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Free market? He was advertising a product then selling that product 4 times diluting the product without disclosure. Not to mention stealing money.

No different than a bank leveraging deposits 9:1.
Did he use force to make people use the service?

He sold a product without disclosing it wasn't what was being sold.

It's like selling a Mustang, but instead of putting in a V8, putting in a V4 without disclosing it and all sales are final.