How Insider Selling Affects Investor Confidence in Crypto IPOs
Insider selling is one of those topics in the crypto realm that can send investors into a frenzy. Just look at Coinbase’s recent share sales; it didn’t just move numbers, it stirred up perceptions and future investment decisions. Let’s dive into the impact of insider selling on investor sentiment in crypto IPOs, dissect the contributing factors, and explore how investors can maneuver through this tricky landscape.
What Is Insider Selling in Crypto IPOs?
For the uninitiated, insider selling is when executives, directors, or employees of a company sell shares. In the world of crypto IPOs, this activity can be a red flag, hinting at potential worries about the company’s future or liquidity issues among insiders. Given the crypto market’s…