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Thank you for the detailed post. I don't have a strong opinion on the morality/fairness/adequacy of all this like you seem to. I'm not making any judgements on

by gota 6y ago

Thank you for the detailed post. I don't have a strong opinion on the morality/fairness/adequacy of all this like you seem to. I'm not making any judgements on the situation, just trying to check whether I got a rough generally accepted understanding of what happened. Would appreciate input on the following - As far as I can tell this got so much momentum because: 1 - the price increase in a couple of days lended "credence" to the theory of a short squeeze ("OMG this is real", relates to FOMO) regardless of whether it was the case 2 - the way reddit works by popularity ensured that the front page was full of memes and posts from WSB, and has been for 2 weeks 3 - there was a strong perception of an organized pushback by the established traditional powers, starting with mainstream media and - 4 - the "attacks" on WSB via discord banning, limiting operations in Robinhood etc. These items, in this sequence, with a lot of community reinforcement along the way (exceptional loss and gain "porn" daily) have flared up emotions about how the traditional financial market is unfair to the "common people"

PartiallyTyped 6y ago
Re 1, this was due to a significant mismanagement by Market Makers (too many contracts that ended up in the money forced them to purchase the stock), in particular that gamma squeeze helped build momentum, and the other nearly parabolic increase before the heavens nearly fell and buying needed to be halted due to liquidity issues. Re 2, there are two things at play regarding how reddit works, WSB was one of the biggest non default subreddits even before the whole ordeal began, the other catalyst is the sheer volume of awards given within the subreddit that help push it up. re 3: rightfully so, the amount of misrepresentation and vilification only increased the perception of organized opposition, to the point where wsb was labeled as an alt right group. Talk about politics of any form is banned, period. The only instance of politicians that i have seen is Trump dancing (he wasnt ridiculed in the meme), and the fact that AOC and Don Trump Jr agreed. re 4: You can not begin to imagine the amount of bots posting absolute nonsense during the time. Had it not been for the mod team and the reddit team, the whole reddit would have shut down.

by gota 6y ago

PartiallyTyped 6y ago

Re 1, this was due to a significant mismanagement by Market Makers (too many contracts that ended up in the money forced them to purchase the stock), in particular that gamma squeeze helped build momentum, and the other nearly parabolic increase before the heavens nearly fell and buying needed to be halted due to liquidity issues. Re 2, there are two things at play regarding how reddit works, WSB was one of the biggest non default subreddits even before the whole ordeal began, the other catalyst is the sheer volume of awards given within the subreddit that help push it up. re 3: rightfully so, the amount of misrepresentation and vilification only increased the perception of organized opposition, to the point where wsb was labeled as an alt right group. Talk about politics of any form is banned, period. The only instance of politicians that i have seen is Trump dancing (he wasnt ridiculed in the meme), and the fact that AOC and Don Trump Jr agreed. re 4: You can not begin to imagine the amount of bots posting absolute nonsense during the time. Had it not been for the mod team and the reddit team, the whole reddit would have shut down.