Grassroots Capital & “Professor Putt” – Alpha Stock Pump-and-Dump Scheme Exposed

Pump-and-dump schemes have re-emerged in a more sophisticated form, often disguised as “alpha stock research” or exclusive institutional trading strategies. One operation now repeatedly reported by victims involves Grassroots Capital, promoted by an individual referred to as Professor Putt.

This article explains how the scheme operates, how low-volume “alpha stocks” are manipulated, and why investors should treat any Grassroots Capital or Professor Putt promotion as high risk.

How the Grassroots Capital Scheme Is Introduced

Victims report being recruited through:

• WhatsApp, Telegram, or private chat groups
• Direct invitations claiming access to “alpha stock intelligence”
• Presentations framed as professional stock research

The pitch typically promises:

• Early access to undervalued U.S. stocks
• Institutional-grade analysis
• Short-term price appreciation with limited downside

The language is deliberately framed to sound research-driven, not speculative.

Who “Professor Putt” Is Claimed to Be

Inside these groups, Professor Putt is presented as:

• A senior market strategist
• An expert in identifying “alpha stocks”
• A mentor with a strong track record of market timing

However:

• No independently verifiable credentials are provided
• No regulated advisory registration is disclosed
• Communication is restricted to private groups

This type of authority construction without verification is a classic red flag in market manipulation schemes.

What Are “Alpha Stocks” in This Scheme?

In legitimate finance, “alpha” refers to returns above a benchmark.
In this scheme, the term is misused to describe low-volume, thinly traded stocks that are easy to manipulate.

These stocks typically have:

• Very low daily trading volume
• Small market capitalisation
• Limited analyst coverage
• High susceptibility to sudden price spikes

One example repeatedly cited in victim reports is FMFC, used as a case study in group promotions.

How the Pump-and-Dump Works

The Grassroots Capital / Professor Putt scheme follows a familiar structure:

1. Accumulation Phase
   Early insiders or promoters quietly acquire shares of a low-volume stock.
2. Promotion Phase
   The stock is aggressively promoted inside private groups as an “alpha opportunity.”
3. Price Spike
   Group members buy in simultaneously, driving the price up due to low liquidity.
4. Exit Phase
   Insiders sell their holdings at elevated prices.
5. Collapse
   The price rapidly falls, leaving late participants with losses.

Victims are often told:

• “Hold for the next target”
• “Volatility is normal”
• “Institutions are accumulating”

None of these claims are independently verifiable.

Why Low-Volume Stocks Are Ideal for Manipulation

Low-volume stocks are especially dangerous because:

• Small buy pressure can cause large price swings
• Price charts can look artificially bullish
• Retail investors are misled by sudden gains
• Exit liquidity disappears quickly

By the time most participants attempt to sell, there are no buyers.

Key Red Flags in the Grassroots Capital Scheme

Victims consistently report the following warning signs:

• Stock tips shared only in private groups
• Urgency to buy immediately
• Claims of “guaranteed” or “controlled” upside
• No risk disclosure
• No registered investment adviser
• Shifting blame to investors when losses occur

Legitimate equity research does not operate this way.

Why This Is Not Legitimate Stock Investing

Real investment research involves:

• Public disclosures
• Independent analysis
• Transparent risk discussion
• Regulated advisory structures

Grassroots Capital promotions rely on:

• Secrecy
• Authority figures
• Herd behavior
• Illiquid securities

This is market manipulation, not investing.

What To Do If You Participated

If you bought stocks based on Grassroots Capital or Professor Putt recommendations:

1. Stop following further stock signals immediately
2. Preserve all chat messages, trade confirmations, and timestamps
3. Avoid averaging down or chasing losses
4. Do not pay fees to access “next opportunities”
5. Seek professional guidance through Forteclaim Recovery Firm

Early documentation improves options for reporting and recovery evaluation.

Final Assessment

Grassroots Capital and the individual known as Professor Putt display all the hallmarks of a pump-and-dump stock manipulation scheme, centered on low-volume “alpha stocks” designed to enrich early promoters at the expense of retail participants.

If you are researching this group before participating, the safest decision is clear: do not proceed.
If you were already involved, immediate action is critical.