Dragni Dragnev

Will Voip-Pal.com Inc (OTCMKTS:VPLM) Crash Now?

by Dragni Dragnev February 16, 2016

Voip-Pal.com Inc (OTCMKTS:VPLM, VPLM message board) managed to step over the dime threshold once more on Wednesday, and Thursday took it even higher – but it seems its momentum dissipated a bit by the time Friday rolled along.

One look at its current state of affairs quickly reveals the reason for this most recent stumble – and it is an obvious one, at that.

Simply put – the ticker rose on hype and hype alone. A lot of people got excited when VPLM announced that it it is going to sue Apple Inc. (NASDAQ:AAPL), Verizon Wireless Services, Llc., Verizon Communications Inc. (NYSE:VZ) , AT&T Inc.(NYSE:T), and AT&T Corp for patent infringements.

Allegedly, said companies inflicted damages on VPLM totaling approximately $7 BILLION, by using its technology.

One must admit that the announcement did make a good headline – it was bold and striking and boastful - all qualities that attract OTC Markets investor attention. Unfortunately, the only thing it did was cause hype – and as we know, hype seldom lasts last for more than two days.

And it was obvious from the get-go that the chances of this case being the exception rather than the norm were slim - especially once you gauge the chances in this particular legal battle. On one side, we have four tech mega-corporations, and on the other – a pumped up penny stock company with no revenues to date and under a million dollars in current assets.

The controversy surrounding the company's share structure related shenanigans doesn't do a lot to increase VPLM's credibility either. True, they have began waging a legal battle on that front as well, but the chances of winning it and producing results seem pretty slim, especially since it is fought against at least fifteen separate offshore companies and more than a few alleged foreign fraudsters.

Long story short – VLM's overall situation seems pretty grim. The possibility that the ticker's ascent is over and it will crash horribly, and do so sooner rather than later, is very real. Let the buyer beware.

 

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