Tech Company With $39 In Assets Now Worth More Than $6B

Are we in a bubble? We’re in a bubble.

CYNK Technology, a ‘company’ with a grand total of $39 in assets, has seen its share price rise dramatically, spiking to a valuation of more than $6 billion in a matter of days. The company’s 52-week low valued the firm at less than $18 million.

Haven’t heard of CYNK? You are not alone. Despite having a valuation higher than Groupon’s, CYNK is an unknown. That’s because when it comes to being a real business, it isn’t. The ‘technology’ firm is in the midst of what appears to be a scheme to bounce its shares north, swindling those who buy into the company at inflated prices to the benefit of those orchestrating its rise.

What Is A $CYNK?

The company lost $6,241 on revenue that appears to be zero in its most recent quarter. Its largest line item? $5,500 for ‘Professional fees.’ The company recently moved its headquarters to Belize City, Belize.

According to Google Maps, its address is now at this building:

So what the hell is going on? According to Seeking Alpha, CYNK has been recently pushed by “paid promoters,” which makes some logical sense.

Here are a few sample tweet blocs that were sent in June in an attempt to boost the company’s shares:

The verbatim text was also sent out by a number of other accounts, on the same days, including @Prime_Picks, and @MichaelMillion. Those tweets may help explain why there was a surge in the company’s value in June — it looks like a classic pump-and-dump scheme.

Why is CYNK spiking now? It appears that CYNK’s main product, Introbiz, was recently upgraded. Here’s its own press release:

June 27, 2014 – Los Angeles ? Cynk Technology Corp. (OTC Symbol: CYNK) is pleased to announce they have completed the server upgrade to their website www.introbiz.com The website recently also went through a technical upgrade to be able to adequately handle the anticipated flow of visits in the upcoming months.

And that’s it. I visited the website and signed up. As far as social networks go, it’s quite feature-free. It’s also as compelling as a large bucket of warm spit. I sent in a number of questions regarding its proposed function through the service’s form, but haven’t heard back.

I’ve seen things that are worth $5 billion. Introbiz isn’t one of those things. Investors cannot be betting that its product is worth more than a few nickels, so it seems that CYNK is growing because, well, it is.

Bubble, Round Two

This isn’t the first time that CYNK has managed a massive pop, oddly enough. Check the company’s full-life stock chart (Data: Google Finance):

A few things here are worth considering: The company is worth less than zero, given continued losses, no incomes, and $51,611 in liabilities. And yet things are going straight batty. The long and the short here — ahem — is that this bad boy is going right back down to zero.

As Business Insider pointed out yesterday, the trading on the stock has been thin, even in its bull run:

According to Google Finance, just less than 100,000 of its 291 million outstanding shares traded hands today. Yelp, another social media company worth about $5 billion, saw 4.7 million of its 60.9 million outstanding shares trade hands today.

Adding to the fun is this letter, prepared by a lawyer on behalf of the company, which claims that the company meets relevant disclosure requirements, and notes that the company’s Javier Romero owns 210 million shares in the company that he bought in February from the company’s “former sole officer and director.” The company has 291 million shares outstanding, according to Google Finance. Thus, the lion’s share of its recent gains have gone to Romero.

This is a strange, inscrutable tale. The company is up more than 40 percent today, for reasons that beggar the imagination.