0

Not just big organized groups and trade exchanges, but even individuals who are trading altcoins should make yourself aware of the legal risks of aiding and abetting said manipulation groups...according to this article:

http://www.coindesk.com/the-cftcs-not-so-hidden-message-traders-beware/

nacho999

newbie

Activity: 5

Merit: 0

Quote from: trackr-im on July 03, 2017, 05:27:08 AM

Quote from: aioc on July 03, 2017, 04:45:00 AM

Quote from: Vivisector999 on June 28, 2017, 03:04:01 PM

It's not Illegal, as any Cryptocoin exchanges aren't regulated. But in joining one, you probably have a better chance of losing alot of money than gaining, since the guys at the top always make sure they get out first, then they give the signal and everyone else scrambles to make it out alive.

I't's not illegal definitely and I agree with you that the one that created this group are just using people to make a huge profit,they dump while you pump, they accumulate early then dump when they announce that they are pumping so it's usually the other way around,it's like go buy my bags of shits.

Exactly, unfortunately people see past it or they decide to use it anywhere in an attempt to make some gains.

But when you look at the last pump-stats of the channel, there is no pre dump in the charts, strange

trackr-im

full member

Activity: 308

Merit: 100

Quote from: aioc on July 03, 2017, 04:45:00 AM

Quote from: Vivisector999 on June 28, 2017, 03:04:01 PM

It's not Illegal, as any Cryptocoin exchanges aren't regulated. But in joining one, you probably have a better chance of losing alot of money than gaining, since the guys at the top always make sure they get out first, then they give the signal and everyone else scrambles to make it out alive.

I't's not illegal definitely and I agree with you that the one that created this group are just using people to make a huge profit,they dump while you pump, they accumulate early then dump when they announce that they are pumping so it's usually the other way around,it's like go buy my bags of shits.

Exactly, unfortunately people see past it or they decide to use it anywhere in an attempt to make some gains.

SiMoon23

newbie

Activity: 56

Merit: 0

if it's illegal or not doesn't really matter as long as there is no proof that you actually were in this group. I mean if just buying a coin when the market price raises would be suspicious how could a normal person avoid to get suspected?

But even for those who get ripped off I have no pity. I mean you invest in a highly volatile kind of currency like bitcoin than you go further and change the btc to another "currency" which actually can't and probably will never be spent on any good but has the market cap. of may be a small village, what could one expect to happen?

The only shame is that it's inhibit a growth in reputation to the whole cryptomarket. I mean, imagine someone new and uncertain to cryptos enters this board and everything he sees is some fraud warning for nearly each possibility it could happen. I don't think this person will get a trustworthy image of cryptos and probably decide not to us it... but off course, when i hear of a large groupe like that those people don't even expect the cryptos to arrive in real world...

aioc

hero member

Activity: 2926

Merit: 567

Quote from: Vivisector999 on June 28, 2017, 03:04:01 PM

It's not Illegal, as any Cryptocoin exchanges aren't regulated. But in joining one, you probably have a better chance of losing alot of money than gaining, since the guys at the top always make sure they get out first, then they give the signal and everyone else scrambles to make it out alive.

I't's not illegal definitely and I agree with you that the one that created this group are just using people to make a huge profit,they dump while you pump, they accumulate early then dump when they announce that they are pumping so it's usually the other way around,it's like go buy my bags of shits.

nacho999

newbie

Activity: 5

Merit: 0

So you mean, it´s not illegal, because you must not veriy at Bittrex?

Topic: Altcoin Pump and Dump illegal/legal? (Read 3356 times)