Technologies

Cryptocurrency pump-and-dump schemes: Everything you should know about these scams

Don’t be the victim of a rug pull.

Cryptocurrency fans view Bitcoin, Ethereum and Dogecoin as the future of money for the globe. The underlying blockchain technology allows crypto to work by creating a digital ledger that records transactions, which would seemingly create a safer form of currency. But where there’s money to be made, scammers aren’t far behind.

Crypto pump-and-dump schemes are designed to take advantage of people while making some big money for scammers. They generally involve influencers who receive financial incentives for telling people to buy a certain digital coin in order to raise its value. Once the value goes up, the scammers and influencers sell their coins and pocket the profits, while everyone else sees their investments lose value.

These schemes mark the latest twist in the ever-changing story of cryptocurrencies, which have created some millionaires while bankrupting others through their persistent volatility. Even Dogecoin, a cryptocurrency created as a joke, garnered mainstream attention thanks to high-profile figures such as Tesla CEO Elon Musk, who said at last week’s B conference that he «pumps, but doesn’t dump.»

He’s not the only one.

Earlier this month, popular esports organization FaZe Clan suspended multiple members who participated in a crypto pump-and-dump disguised as a charity drive while taking home tens of thousands of dollars.

With cryptocurrencies becoming easier to develop, scammers are taking advantage of people who have developed FOMO, or «fear of missing out,» and are looking to jump on new crypto coins in hopes of getting rich.

Here’s what you need to know about crypto pump-and-dumps.

What is a pump-and-dump scam?

A pump and dump is a securities scam usually involving stocks. Scammers create false hype about a stock in order to generate interest. Once investors start buying shares, the price of the stock goes up. When the price reaches a certain point, the scammers behind the fake hype sell all of their shares. This causes the stock price to plummet, which leaves new investors holding the bag.

The movie The Wolf of Wall Street portrayed the infamous pump-and-dump scam conducted by Stratton Oakmont investment firm in the ’90s.

How does this scam work with cryptocurrency?

It doesn’t work much differently than with stocks. A certain crypto asset is pumped up by people in order to make the value increase.

«As the prices rise, the pump creators dump their assets into the FOMO they’ve generated, resulting in a price crash that leaves the new buyers holding a bag of the assets that now have a lower value than they were purchased at, creating significant and often unrecoverable losses,» said Douglas Horn, chief architect of Telos Core Developers.

What’s different is what’s used for the pump-and-dump. Bitcoin, Etherereum and Dogecoin are well-established cryptocurrencies, and it takes someone with the following of Musk to increase or decrease their value. However, since creating a whole blockchain system for a currency takes a lot of time and effort, those knowledgeable about coding can create their own crypto tokens, which are digital assets using an already existing blockchain like Bitcoin or Ethereum.

These tokens, also referred to as coins, can be created easily like Shiba Inu, which the developers have referred to as a «Dogecoin killer» in a tongue-in-cheek manner. Developers can also create billions of these coins, which in turn means they go for fractions of a penny. One Shiba Inu token, for example, costs $0.0000065, so you can buy 100,000 tokens for less than $1.

Since someone can create billions of tokens easily that cost hardly anything, all that’s needed is to convince enough people to buy these super cheap coins. This can be done through Discord channels, forums or social media, or by getting an influencer to promote the coin in exchange for their own trove of coins.

If the scammers have 1 billion tokens worth $0.000001 then that’s only worth $1,000. But if they can increase the value of a token by just one decimal point, their stash of coins is now worth $10,000. If they dump it quickly, that’ll cause its value to crash.

Another small difference with the crypto pump-and-dump is the term. While it’s known as a pump-and-dump, in crypto circles the scam is referred to as a «rug pull,» as in the rug was pulled right out from under the investors. Part of enticing people to buy these super cheap tokens is to say they’re «rug-proof,» which means there are measures in place to prevent people who have a large number of coins from selling them within a certain time period.

What are some examples of cryptocurrency pump-and-dumps?

In July, four members of the FaZe Clan participated in a pump-and-dump for a token called SaveTheChildren. The pro gamers, along with other influencers, pushed the coin to their followers. Once the price increased, they began selling off the tokens they were given to be part of the scam, with some making an estimated $30,000.

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Another coin called SafeTrade was sold as «rug-proof» earlier this year. Once people started buying, the organizers sold their coins and left everyone else in the dust.

A 2020 study from the University of Technology Sydney and the Stockholm School of Economics in Riga found 355 instances of crypto pump-and-dump scams over the course of seven months. The organizers of these scams made millions.

Are pump-and-dump scams illegal?

For stocks, yes. For cryptocurrency, no.

The Securities and Exchange Commission is the government regulatory agency that investigates securities scams such as insider trading and pump and dumps. It doesn’t yet have similar rules for cryptocurrency, and doesn’t plan on implementing crypto regulations, at least for 2021.

How do you avoid crypto pump-and-dumps?

