This Penny Stock Is Surging Big Time on a Tie-Up With Faraday Future and a Push Into Crypto. Should You Buy Its Shares Here?

Core Insights - Qualigen Therapeutics (QLGN) shares experienced a significant surge of approximately 200% after securing a $41 million investment from Faraday Future (FFAI) and its founder YT Jia, indicating strong investor enthusiasm for the company's rebranding to CXC10 and its pivot into crypto-Web3 [1][3] - Despite the initial spike, QLGN shares have since retraced much of the gains but remain up nearly 190% from year-to-date lows [2] - The partnership with Faraday, which holds a 55% stake and Jia's additional 7% under a two-year lockup, adds credibility and potential for growth to the newly rebranded CXC10 [3] Financial and Strategic Overview - The pivot towards crypto and Web3 introduces speculative upside, particularly with early gains from the C10 treasury and the promise of AI-driven trading via BesTrade [4] - The transition represents a significant departure from the company's biotech origins, raising concerns about execution and long-term viability [4][5] - Qualigen Therapeutics has a history of operating losses, limited revenue, and a strained balance sheet, which could lead to dilution risks [5][6] Valuation and Market Position - Valuation remains challenging due to the lack of proven product-market fit in the crypto space, with only a 7% gain on its treasury being inconclusive [6] - Regulatory uncertainty, execution risk, and speculative elements contribute to the perception of QLGN stock as a high-risk investment [6]