CyberHype 101
By William Cate
Published February 2001
[http://home.earthlink.net/~beowulfinvestments/] [http://home.earthlink.net/~beowulfinvestments/globalvillageinvestmentclubwelcome/]
Hire 2-3 Boiler room salesmen. Former stock brokers, who have lost
their license, are best. Your cyber-hypsters might
each register as scores
of phony stock investors at each Internet Stock Chat Board (SCB), like
Raging Bull or Silicon Investor. There are over 200 SCBs. You will
need to
spend about $60,000-$100,000 on your computer hardware and software.
However, youve created over 1,000 investors to hype stocks.
The cyber-hypsters can control any stock board. They appear to be
10-20 or more enthusiastic stock investors. They claim to be long in that
stock. They tell the Board that the share price will go to the moon.
Critics of the stock are called "Bashers." They are insulted, ridiculed and
their issues are ignored. The cyber-hypsters post support messages to these
attacks, using other names. It appears that every investor at the Board
strongly favors the stock. The critics soon shut up and move on. If the
critics comments, against the stock had merit, the cyber-hypsters complain
to the Board Sponsor and have the critics posted comments removed.
Now the goal is to gather pigeons to the Pump & Dump (P&D) Board.
This might
be done with spam. It may be done with free of cost online investment
letters. It might
be done as an adjunct to a traditional boiler room stock
promotion. It may be done with a direct mailing. What the promoters want is
to put the pigeon into an environment where they are told to buy, buy and
buy more of whatever worthless stock is being pumped.
Getting pigeons to the Board could be
done by pooches. The Canadian
word "pooch" refers to a pigeon who will help the hyster by bringing other
pigeons to the slaughter. The pooch supplies friends, family, and business
associates as buyers of the stock. A "pigeon" is anyone who puts their hard
earned funds
into a stock scam.
It could be
done by moving the pigeons from one Board to another
Board. There are cyber-hypsters who post on all Boards spam that encourages
the pigeons to subscribe to a free of cost news letter
, visit their web site or visit
another Board.
If the cyber-hypsters are working two P&Ds, they may magnify their
effectiveness. Lets say, the second P&D is about to be pumped (promoted
upward). The cyber-hypster will post a notice at the first Board quote
that P&D #2 is a good buy. They just bought say 10,000 shares of it. Few
P&D #1 pigeons will buy the P&D#2 stock. However, whatever P&D#2 stock
buying results helps the P&D#2 stock promotion. The real benefit is that
the cyber-hypster may report that his P&D#2 stock soared and he made funds
.
This gives him added credibility at the P&D#1 internet page
.
The pattern is 1-3 pumps with a rearguard action to keep the share
from collapsing. Most of these P&D groups have several of these stocks in
states of development. For example Teflon Tony and the Cyberboys at
FantasyLand are doing a rearguard action on TMMI while planning to pump
NAPH. They have a half dozen more deals in various stages of development
or decomposition. They are lining up more deals.
Its my belief that the Net will be the primary method of moving
share prices within the next 15 months. Today, the effectiveness of
cyber-hype is overrated as are many things involved with the Internet.
However, when you may SELL stock on the Net, the cyber-hypsters have
developed the system to sell it to the pigeons.
I think there is a better way to go public and create a strong
share price. I think you can stroll
away with a fortune as an insider. I
think everyone might
win. Its one reason that I publish EFS. However, Im
currently battling the "Dark Side of the Force." Thus, the care in this
issue on sizzle rather than steak.
To contact the author: Visit the Beowulf Investments website: [http://home.earthlink.net/~beowulfinvestments/] Or, visit the Global Village Investment Club Website:
[http://home.earthlink.net/~beowulfinvestments/globalvillageinvestmentclubwelcome/]