There is a separate thread where PWCC is trying to work with ebay to crack down on these shenanigans, but there are at least a couple of ways where this can work.
(1) Buyer consigns a 20K card bought in May from an AH. He consigns it to PWCC (or some other AH / consignment shop). During the auction, he "creates a 25K hidden reserve." He does this by creating a dummy ebay account or having a friend bid for him for this card to $25K. If the bidding clears $25K, consignor makes a profit. If it does not clear $25K, dummy account or friend does not pay for item. Card is returned back to consignor unsold with no fees paid. (For insurance, he should have a separate account bid just under $25K so that any Second Chance Offers will also be rejected.)
(2) Same scenario as above, but consignor has two dummy accounts bid the card up to $25K. Consignor wins the auction, and pays for the card, and eats the $25K * 8% fee. However, this card now shows as a sale at that new price point in VCP. He then uses that price to sell this card to another buyer for a profit using VCP data during the negotiations.
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