Pronunciation: [kˈa͡ɪtɪŋ] (IPA) 
The spelling of the word "kiting" may seem confusing due to its pronunciation. The IPA phonetic transcription for "kiting" is /ˈkaɪ.tɪŋ/. At first glance, it might look like it should be spelled "kyting" or "kightng." However, the "i" in "kiting" represents the "long i" sound, which is why it is spelled with an "i" instead of a "y." The "t" and "i" are pronounced separately, giving it the "ting" sound at the end.
Kiting, in its broadest sense, refers to the practice of manipulating financial transactions or records for personal gain, often at the expense of others. It encompasses various fraudulent activities conducted primarily in the context of banking, finance, or trading.
More specifically, in the context of the banking industry, kiting involves the deliberate creation of artificial funds by exploiting the time gap between debits and credits in different bank accounts. This often entails initiating transactions from one account with insufficient funds, while concurrently transferring or depositing funds from another account to cover the shortfall, resulting in a temporary "floating" balance and an inflated perception of available funds. By exploiting this system, individuals engage in fraudulent practices to write checks or make payments exceeding their actual account balance.
In the field of trading, kiting takes on a different connotation. It refers to the act of artificially inflating the value or perceived demand for a particular security, such as stocks, by placing multiple buy orders for a security and canceling them before they can be executed. This manipulative technique creates a false impression of increased buying interest, enticing other investors to participate and potentially driving up the security's price.
Overall, kiting involves the deliberate deception or manipulation of financial systems and transactions with the aim of achieving personal gain or advantage. It is considered fraudulent and illegal, often resulting in severe penalties and legal repercussions.
The word "kiting" has its origins in the activity of flying a kite in the air. However, it also has a different meaning in finance, specifically referring to an illegal practice of intentionally writing a check or issuing a payment without sufficient funds in the bank account, with the hope of depositing new funds to cover it before the transaction is processed. This fraudulent practice gave rise to the use of the term "kiting" in the financial context. The connection between flying a kite and the fraudulent activity lies in the idea of something being kept aloft, in this case, funds being artificially inflated or floating in the banking system for a temporary period.
