Nasdaq-Listed Small Companies Claiming to Buy XRP, SOL are Scams: VanEck
Some little Nasdaq-listed companies declaring they’ll purchase big quantities of XRP or Solana (SOL) might be pulling off pump-and-dump schemes, according to VanEck’s Head of Digital Assets, Matthew Sigel. These companies typically have very low market values but state they plan to raise hundreds of millions, even billions of dollars to buy crypto. However, Sigel […]
Some little Nasdaq-listed business declaring they’ll purchase large amounts of XRP or Solana (SOL) might be pulling off pump-and-dump plans, according to VanEck’s Head of Digital Assets, Matthew Sigel.These companies typically have really low market price however state they prepare to raise hundreds of millions, even billions of dollars to buy crypto. Sigel stated, “Expert pump and dump efforts, many of them. I presume it’s a fraud if the market cap is de minimus and there is no disclosure of brand-new anchor investors.” For instance, a Singapore-based Trident Digital Tech announced on June 12 that it would attempt to raise approximately $500 million to create a large XRP treasury. It stated it will establish this as one of the world’s very first large-scale business XRP Treasuries and plans to appoint Chaince Securities LLC as the strategic advisor. When this was announced, the company’s shares were trading for less than 40 cents, and its market value was around $16 million, according to Yahoo Finance. Earlier this month, Classover Holdings Inc., a little education tech company, also announced plans to raise $500 million to build a Solana treasury. Its shares trade for under $4, and its market cap is under $100 million. Around the same time, Webus International, a China-based company in the automotive and hospitality space, said it wished to produce a $300 million XRP treasury. Webus also trades under $3 a share and has a market cap below $100 million. One of the biggest announcements originated from DeFi Advancement Corp., which said it made a deal to offer up to $5 billion in shares to fund a Solana treasury. The buyer, RK Capital Management, is based in Denver and describes itself on LinkedIn as managing $500 million in small-cap assets. DeFi Dev’s stock has skyrocketed recently. It jumped from a $7 million market cap in March to about $379 million in June, according to Yahoo Finance. The company stated in a report, “DeFi Dev Corp. remains laser-focused on executing our Solana treasury strategy.” Sigel was among the first to raise comments on these sorts of announcements. Last month, he posted on X about a $3 million market cap company planning to buy $800 million in BTC and TRUMP coin. He blurred out the ticker, saying such claims didn’t deserve attention. When a $3M market cap US-listed penny stock with all Chinese management announces plans to purchase $800M of BTC & TRUMP coin, you don’t post the ticker. pic.twitter.com/TbwGT8bSU4— matthew sigel, recovering CFA (@matthew_sigel) May 15, 2025″ When a $3 million market cap US-listed penny stock with all Chinese management announces plans to purchase $800M of BTC & TRUMP coin, you don’t post the ticker.” He said. Also Read: SEC Meets Solana MEV Devs to Discuss Crypto Policy