It’s important to understand if FOMO is contributing to your decision on whether to invest in a cryptocurrency. It may seem like everyone is getting rich off of Bitcoin or Dogecoin, but that’s not the case.

The next is to do your homework. Crypto coins or tokens can be created fairly easily by people who understand coding. If there’s a new coin that’s supposedly going to make you rich, do some web searches to learn more. The initial coin offering, or ICO, will have a «white paper» that offers details about the coin, who’s behind it, what their objective is and so on.

Then there’s a matter of the buzz that’s being generated. A way scammers get the word out about their coin is going into spaces where people are interested in cryptocurrency, such as Discord channels, social media and forums. If all of a sudden some person starts hyping up a brand new token, there’s a good chance they’re pushing a scam.

Be wary of any influencer who you may follow who hardly mentions cryptocurrency and randomly begins promoting a token. In the case of the FaZe Clan members, they promoted coins with a social media campaign and gave out thousands of free coins to their followers, which in turn entices other followers to buy coins — FOMO strikes again. If you’re going to take financial advice, get it from a professional and not someone whose claim to fame is being good at a video game.

Last, if you’re still interested in investing, then don’t invest more than you’re willing to lose. It’s possible that with the right timing, an investor could make money off a pump-and-dump, but it’s better to assume that the money you’re using to buy tokens will be gone forever.

Technologies

Facing Billions in DMA Fines, Apple Lets EU iPhone Users Install Apps Outside the App Store

A last-minute rule change lets European iPhone owners download apps from rival stores and developer websites, while introducing new fees that Apple hopes will satisfy regulators in Brussels.

In a scramble to sidestep penalties that could soar into the billions, and with Brussels regulators watching closely, Apple has agreed to let Europeans download iPhone apps from outside its own App Store.

With just hours left before an EU compliance deadline, the company said residents of the 27-nation bloc will soon be able to grab apps from rival marketplaces or straight off a developer’s website. The change rolls out later this year with iOS 18.6 and iPadOS 18.6, and also lets users set a different browser engine and choose a third-party wallet at checkout.

For everyday EU iPhone owners, that means the download button could pop up in more places than just Apple’s storefront. After you select the new setting, iOS shows a one-time permission sheet confirming you’re leaving Apple’s marketplace. The app then passes a quick notarization scan meant to weed out malware. Apple notes that off-store downloads work only inside the EU, and disappear if you stay outside the bloc for more than 30 days.

Cost to developers

Developers do gain fresh distribution freedom, but there’s a price tag. A new two-tier Store Services fee asks for 5% of outside sales in exchange for basic services like app reviews and support in what’s called Tier 1, or 13% for the full bundle of perks, including automatic updates and App Store promotions in Tier 2.

Apple will take a 5% «Core Technology Commission» on any purchase made outside its own payment system. That new cut will phase out the current €0.50-per-download fee and become the sole charge across the EU when a unified pricing model arrives on Jan. 1, 2026.

Apple insists «more than 99%» of devs will pay the same or less under the revamped math.

Why now?

In April, the European Commission fined Apple €500 million ($585 million) for blocking developers from steering users to cheaper payment options, and warned that daily penalties of up to 5% of global revenue could follow if it failed to comply.

Throughout the back-and-forth, Apple has accused the commission of «moving the goalposts» on what counts as compliance, with a spokesperson saying the company has invested «hundreds of thousands of hours» to meet the EU’s evolving demands.

Epic Games CEO Tim Sweeney blasted the 5% tier as a «malicious compliance scheme» that «makes a mockery of fair competition.»

If regulators decide Apple still hasn’t gone far enough, the iPhone maker could face steeper sanctions, or even be forced to separate its App Store business.

Technologies

Today’s Wordle Hints, Answer and Help for June 27, #1469

Here are hints — and the answer — for today’s Wordle No. 1,469 for June 27. Some players need a new starter word now.

Looking for the most recent Wordle answer? Click here for today’s Wordle hints, as well as our daily answers and hints for The New York Times Mini Crossword, Connections, Connections: Sports Edition and Strands puzzles.

Today’s Wordle puzzle isn’t too tough, but somehow, it has a starting letter I never seem to guess. Some posters on Reddit say it was one of their starter words, so now they’re in the market for a new way to begin the game. If you need a new starter word, check out our list of which letters show up the most in English words. If you need hints and the answer, read on.

Today’s Wordle hints

Before we show you today’s Wordle answer, we’ll give you some hints. If you don’t want a spoiler, look away now.

Wordle hint No. 1: Repeats

Today’s Wordle answer has no repeated letters.

Wordle hint No. 2: Vowels

There are two vowels in today’s Wordle answer.

Wordle hint No. 3: First letter

Today’s Wordle answer begins with P.

Wordle hint No. 4: Placement

The two vowels are next to each other.

Wordle hint No. 5: Meaning

Today’s Wordle answer can refer to something that is not decorated and is simple.

TODAY’S WORDLE ANSWER

Today’s Wordle answer is PLAIN.

