The U.S. Securities and Exchange Commission (SEC) advised investors to "Say NO GO to FOMO" in a post on X, which is part of a renewed effort in response to potential over-exuberance among retail traders with the crypto markets heating back up.
The SEC's post, which was made on May 13, brings attention to digital assets and meme stocks. The SEC's message is not just a fun one, but contains a more serious message — where investors are cautioned to not be influenced by trends, influencers, or viral hype when making investment decisions.
“Just because your favorite influencer or celebrity is endorsing something doesn’t mean it’s the right investment for you,” the SEC posted on its educational site, Investor.gov .
The agency reiterated the importance of having a well-diversified portfolio, not following trends in the short-term, and building a respectable long-term prospect instead of simply pursuing speculative highs.
The SEC maintained a very definitive approach to crypto under what was then Chair Gary Gensler. The SEC reprimanded Ripple Labs, sued Coinbase, organized for multiple tokens to be labeled as unregistered securities, and many other notable events.
With Paul Atkins in charge, the tone has changed. Atkins has communicated openness to digital assets, a clear regulatory framework, and even more means not previously available to do so. The recent FOMO warning also shows the agency still wants investors to exercise caution.
As per Kraken’s price feeds, Bitcoin is trading at $104,676, up 2.6% in the last 24 hours and 10.3% over the past week. Ethereum has surged 8.7% daily, now priced at $2,674.25. The global crypto market cap stands at $3.52 trillion, marking a 1.6% increase.