The Securities and Exchange Commission (SEC) and the Financial Industry Regulatory Authority (FINRA) are reportedly investigating unusual trading activity in the stocks of over 200 publicly listed companies that announced plans for crypto treasury initiatives this year.

A report from The Wall Street Journal last week revealed that some of the companies under scrutiny include Trump Media & Technology Group, GameStop and ETH treasury firm SharpLink Gaming.

Several firms experienced stock price surges ranging from 20% to 40% or more in the days or weeks preceding the announcement of crypto treasury deals, with some stocks surging by over 400% intraday.

This story is an excerpt from the Unchained Daily newsletter.

FINRA is reviewing broker-dealer communications for possible information leaks, while the SEC is tracking trades potentially linked to insider tips.

The WSJ report comes as crypto treasury firms have slowed down the pace at which they have been acquiring digital assets. 

Data from CryptoQuant shows that bitcoin treasury buys dipped to 15,500 BTC in September — less than half the amount acquired in July.