Yesterday’s Wordle answer

Yesterday’s Wordle answer, June 26, No. 1468 was OFFER.

Recent Wordle answers

June 22, No. 1464: THRUM

June 23, No. 1465: ODDLY

June 24, No. 1466: ELITE

June 25, No. 1467: COMFY

Will Wordle run out of words?

When Wordle began, creator Josh Wardle used a list of five-letter words he’d shared with his partner, picking only the words they recognized. While that’s more than 2,000 words, more than half of them have already been used.

Wordle editor Tracy Bennett admitted that the game will eventually have to come to grips with the fact that the word list is not eternal.

«One possibility is that we could recycle old words at some point, like when we get close to the end,» Bennett told a Wordle player on TikTok.

She also said the editors might throw all the words back in and reuse them, or allow plurals, or past tense, something that’s not done now.

Technologies

Why Smart Travelers Are Switching to eSIMs This Summer

Save 20% on Nomad eSIMs and use your phone all you want around the world without spending a fortune on roaming fees and data add-ons.

Higher prices are looming for just about everything, but they’re not stopping people from planning more summer travel than ever.

Deloitte’s 2025 summer travel survey found that despite the gloomy economy, more Americans will travel this year than they did last year. And young people are especially ready for some self-care elsewhere: a survey by Allianz found that a whopping 70% of Americans under 35 are planning to take a vacation this summer.

If you’re one of the many people thirsty for a summer getaway, there’s a good chance you’re also looking to cut costs where you can. Maybe you’re opting for a cheaper mid-week flight rather than heading out on Friday, or heading somewhere off the beaten path instead of a tourist-packed metropolis.

Another smart way to trim your travel budget is to use an eSIM. You don’t have to pay pricey roaming or add-on data fees to look up local spots, post pics and check your email while you’re out of the country. Nomad eSIM, one of the most affordable options, gives you the data to do all that and more from over 200 countries. And right now you can get 20% off your first Nomad data plan with the code NOMCNET20.

What is an eSIM?

If you’ve ever upgraded your phone or switched carriers, you’re likely familiar with what a SIM card is: It’s that tiny chip in your phone that essentially connects it to your mobile carrier.

A digital eSIM is different in that it’s downloaded from the web directly into your phone. You can activate it using an app and switch carriers without the fuss of having to swap out your physical SIM card.

An eSIM can be a smart choice for travelers who want to use their phone while abroad. Because eSIMs are data-based, you’ll be able to send emails, browse the web, scroll your socials, stream videos and make data-based voice and video calls — all without having to pay the expensive roaming and data fees of your regular US-based carrier.

How a Nomad eSIM helps you save on international data

Nomad eSIM is different from the other eSIMs in that it offers an affordable plan lineup for every type of trip. Whether you’re going to Costa Rica for a week-long retreat or backpacking around Europe all summer, you can pick a plan that works for your specific needs — and budget.

If you’re visiting one destination, Nomad has you covered with daily, weekly and monthly data plans ranging from 1GB to more than 20GB with coverage in over 200 countries. Travelers can also choose daily unlimited plans for a week, and there are local plans for single-country trips or regional plans for multi-destination travel. Current prices on plans include hotspots like Thailand ($0.18/GB) and Iceland ($1/GB).

Get data plans tailored to your travel needs — and budget

If you’re exploring more than one country, the Nomad Global plan has weekly and monthly plans ranging from 1GB to 5GB and coverage in up to 112 countries. While global in reach, Nomad has intentionally focused coverage on the most popular travel destinations, helping to keep global plan costs more affordable. A 1GB, one-week Global plan starts at just $12, ideal for the occasional check-ins with loved ones and social media posts. Or you can opt for a 3GB or a 5GB Global plan starting at $26 or $36 respectively, and the data is good for one month.

eSIMs are great for frequent flyers and digital nomads, too

For backpackers, students abroad and digital nomads, the Nomad Global-EX plan offers handy six-month and year-long options that are good in up to 82 countries.

The highly affordable Global-EX offers a 10GB, six-month plan starting at just $30 and a 20GB, one-year plan starting at $50, plus the option to expand your data limit to 30GB or 50GB as needed. This plan eliminates the hassle of having to reactivate your eSIM for each trip, and it’s more affordable than other eSIM brands that offer similar data allowances for shorter durations.

And for those who prefer unlimited data, Nomad has recently expanded its offerings with 21 new unlimited plans. Perfect for travelers who don’t want to worry about running out of data or topping up, these plans start as low as $11 USD for 3 days of unlimited usage.

eSIMs provide instant, hassle-free connectivity

No matter which plan you choose, the Nomad eSIM is a snap to use. Simply download the app and activate the eSIM on your unlocked iOS or Android eSIM-compatible phone so you can get online the minute you land. There’s no physical SIM card, no contracts and no hassle.

Lock in a new Nomad plan today and score 20% off with the discount code NOMCNET20.