If you practice wholesaling like 95 percent of people on BP and not actually buying the property you will be practicing real estate without a licenses but that doesn't matter because you won't get caught and the government doesn't have the resources to go after you. You simply sign a contract that says you are buying the property and someone else can assume the contract. Then convince yourself you now have an ownership interest in the property and that this protects you legally. If a realtor does this it is called a "net listing" an it is illegal, they would be fined, loose their license, and could go to jail. But, you are a wholesaler so the rules don' t apply to you! You don't have to have any ethics! You don't need earnest money. The law doesn't apply to you! You are so much smarter than the dummies who have gotten their brokers license and actually studied real estate law. 

The truth is what people are doing is mostly illegal and immoral and unethical  but it really doesn't matter. You will get away with it. States don't put any effort into enforcing there real estate laws.