SEC FINRA Investigate 200+ Firms for Pre-Announcement Crypto Treasury Stock Spikes

U.S. regulators, including the SEC and FINRA, are investigating unusual stock price spikes and heavy trading activity preceding announcements from over 200 companies adopting crypto-treasury strategies. These inquiries focus on whether material non-public information was selectively leaked, potentially violating Regulation Fair Disclosure (Reg FD), which mandates equal information dissemination to investors. The probe follows a pattern where companies experience sharp stock movements just before declaring significant investments in digital assets like Bitcoin and Ethereum as part of their balance-sheet reserves. This trend, popularized by firms such as Michael Saylor's Strategy, has drawn over $20 billion in venture capital funding this year, but also raised concerns about market manipulation and transparency. While the SEC has signaled a shift toward clearer rules for the crypto industry, these investigations indicate continued regulatory vigilance. Companies contacted by regulators are under scrutiny for possible enforcement actions, though no specific charges have yet been announced.