We’re living in a time of fake news. And the latest victim in the cryptocurrency scene is Litecoin. On Monday, a press release by GlobeNewswire stated Litecoin had partnered with Walmart. This put crypto enthusiasts in a frenzy. However, the ecstasy was short-lived. Here’s how it went down.
Does Walmart want to partner with Litecoin?
The official response is no. “Walmart has no relationship with Litecoin,” said the giant retailer on its website. Walmart called it a “Fake Litecoin Press Release” when making an official response to the partnership allegations.
What was GlobeNewswire’s reaction?
GlobeNewswire created a quick notice stating that readers and journalists should disregard the press release.
The big question in everyone’s minds is this: How exactly did the hoax get to GlobeNewswire? Or is GlobeNewswire just another channel that people use to spread fake news?
It’s still unclear how the news got to the press release site. And to make things clear, GlobeNewswire is not one of those cheap channels that people use to spread sensational fake announcements. Instead, it’s a legitimate press channel used to distribute press material from brands.
Because of this legitimacy, other major news sites quickly picked up the Walmart-Litecoin story and pushed it out widely. Consequently, Litecoin price shot up by over 20% before slumping back down.
Litecoin foundation had also made a tweet linking to the news release — but it later deleted that tweet.
The actual story
The hoax stated that Litecoin had partnered with Walmart. And that from 1 October, Walmart would accept Litecoin on all its ecommerce platforms.
It appeared like the founder of Litecoin, and the chief executive of Walmart, were applauding this feat. There were actual quotes from each to prove their excitement.
CNBC reached out to Walmart representatives to uncover more details about the partnership. That’s how they found out that the entire story was a lie. There was no such partnership in progress. Soon, many other sites got the true version of the story and quickly informed their audiences of the hoax.
Of fake releases, crypto scams, and other clever schemes
Fake announcements are not new. Cryptocurrencies are still considered sensational. News releases can make the prices surge upwards or tank. What’s strange is the extent that crypto scammers and careful schemers are willing to go to influence the cost of digital assets.
Crypto enthusiasts are still shocked about Monday’s “fake news” incidence. It was more high profile than other fake press releases. It shows us that scammers are changing tactics since old methods are not working anymore.
If you’re interested in investing in LTC, check out our guide on how to buy Litecoin online.
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