The U.S. Securities and Exchange Commission is considering whether to require more transparency of short-selling, the Wall Street Journal reported on Wednesday, after last month's social media-driven rally in a handful of stocks like GameStop Corp.
The regulator will also examine the network of stock lending and borrowing that facilitates short-selling, the report said, citing people familiar with the matter.
GameStop did not immediately respond to Reuters request for comment. A spokesperson for the SEC declined to comment.
GameStop shares had rallied last month as investors following the Reddit forum WallStreetBets bought them hoping to punish hedge funds such as Melvin Capital Management that had taken short positions.