Should we expect a dump ?
Or maybe they're the ones buying up shares. Or their relatives. The downside of the lack of regulation is we'll never know.
Regulations stop relatives from investing in companies?
They stop them from buying or selling shares on the basis of "insider information" I.e. they can buy shares, and they can learn insider information, but they can't buy or sell shares based on that information.
That's what Martha Stewart was investigated for. The company learned it would not be getting FDA approval, and the CEO sold a bunch of shares. Her broker told her about the sale, and she sold as well. Then she lied about it to the FBI and erased phone records. Then she went to jail for lying to the FBI. (Had she told the truth, she likely would have gotten a fine or something. Oh well)