discuss 4L CHIPS: Wasn't it the best example of pump and dump?

[Arpit131]

We are all now familiar with the term "PUMP and DUMP" which we daily see in crypto currency markets.

Looking backwards into the time of Chinese premium and 4L domain names reaching $2,500 and then coming back to the floor, don't you think it was the perfect example of pump and dump?

Pumping the price continuously higher and higher and when a peak was attained, dumping it slowing back to the floor price.

 

[IMEZI]

as the digital internet marketer always said : Rinse and Repeat. Buy it when it reach floor price and pump it up till the peak and sold [DUMP] it LOL

 

[dordomai]

sure... also known as long term bag holding or bag and hold investing.

.mobi was also an example of pump and dump. It's a common strategy in domaining.

 

[Grilled]

Here's an old DomainSherpa video from November 18th, 2015 titled: Chinese Numeric and Acronym Boom or Bubble? Frank Schilling shares he sold 2,000 4L CHIPS for 3 Million dollars.

https://www.domainsherpa.com/discussion-20151118/

It's interesting to re-watch this nearly two years later in 2017. One Sherpa was even pushing 6N.com's referencing these 60 day old hand regs were selling everyday on NameJet for over $300, and were trading in bulk at a value of $250 each.

 

[offthehandle]

.

 

[Kuffy]

It's not just digital stuff. Zero interest rates have allowed pump and dump to happen with share prices. P/E ratios rising whilst profits are dropping is counter-intuitive. Then you can look at the derivatives market, and the way that is kept afloat. All of these markets are manipulated. If this wasn't so, then there would be no justification for the limited life Euro to be rising whilst the rosy futured Sterling is dropping.

 

[Adnan Shaikh]

We are all now familiar with the term "PUMP and DUMP" which we daily see in crypto currency markets.

Looking backwards into the time of Chinese premium and 4L domain names reaching $2,500 and then coming back to the floor, don't you think it was the perfect example of pump and dump?

Pumping the price continuously higher and higher and when a peak was attained, dumping it slowing back to the floor price.

Isn't that how everything works now a days

 

[Arpit131]

Isn't that how everything works now a days

Don't know about everything but that is how some low volume/low price crypto-currencies are working now-a-days!
And I could connect to the pump in Chips through that!!

 

[Arpit131]

It's not just digital stuff. Zero interest rates have allowed pump and dump to happen with share prices. P/E ratios rising whilst profits are dropping is counter-intuitive. Then you can look at the derivatives market, and the way that is kept afloat. All of these markets are manipulated. If this wasn't so, then there would be no justification for the limited life Euro to be rising whilst the rosy futured Sterling is dropping.

You seem to be following the stock and futures market closely, my friend!!

 

[domeen]

Where you not one of those bumpers? Who pushed those 5 letter chip.nets?

 

[SpareDomains]

I had a good handful of random (non chips) and let them all fly. More of a keyword or keyword brandable guy so couldn't resist ringing the register at $300-$600 each on domains I paid x-xx each for.

 

[Dream Domain]

We do not find sufficient usability in random four letter domain name.

 

[SunCityVip]

I recall around ‘10 or ‘11, Someone was dropping around 4K of this stuff...had to quickly grab some and much of the better ones for cheeeeeaaaaap!
I also started getting low offers for bunch of great llll.coms. Might of been the same person/group that let things drop, purposely. Go figure

 

[Grilled]

Chinese premium and 4L domain names reaching $2,500

456,976 total 4L.com
160,000 4L.com without A, E, I, O, U, V (Total # of 4L CHIPS)

Price X Market Size = Marketcap

$2.500 per 4L CHIP = 400 million dollar maketcap
$2.000 per 4L CHIP = 320 million dollar marketcap
$1.500 per 4L CHIP = 240 million dollar marketcap
$1,000 per 4L CHIP = 160 million dollar marketcap
$500 per 4L CHIP = 80 million dollar marketcap
$100 per 4L CHIP = 16 million dollar marketcap

I recall around ‘10 or ‘11, Someone was dropping around 4K of this stuff

4,000 CHIPS at $2500 each would be $10,000,000
4,000 X $10 renewal X 6 years = $240,000 in renewal fee's.
Net = $9,760,000

 

[Weber]

What does 'Pump And Dump' mean
Pump and dump is a scheme that attempts to boost the price of a stock through recommendations based on false, misleading or greatly exaggerated statements. The perpetrators of this scheme, who already have an established position in the company's stock, sell their positions after the hype has led to a higher share price. This practice is illegal based on securities law and can lead to heavy fines.


Read more: Pump And Dump http://www.investopedia.com/terms/p/pumpanddump.asp#ixzz4ve20dgsx

 

[Shams]

Indeed that was a clear practice of Pump and Dump. did anyone notice, Now where are those million dollar budget companies which were established overnight? internet or domains are not new for Chinese, where were they busy last decade. why they didn't notice the value in them. just a few internet articles and over budget sales of chips and here we are. Boooooom. In simple words, the sales of those chip's were Ponzi scheme.

 

[wwwweb]

Why do you think people who bought these things for $10-100 were quickly selling for $2,000-$2,500, because they knew how many inquiries these things got after years of holding them, zilch.

It was a gift, many Chinese wannabe domainers got left holding the bag on domains that now command about $800.

 

[Kate]

domains that now command about $800.

It's still a lot of money. I mean, they could come down even further. Random LLLL.com were worth $40 not so long ago.

 

[Grilled]

Why do you think people who bought these things for $10-100 were quickly selling for $2,000-$2,500, because they knew how many inquiries these things got after years of holding them, zilch.

It was a gift, many Chinese wannabe domainers got left holding the bag on domains that now command about $800.

MarketCap has dropped from $400 million ($2500 each) to $128 million ($800 each) apprx 68% decrease

It's still a lot of money. I mean, they could come down even further. Random LLLL.com were worth $40 not so long ago.

At $40 each, it'd only cost $6.4 million to complete a full buyout of all 4L.com CHIPS.

 

[Shams]

It's still a lot of money. I mean, they could come down even further. Random LLLL.com were worth $40 not so long ago.

i bought 85 4L .com in 1 day from Godaddy auction at $10 each.