The Bittrex exchange has emphasized the determination to fight against practice "pumping and dumping" (pump&dump) which is widely applied at many exchanges of cryptocurrencies, especially on the altkoinakh with weak liquidity. In updating of the conditions of service Bittrex has confirmed that will pay more attention to eradication of schemes of a rating and dumping and to freeze accounts which participate in such activity.

Rating and dumping — illegal practice of artificial increase in prices for assets to sell cheap assets at higher price, long ago associated with the cryptocurrencies exchange markets.

Scheme of pump and dump existed even long before appearance of cryptocurrencies. They can easily be traced in movement of the prices in the traditional stock markets. During an era of altkoin this diagram, generally is implemented by one of the following methods:

• False news. By means of messengers, social networks and blogs, attention is drawn to a specific coin. Sometimes by means of screenshots of counterfeit news about new development of the platform, exchange lists and partner communications. The purpose consists in forcing buyers to acquire coins, thereby inflating their price before investors who bought them earlier, are able to sell the inventories. It can occur within several hours, days or weeks.
• Fast pumps. One more popular method in which members of the closed group are involved. When the name of a coin which needs to be pumped up is declared, the race which is in buying it, and then to drop it lagging behind before they, in turn, make the same with buyers who will come after them begins. It is, in fact, a game on an exposure: it shows at whom the first will be handed over nerves and who the first will leave the inventories. On price diagrams it looks as the huge vertical green candle accompanied subsequent red which appears after the beginning of "draining" of coins, at the same time the price can sharply grow and fall in read minutes.

Of course, prohibition of a pumping and dumping and their termination is not same. Coins to which enjoy popularity at clients of the exchange are displayed on the homepage of Bittrex, top more buyers. Whether because of greed, whether because of a syndrome of the missed benefit, some traders blindly follow green candles, indulging artificial increase in the price of a coin and own losses.

Many can consider that investors who don't conduct own research deserve a similar fate. Nevertheless, as cryptocurrencies extend more and more, impetuous manipulation of coins play a small role in involvement of new bidders. Inflow of institutional money has helped the cryptocurrencies  exchange markets to be inflated almost to 300 billion dollars. Time of origin of the markets has passed, and with him have to consign to the past and schemes of a pumping and dumping.

Traders who remember early days of bitcoin can remember with light grief that former time when each coin had a small market capitalization, and the prices of currencies, such as Peercoin and Feathercoin, grew at mad rates before falling in an abyss.

While illiquid coins continue to bargain at the large exchanges, a rating and dumpings will proceed. Beginners in cryptocurrency space should remember that the only competent and politic move is to buy bitcoin (and, for diversification of a portfolio, the most reliable altcoina from TOP-10) and to store him. It is one of the few strategy which as has shown time, turn into quite good dividends.

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