the devil is in the details on this stuff.
There is nothing, really, to stop someone from
pay, dump
pay, dump
pay, dump
pay, dump
pay, dump
etc...
But remember influence on ratings depends in a big way on the number of games you play. If you are entering cheap tournaments, there are short races and you are not playing many games --maybe 8-12 games for a two-and-out tournament.
When you show up and play for that one event that matters to you, you play enough games to overshadow all of these.
When Fargo Ratings show up in any new area, there is always this discussion, and a few people who tell a few people who tell us about how hey are going to try to do this. We have actually tagged people and watched their performance, and we have ways of detecting anomalous performance as well. Despite the talk, we just haven't seen it. Once Fargo Ratings become the norm in an area and become widespread, these discussions tend to go away...