Cryptocurrencies, pump and dump, wash trading and all that jazz...
That which has been [is] what will be, That which [is] done is what will be done, And [there is] nothing new under the sun. [Ecc 1:9 NKJV]
Texas finance professor, John M. Griffin, and doctoral student, Amin Shams, published a paper arguing that price manipulation played a significant role in bitcoin’s price surge during 2017. A copy of the paper is embedded below:
The technique described in the Griffin and Shams paper is a form of "wash trading", a method of trading that has been illegal in the U.S. since 1936.
Another illegal form of trading often seen in the world of cryptocurrencies is in the "pump and dump scheme".
Our friends at Fraud magazine wrote an article about this in 2018. Thereafter Coindesk weighed-in with its own statement, noting "the Griffin and Shams paper has received skepticism and pushback from the cryptocurrency market, with Tether skeptic Bennett Tomlin calling it 'inconclusive.'"
Mixed opinions notwithstanding, "whale" Joe007 is no doubt laughing his way to the fiat bank.
No comments:
Post a Comment
Note: Only a member of this blog may post a comment.