The term **"inflate"** refers to artificially increasing something, often beyond its true or sustainable value. In the context of scams, particularly in cryptocurrency, inflating can take the form of a **"pump and dump"** scheme.
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- **Pump**:
Scammers artificially inflate the price of a cryptocurrency or asset through false or misleading information. This can be done via social media hype, exaggerated claims, or coordinated buying to make the price appear as if it’s rising rapidly.
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: Once the price is inflated, the scammers sell off their holdings at the inflated price, leaving unsuspecting buyers with overvalued assets. As a result, the asset's price crashes, and the new investors suffer losses.
Inflation can also occur in **token supply manipulation**, where scammers print or create excessive tokens in decentralized platforms to mislead people about the real scarcity or value of the asset.
This tactic is particularly dangerous in unregulated or less transparent markets, where investors are more vulnerable to hype and misinformation.
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