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Bad sites can't sell any inventory if they honestly declared the domain name. So they lie. They pretend to be mainstream publishers in order to sell inventory on exchanges. Good publishers are harmed when ad dollars chase this "cheaper inventory" on exchanges (because the ad dollars are siphoned away to these fraudsters). Advertisers and marketers are harmed because they thought they bought from a legit site, but instead their ads were wasted on bots and fake sites.