Inflating prices through Pump and Dump schemes isn’t new to the stock markets; the unregulated and anonymous nature of cryptocurrencies makes it easier for scammers to manipulate stock prices.
NEM (XEM) President Lon Wong believes price manipulation is unavoidable in cryptocurrency markets saying:
“Price manipulation is not somETHing new. You see it in mainstream markets as well. We are in a very NAScent, growing phase of our industry and these things are unavoidable,”
Cyber attackers had recently stolen $530 million of NEM coins from the Japanese exchange.
It Isn’t Difficult To Manipulate Price
Though regulators are showing concerns on the illegal use of digital currencies – they are also blaming price manipulation activities and pump and dump schemes for the considerable price volatility.