Abstract
This paper investigates investor reactions to corporate disclosures of crypto assets. We find that investor reactions are negative and insignificant in the 3‐day event window, while the reactions become positive afterward in the 5‐day event window. This suggests V‐shaped reverse reactions to the disclosures. We further investigate investor reactions to the different types and information quality of disclosures. The V‐shaped reverse‐reactions are statistically significant in 8‐K, 10‐Q, and 10‐K filings. In addition, investors are likely to react to Form 8‐K disclosures and disclosures with greater information quality. Our results have important implications for regulators and managerial practices regarding the disclosure of corporate investment decisions.