Recognize pump and dump fraud and take steps to recover
Fraudsters capitalize on hype and trickery, targeting investors and disappearing with their money. If you’ve fallen victim, don’t despair—InterClaim Alliance is ready to assist you in recovering what belongs to you.
Start your claim
How does a pump and dump scam work?
Pump and dump scams occur when influencers or investors generate excitement about a stock or cryptocurrency through false claims or exaggerated statements.
What triggers the start of a pump and dump fraud?
First, scammers engage in the initial “pump” phase by selecting or creating a low-market-cap stock that’s susceptible to manipulation. They then generate buzz by spreading false information and hype on social media to increase demand. As more investors jump in, the price rises even further.
What occurs after that?
When the price reaches its highest point, scammers “dump” their shares by selling them at the inflated value. This leads to a sharp decline in the stock’s price, leaving investors holding worthless shares and facing major financial losses.
What follows afterward?
Once scammers sell off their shares, the stock’s price usually plummets back to its initial value or even below. Meanwhile, the fraudsters often make significant profits, leaving ordinary investors to suffer the financial damage.
How can you identify pump and dump scams?

Bold claims and sudden price surges
Exercise caution with investment advice or “hot tips” that guarantee fast, substantial returns. If a stock’s price is rapidly rising without obvious causes—such as significant news or new partnerships—this might be a warning sign.
Pressing you to act quickly
Fraudsters frequently try to hurry you into investing, presenting it as a rare, time-sensitive chance. Genuine investments don’t depend on aggressive pressure. If you find yourself feeling rushed, pause and reconsider before making any decisions.
Check all facts carefully
Always conduct thorough research before making any investment. Seek out reliable sources of information and don’t depend only on social media or anonymous tips. Be wary of investments with limited trading history, and make sure to use trusted, regulated platforms for your transactions.