Elon Musk Is Running a Giant Pump and Dump Scheme of Life-Shattering Proportions
Elon Musk’s Pump And Dump Formula
Here’s the formula Musk uses on repeat:
- Say a particular coin or project will “go to the moon” (using emojis for good measure).
- The project or coin does go to the moon as a result (on no other grounds than the apparent backing of the world’s wealthiest person).
- Investors who were roped in by Musk’s tweets see the value of their coins go up — until the magnate changes his mind or the market realizes the hack and prices come crashing down.
Here’s how it looks.
Pump the coin with some funny-looking meme:
Pump the coin some more (prices goes from $0.29 to $0.40):
Make the project look somehow legit when everyone with half a brain, including the project’s founder, knows there is no utility behind it:
Pump it further by insinuating a reputable company like Tesla could accept payments in the currency:
Go one step further by claiming the meme coin will be the currency of humanity on Mars (yep):
At one point, Dogecoin had added over $7 billion to its market cap — in 24 hours — following similar tweets.
All fun and games, right?
Real Impact on People’s Lives
Real people listen to this guy’s tantrums and they make investment decisions based on them. That’s a recipe for financial ruin. It’s like taking financial advice from a baby who likes to throw his expensive toys out of the pram.
We also know that Musk bought Dogecoin for his own son. The fact that he did made the coin’s value jump up another 16%.
Musk and his family are directly benefitting from every single pump scheme he runs via his Twitter account.
How is this not illegal market manipulation? How is the SEC not stepping in here?
Musk uses his huge trolling power and his legion of naive followers on social media to influence the value of any coin he has an interest in. He’s able to control the price of an asset and make it skyrocket or plummet as he sees fit — with a few words or emojis.
That’s too much power. The creators of the “Anonymous” video have a point here, and it’s hard to deny.
Investors have been begging Musk to stop his tweeting frenzy. It’s both creating and destroying real people’s wealth in the blink of an eye.
It’s not the first time this happens either.
Thanks to Musk’s previous erratic behavior, one investor claimed: “I have lost 30 years of my life savings, all in $tsla thanks to your tweets, please stop.”
Another’s tweet summarizes the situation and pleads with Musk to “think of us small people.”
People are losing their hard-earned money over foolish, careless comments from a man with too much power in his hands.
Yet another investor comments that “I’m in the same situation, most of my portfolio dedicated to Elon’s vision. However, I’m willing to risk losing it as long as he stands up for what is right!”
That’s how naive and influenceable people are. And they’re the ones suffering — not Musk and his $152 billion net worth.
It all looks like fun from the outside. Not if you bet a significant portion of your life savings into Musk’s companies and “vision”.