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Yahoo does ban the bot. But the problem is just like everything else. People make software to get past the ban. I have seen software that will make you, 20 yahoo accounts, spam all the rooms you want, when the bot gets booted it logs back on instantly and starts to spam the next room.
As far as effective, I tried it for a few days, and the only thing I saw was a bunch of kids comming to a site they should not have been at. So I stopped. I had my server set up to monitor my logs every 1 min at the time because I was literally tracking visitors as live as I could. It was great for stopping hackers and seeing in real time where my surfers where. It was interesting to see while I ran the bot my traffic would jump up over 100, 200, 300, 500 etc new visitors in a matter of minutes. But I never got 1 sale from them.
As far as karma goes, well that's up to the person, there are plently of webmaster who will say one thing and then do another. When times get tough people will do anything to keep business's alive.
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