I ran into what apparently is the same scam, but for shipping: https://twitter.com/gwern/status/1009609380877225984 You offer a reasonable price for the item and then charge $1k for shipping or something like that, and apparently Amazon will enforce it.
Common scam on Instagram too. Run a "contest" that anyone who likes a photo immediately "wins". They choose 6 out of 20 products as a prize, with listed values from $10-60, but actually mass produced in China for <$3. All good until you enter your shipping information, and shipping is $30.