King Resources Inc (KRFG)

[trader59]

Go to OTCMarkets.com, look up this ticker. You'll see a Stop sign, Dark or defunct. That means the company has been dead for some time and not filing financial information. That should be enough for the inexperience you spoke of.
Hit the "disclosure" link. You'll see 2 very recently filed financial reports, tossed together to show the business has, indeed, been very dead. In the OTC, when somebody starts rattling off financial disclosures, somebody wants to sell stock.
Click on that Annual Report link:
https://backend.otcmarkets.com/otcapi/company/financial-report/212623/content
It's important to figure out in the OTC who wants to sell stock. In this case, there's 3B common shares Approved (A/S) and 1.97B of them issued and outstanding (O/S). However, according to the Security Details on OTC Markets, about half of those are not in the float (actively trading). Given the dormant business, it is very likely that any required holding period for those 1B shares has been satisfied. So there's the first 1B shares that can enter the float/be sold into the market.
Next, look for convertible debts (page 10), as those debt holders may have found someone to take over the company to help them sell their stock. This company has $450k of convertible debt, convertible at a price of $0.0005 per share, or 900M shares convertible on demand as the debts are very dated. So there's another 900M shares to be sold into the market.
Next, look for convertible preferred shares (pages 5 and 11), as the holders of those have often been the people "behind the curtain" converting and selling their holdings into the market during the pump. For this company, there are 10k Preferred A shares convertible at a rate of 100 to 1, or into 1B common shares. Those shares have been issued and outstanding for quite some time, dating back past 2014, so any regulatory holding period has been satisfied easily. The holders of those shares are not named, though it is likely they were former affiliates of the company from back before it went dormant. That's another 1B shares that can be sold into the market.
The convertible B shares were just issued, and while they are convertible at a ratio of 1000 to 1, it is likely they're being used as the "voting control" shares, held by an affiliate. Whoever holds those (likely the CEO) has 10B votes on any corporate decisions.

So, we have about 1B shares that are in the O/S but not in the float that can be sold into it, we have 900M shares that can come in from the convertible debt holders, and another 1B shares after conversion held by an anonymous holder of Preferred A shares. No doubt in my mind there's going to be a sale of a significant amount of stock. There's only 1B left in the A/S, so at least they won't be able to sell it all in without some sort of amendment.

You can bet that some magical business "over there" will be bolted onto this empty shell to be the catalyst for the share price holding in an acceptable window for that stock sale to occur. It won't be real, just constructed well enough (with copious numbers of PR's repetitiously plastered on the board) to sound plausible but impossible to verify on your own because, well, it's "over there." The seller(s) will get plenty of money out of this, a billion shares at a tenth of a penny is still $1M, and they'll play hard for more. Then it'll go dead again.