Thats the paradox I am referring to.
No micro company would ever be able to develop assets that increases value for shareholders, without 'pump and dump'
Let me explain:
You have 2 junior explorers.
They both need $2,000,000 for aircore drilling, and neither has any funds nor income other than share issue.
One has MC of $20mil, the other $4mil.
The one that was proped up by traders to 20mil, has to dilute by 20%
To pay for aircore drill, buy new tenaments, pay for work on other tenaments, etc.
Greatelly increasing chances of finding asset that will add value to the company.
Other has to dilute by 50%. Just to pay for aircore drilling, lowering it's value and further compounding future dilution.
It's unsustainable and leads to quick dillution and consolidation.
If you can't see the value for shareholders in 'pump and dump', then I don't know what else to say.
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