SEC Halts QMMM Trading After 1,000% Rally Amid Manipulation Concerns
The US Securities and Exchange Commission (SEC) has charged Solana Treasury firm QMMM Holdings after a significant stock price increase of 1000% in 25 days.
- The SEC alleges the rally was driven by anonymous social media promotions following QMMM’s announcement of a $100 million diversified crypto treasury plan, including investments in Bitcoin, Ethereum, and Solana.
- Concerns over potential market manipulation and investor protection led to the trading halt, highlighting the risks of meme-stock-style speculation.
- The SEC stated that recommendations from unknown persons on social media might have manipulated QMMM's stock price.
- The suspension is temporary, expiring at 11:59 p.m. ET on Oct. 10.
Crypto Treasury Firms Gain Traction
- US SEC rules supporting the crypto industry have encouraged more Wall Street firms to invest in crypto treasuries.
- Approximately 200 publicly traded companies hold digital assets worth over $112 billion, with corporate Bitcoin holdings exceeding 1 million BTC.
- Corporate holdings of Ethereum, Solana, and other tokens surpass $10 billion, reflecting growing crypto adoption among businesses.
