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That is well put. I saw a meme on WSB - photo of a main guy and quote 'What is an exit strategy?' u/deepfuckingvalue' Ie the main guy behind the squeeze. He a

That is well put. I saw a meme on WSB - photo of a main guy and quote 'What is an exit strategy?' u/deepfuckingvalue' Ie the main guy behind the squeeze. He already took profit of $13M but somehow he is made into this hodl till 0 martyr?! WTF are those people on? This really is starting to have all the halmarks of crypto bull rush with hypemen trying to get their exit as high as possible before it all starts to loose momentum and tumble off a cliff. Its fun to watch though. A lot of fun. Plus more people are becoming aware of how rigged the whole financial system is, how its a boys club that will attack any outsider at sight.

notahacker 6y ago
> Plus more people are becoming aware of how rigged the whole financial system is, how its a boys club that will attack any outsider at sight. Are they though? I mean the idea that hedge funds are rigging the system is so well established in the public psyche it drove the meme stocks in the first place. If people's conclusions from all this are that Melvin Capital lied about unwinding their shorts and Robinhood rigged it for them but those nice people saying BUY AND HOLD YOLO on reddit were fighting their corner, has the state of their knowledge advanced?
- me_me_me 6y ago
  I am not saying that everyone understands what is happening, but there are a lot of people who took interest and educated themselves on how the stock market works and what is happening. Two of my friends got into trading because of this (and not in fuck the system way).
  - notahacker 6y ago
    Oh, I don't doubt some people will inform themselves and some people will make some good decisions as a result. Just unconvinced that it'll be a net improvement in the state of public knowledge
    - me_me_me 6y ago
      Why? Uninformed might have different but still wrong idea, but some people will learn. I don't think you could get net negative in this situation. Or am I missing something?
      - notahacker 6y ago
        If significant numbers of people become deeply committed to beliefs which are clearly incorrect to rationalise being duped into losing money on a meme, I'd argue that was pretty negative.
        sidibe 6y ago
        This happens in ponzi schemes too, people will find a scapegoat rather than feel their ignorance or greed was the problem. Here it's Robinhood and hedge fund conspiracies and Wall street playing by different rules. When MMM ponzi scheme (https://en.wikipedia.org/wiki/MMM_Global https://en.wikipedia.org/wiki/MMM_Global) peaked everyone was furious about people writing negative editorials and government warnings not to jump in.
        notahacker 6y ago
        I nearly put a reference to MMM true believers actually voting Mavrodi into Parliament to give him immunity from prosecution for defrauding them in my original post. Wonder if any hedge fundies shilling GME on WSB whilst betting big in the opposite direction are bold enough to try that if the SEC comes after them...
  - redisman 6y ago
    How much can they have really learned in a few days? Certainly not enough to be "trading".
- depingus 6y ago
  If those are the only 2 things you've taken away, then you haven't been paying attention. Yesterday's whole "Reddit moves to silver" narrative plastered all over mainstream financial media was a pack of lies. Bots have been flooding the subreddit with misinformation. And today eToro accidentally triggered a massive sell off of their users' $GME by incorrectly setting their stop loss. Sure, we've all seen the movies; "hedge funds cheat" is not new information. But this is all very out in the open and very directly targeted at retail investors. There's a lot of noise being made and everyone has taken notice. I would argue the state of everyone's knowledge has advanced.
  - lasagnaphil 6y ago
    This: there's definitely misinformation going on both sides (both on wsb and the media). You can't really trust anyone in a full-fledged war, and I think this is one of those situations. For those who didn't put money on this, let's wait and see how it goes. Although the truth is, retail traders are incredibly disadvantaged due to immense informational asymmetry. Hedge funds probably have access to all the data they want (for example, Citadel having access to Robinhood trade flow), but ordinary people have to first wade through all the misleading information both on mainstream media and on social media, so it's a pretty hard fight. But regardless of the results, I think there would be much more distrust towards financial institutions and mainstream media overall due to this event, and this would be only the beginning of 2021.
floor2 6y ago
Ironically, your last statement is kinda completely inverted. A bunch of financially illiterate newbies who don't know half the terminology and don't understand the underlying math have gotten tricked into thinking that "it's all rigged" or "it's all a scam" and that they're going to get rich quick by participating in the scam. Completely oblivious to the fact that the only scam happening is to them. Trump-supporters think the election was a scam and barged into the capitol. WSBers think the stock market is a scam and bought GME. Same thing, different day.
- traveler01 6y ago
  > Trump-supporters think the election was a scam and barged into the capitol. WSBers think the stock market is a scam and bought GME. Same thing, different day. Isn't it? Look at what they've been doing lately to make the GME stocks go down. The small guy always loses.
  - Jtsummers 6y ago
    The rate of the drop is certainly in part due to the inability of many retail investors to continue to buy it at a way overvalued price. But the price drop was inevitable, it is (at the time of this comment) overvalued now. Its revenue is hovering around $1 billion per quarter but it's not profitable. Last year it lost half a billion dollars, and even more in 2019.
- newobj 6y ago
  yes the WSB ambience right now is VERY Qanon-feeling
- jrsj 6y ago
  Did those supporters just barge into the capital on their own though? Or were they directed to do this to create a specific political outcome, just like the naive WSB “investors”?
- rohitb91 6y ago
  I was thinking that all of Trump's conditioning to make people think that the news is all fake and disinformation for a cause has ruined people. For example, there were reported that Melvin closed last week. People thought it was fake news. In the article they reportedly lost 53%. If they lied about it, that would be exceptionally serious. Yet, everyone called it fake news, to their own detriment it seems.
dehrmann 6y ago
I read the WSJ article on u/deepfuckingvalue, but I couldn't put together if he was behind the trade or if he genuinely thought GME was undervalued, started buying some a while ago, and became a wsb hero during the squeeze just because he happened to be there first, and someone else orchestrated the squeeze. That article also felt like it missed some key reporting details, and I was surprised he talked to reporters, so I halfway wondered if he did have a larger role, but got this out there to shape the narrative in case the SEC comes knocking.
- PartiallyTyped 6y ago
  He genuinely believed it was undervalued, and it was at the time. There is a lot of opportunity to grow in different segments, from esports to PC Building (there really is a shortage of Microcenters and Newegg shops compared to Gamestop shops). It was somebody else who figured the short squeeze was possible during mid September.
  - defen 6y ago
    > It was somebody else who figured the short squeeze was possible during mid September. That was this post: https://old.reddit.com/r/wallstreetbets/comments/ip6jnv/the_real_greatest_short_burn_of_the_century/ https://old.reddit.com/r/wallstreetbets/comments/ip6jnv/the_... He even predicted the $400 price target as the time to cash out of the squeeze.
    - deleted 6y ago
      [deleted]
- scsilver 6y ago
  If you look up roaring kitty on yt, you can see his thesis on gamestop atleat 6 months back, he bought in I think in 2019. The stock was more valuable than the price on a fundamental level then caught some huge investors, board change, better than expected sales due to the console cycle. The analysts were also not understanding its potential and probably misunderstood greater online sales revenue as moving away from physical disk instead of just a huge growth of free games with in game transactions adding a larger share to the gaming revenue pie.
deleted 6y ago
[deleted]
mschuster91 6y ago
> Plus more people are becoming aware of how rigged the whole financial system is, how its a boys club that will attack any outsider at sight. And there are also indications of illegal practices (naked short selling), people are asking themselves why stock purchase settling takes two days instead of either seconds (or, to account for an option to unwind mis-trades, hours) which was why Robinhood and others suddenly found themselves in a dire need for cash, and why/how Robinhood can afford their cheap fees (because they're selling off the data of their users). The most important part that the world learned from $GME is another: the big promise after 2008ff was "we learned from our mistakes, regulations were passed to rein in dangerous speculation"... and $GME proved undeniably that this has not happened, not during the Obama admin and certainly not under the Trump admin. Wall Street still is a casino, not a stock exchange. (disclosure: holding a couple dozen AMC and NOK for the lulz)

