Shilling is defined as the act of using propaganda to promote something for a financial incentive.
Shilling is a negative word often used when a person promotes something so they can earn money. But shilling can also be used when a person makes negative, sometimes false, accusations about something.
With cryptocurrencies, shillers tend to promote the crypto so that interest grows, people buy it, and the price increases.
Here are 3 potential reasons a person may shill a crypto:
- A shiller may be an influencer and was paid to promote the crypto.
- A shiller may be part of the team who helped to develop the crypto and wants to see it succeed.
- A shiller may have bought some crypto and hopes to sell it at a profit. He tells many people how great it is so they buy it, which increases the demand, and then the value goes up.
- A shiller may want a competing crypto to fail so his becomes more valuable. He tells many people how bad the competitor is which causes them to sell the competitor and buy his crypto.