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XRP and Solana Frenzy Sparks Explosive Stock Surges in Micro-Cap Companies
- Micro-cap companies like Trident Digital and Addentax are announcing billion-dollar XRP and Solana plans despite having tiny market caps.
- Analysts, including VanEck’s Matthew Sigel, warn these moves resemble pump-and-dump schemes rather than genuine crypto strategy.
- DeFi Development Corp. surged from $7M to $379M in market cap after a questionable $5B Solana treasury claim.
- XRP is at the center of a new wave of speculative announcements as low-cap companies rush to declare massive crypto treasury plans.
- Many of these announcements are seen as stock manipulation tactics by analysts.
- Trident Digital Tech claimed it would raise $500 million for an XRP treasury despite having a market cap of just $16 million.
- VanEck's Matthew Sigel believes these announcements are likely pump-and-dump schemes orchestrated by insiders.
- Addentax Group, a Chinese company with a low market cap, made a dubious claim of buying $800 million worth of Bitcoin and another coin.
- Further small firms like Classover Holdings and Webus International are also pushing billion-dollar XRP and Solana treasury plans.
- DeFi Development Corp. announced a $5 billion Solana treasury deal, seeing a significant market cap increase fueled by hype.
- Analysts note the difference between these bold declarations and legitimate strategies like MicroStrategy's approach to crypto investments.
- The pattern observed involves driving stock prices up with grand crypto investment announcements to benefit insiders.
- Caution is advised for retail investors as these speculative tactics may pose risks.
- Amid escalating XRP-related activities, due diligence is emphasized in light of exaggerated crypto treasury plans by penny-stock firms.
- The joint motion in the Ripple-SEC case seeking a resolution on a $125M escrow adds to the ongoing XRP-related saga.
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