It has become a common practice to launch an ethereum token and just dump it .
A new token and a new airdrop is being done every day. A new project is launched, then airdropped. A telegram group is created where all sort of big promises are made. Every one is asked to make donations or buy the coins on etherdelta to support the project and raise the price and when dev feels he just dumps all the remaining coins and vanish.
I just can't forget that evening , when I was having discussion with ethergold dev in their discord group, he made so many promises and I went ahead and bought 1 eth worth coins. Next day morning when I wake up , everything was gone. There was no website, no discord .
Now these guys have started a new thing, they ask for 0.01 or 0.001 eth donation for donation. They call it anti scam check.
Even though the B2X was called off that day, a B2X on ether was launched .
Is there a way to stop this. Can we take any legal action?
If someone takes a legal action against one of these I think it would set an example and this might stop. But I know it will not be easy as there are countries which have no or very week cyber laws. But still I want to do something about this. Lot of newbies get burned due to this. Its bringing bad name to crypto too.
Its very sad to say , but the bitter truth is more than half of ICOs are mere shit . Everyday hundreds of ICO bounties are seen and out of them 10 might be genuine , other are just scams .
This has happened to many investors that they invested in some wrong/scam altcoin. But by doing this they ultimately learn their lessons .
To prevent this i would say , you must join the air drops and Icos of trusted managers as they would not like to have their repuation ruined for some scam . Other then that i would say , " do your research properly before indulging" . Look out for the market values and take suggestions from experts before diving in for scams.