MedSwipe Inc. (OTC:MWIP) Soars 15 times, What Next?

Online technologies and medicine tend to care for the comfort of people, and now a free promotion tries to push a comfortable-looking stock, the MedSwipe Inc. (OTC:MWIP). The company offers special payment processing services, targeted to medical practitioners and patients. Along with all known payment technologies via POS or web, MedSwipe offers regulation-compliant system of patient records for medical marijuana users. 

The company does not offer anything revolutionary in terms of technology, and it has little resources to provide anything significant:

• $812 cash

• $260,911 current liabilities

• $246,859 net loss

• $6.6 million market capitalization as of December 18th

Outside of its relationship with the medical marijuana industry, it seems MedSwipe is another internet company offering payment processing technology, and it burns through cash in a bid to generate enough activity and rise above the many small businesses promising a targeted service. The main hype coming from promoter HotShotStocks is the amazing climb of MWIP, up from double zeros to 0.015 in the past three months. At that time, the company was not pumped, but attracted interest by riding the medical marijuana hype and sending out regular press releases on well-visited business news sites.

Yesterday, the stock closed up 50% to 0.015 cents on rather active volume- 60 million stocks traded. With more than 440 million shares outstanding, any downward trend may be further worsened by selling. The company is on its seventh name-change, previously dealing with medical marijuana again as Cannabis Medical Solutions, Inc. While this may not be decisive, frequent name changes are a red flag for a business lacking some stability.

MedSwipe Inc. is an unknown compensation promotion, probably even free, so our best guess is that the pumpers are trying to lift up their record and take credit for the rapid climb of the double-zero price.

The MWIP ticker was promoted by Moving Pennies as well, a pumper with a nice record of picks that cost investors a lot, when they were not careful. The pumper was involved in another much-hyped industry, stevia growing, and promoted the Global Stevia Corporation (PINK:GSTV). Although the company showed some possibility for positive development, its stock tanked badly at the end of the promotion.