Treasury Strategy Suspected to Be a Scam Amid Market Volatility

The treasury strategy raises questions about its legitimacy. Many companies have started purchasing ETH for their balances, mimicking patterns like Strategy selling stocks to buy BTC, but now extending to ETH, SUI, SOL, HBAR, and others. The basic scheme involves acquiring a non-operational company listed on Nasdaq, declaring it a 'SUI treasury company,' raising investments, and then using these funds to stake and lock tokens in exchange for real money. Insiders who organized these moves can cash out their locked tokens for profit, while retail investors buy shares in these supposedly 'dead' companies, exposing themselves to high volatility without real operational value. This pattern appears concerning, especially in a bear market context, where after a significant 50% drop, these companies and their tokens could face severe damage.