{"content":"Recently, I’ve been in touch with several experienced industry veterans, and today I’ll break down how the “game” of cryptocurrency and stock companies actually works. Let’s imagine you have $10 million in hand. Step 1: You spend $5 million to acquire a shell company listed on NASDAQ. Many so-called “crypto projects” are backed by these shell firms — companies that have no real operations, just a listing qualification. They’re cheap to buy, essentially a way to purchase a legal ticket to the public market. Step 2: You hand the remaining $5 million to a financial advisor or investment bank (FA) to help boost the stock price. They create a compelling narrative, polish your company’s image, and help you raise $BTC 100 million in the market. Now, your company’s market cap is $BTC 100 million. Step 3: You then use that $1000X 00 million to buy cryptocurrency and announce the creation of your own “crypto strategy” or fund — like launching an “XX Coin MicroStrategy.” You short part of your crypto holdings to hedge the risk, so whether the market goes up or down, your position remains stable. On paper, your company’s assets hold steady at $100 million, keeping the market cap intact. Step 4: The market catches wind of your move. Your company is now tied to both crypto assets and hot US stock/ETF themes, so retail investors start piling in, pushing your stock price higher and higher. Step 5: Once the hype peaks, you begin to cash out, selling your inflated shares for profit. Meanwhile, other institutions on Wall Street see this and think, “Genius! This actually works!” So they start copying it — buying shells, hyping stories, acquiring coins, and hedging positions. The result? Hundreds of billions of dollars flood into the crypto market from Wall Street, hedge funds, and the stock market. These funds keep buying coins to hedge, driving up crypto prices. As crypto prices rise, related concept stocks in the US soar as well, feeding another cycle: sell stocks → buy coins → pump again.","images":["https://d35imkjvkj28kt.cloudfront.net/uploadfile/article/blog/2025102025/10/16/27aedc1fddfe40d6ada2ab33d2437db0.png"],"tags":[],"tradingPairs":["BTC/USDT"],"quotearticleid":0}