Publicly-available information about microcap stocks (low-priced stocks issued by the smallest of companies), including penny stocks (the very lowest priced stocks), often is scarce. This makes it easier for fraudsters to spread false information. In addition, it is often easier for fraudsters to manipulate the price of microcap stocks because microcap stocks historically have been less liquid than the stock of larger companies and often do not trade on a national securities exchange",

What are some warning signs of microcap fraud? Read more:

Microcap Fraud | Investor.gov

If you receive an unsolicited stock promotion, be cautious. Whoever is promoting the stock may stand to profit at your expense from pumping up the stock price and then selling shares. Fraudsters often use emerging technologies or industries - including crypto assets - to entice investors as part of a fraudulent or manipulative scheme.

(www.investor.gov)