The night before last, after-hours trading in U.S. stocks witnessed a bloody capital hunt against retail investors in broad daylight! The game technology company SharpLink Gaming (stock code: SBET) suddenly faced disaster—a cold SEC document exposed a collective flight of its core PIPE investors, causing the stock price to plummet by 70% like a broken kite! In front of the brightly lit trading screens, there are only wreckage and countless accounts that were instantly 'harvested.'

SEC documents detonated a nuclear bomb, and PIPE investors became ruthless selling machines.

According to this FORM 8-K document submitted to the U.S. Securities and Exchange Commission (SEC) (Note: Major event disclosure document), it is clearly revealed that the main investors of SharpLink's previous 'lifeline'—PIPE financing (private investment after listing)—have quietly initiated a large-scale liquidation process! The legal language of the document is rigorous yet chilling, clearly stating that these capital giants, who hold insider information and cost advantages, are mercilessly dumping their holdings onto the public market.

The essence of PIPE is revealed: A pre-sale vibe in the cryptocurrency space? The Wall Street sickle is even colder!

What is PIPE? In short, it is the issuance of shares through private placement to specific institutional investors after a company goes public. These investors usually obtain shares at a significantly discounted price compared to the public market (comparable to the ultra-low discounts of cornerstone rounds and private placements in the cryptocurrency space).

The 'art' of the lock-up period: Once the nominal lock-up period is over, or by exploiting rule loopholes, these 'smart money' can place sell orders ahead of retail investors without their knowledge.

The bloody truth: When low-priced chips flood the market, stock prices collapse become the only end. Ordinary investors, whether retail investors in U.S. stocks or players in the cryptocurrency space, are reduced to the last batch of 'leeks.' Last night's cliff-like plunge of SharpLink is the naked harvesting textbook under the PIPE mechanism!

The alarm in the cryptocurrency space rings loud: Private placement unlocking = time bomb? The SharpLink tragedy is just the tip of the iceberg.

The 70% evaporation of SharpLink is by no means an isolated case. This 'low-price entry, high-price cashing out' harvesting logic is very familiar in the crypto world.

VC/PE acquire project token shares at low prices → Once the lock-up period ends, they sell off wildly → The coin price crashes, and the community is in despair.

"The chaos of 'cryptocurrency PIPE': Some project parties conspire with capital to harvest under the guise of private placements, with loopholes in rules, information asymmetry, and concentrated chips, all of which are daggers aimed at ordinary holders.

Deep Chain Sharp Review: Wall Street and the cryptocurrency space, the essence of harvesting has never changed.

The tragedy of SharpLink returning to zero overnight tore open the capital fangs hidden beneath the finely tailored suits of traditional finance. It sends a harsh warning to cryptocurrency investors:

Beware of any form of 'low-price private placement privileges': Whether it's U.S. stock PIPEs or token private placements, the ultra-low discounts often hide the pressure to sell.

Lock-up period ≠ safety period: Rules always favor capital. The scenario of a plunge immediately after unlocking is played out in every market.

Information is power: The SEC filing still has disclosure mechanisms, and the lack of transparency in the cryptocurrency space puts retail investors at a significant disadvantage.

When SharpLink's candlestick chart turned into a steep cliff, it reflected not only the cruelty of the U.S. stock market but also the essence of the global speculative market's survival of the fittest. The wolves of Wall Street and the crypto giants may have different harvesting methods, but their bloodthirsty desire for profit is the same. For you and me in the cryptocurrency space, it is time to wipe our eyes with SharpLink's blood—only by understanding the rules and respecting risks in the game of capital can we avoid becoming the next meal in the feast.

"The history of financial markets proves that so-called 'innovative' financing tools are often old wine in new bottles, always filled with capital's greed for profit." — An anonymous Wall Street trader lamenting the SBET predicament.

#以色列伊朗冲突
Currently, the market is in turmoil; walking alone is lonely. Follow me for daily spot potential layouts and bull market strategy layouts.