notahacker 6y ago

> Plus more people are becoming aware of how rigged the whole financial system is, how its a boys club that will attack any outsider at sight. Are they though? I mean the idea that hedge funds are rigging the system is so well established in the public psyche it drove the meme stocks in the first place. If people's conclusions from all this are that Melvin Capital lied about unwinding their shorts and Robinhood rigged it for them but those nice people saying BUY AND HOLD YOLO on reddit were fighting their corner, has the state of their knowledge advanced?

me_me_me 6y ago
I am not saying that everyone understands what is happening, but there are a lot of people who took interest and educated themselves on how the stock market works and what is happening. Two of my friends got into trading because of this (and not in fuck the system way).
- notahacker 6y ago
  Oh, I don't doubt some people will inform themselves and some people will make some good decisions as a result. Just unconvinced that it'll be a net improvement in the state of public knowledge
  - me_me_me 6y ago
    Why? Uninformed might have different but still wrong idea, but some people will learn. I don't think you could get net negative in this situation. Or am I missing something?
    - notahacker 6y ago
      If significant numbers of people become deeply committed to beliefs which are clearly incorrect to rationalise being duped into losing money on a meme, I'd argue that was pretty negative.
      - sidibe 6y ago
        This happens in ponzi schemes too, people will find a scapegoat rather than feel their ignorance or greed was the problem. Here it's Robinhood and hedge fund conspiracies and Wall street playing by different rules. When MMM ponzi scheme (https://en.wikipedia.org/wiki/MMM_Global https://en.wikipedia.org/wiki/MMM_Global) peaked everyone was furious about people writing negative editorials and government warnings not to jump in.
        notahacker 6y ago
        I nearly put a reference to MMM true believers actually voting Mavrodi into Parliament to give him immunity from prosecution for defrauding them in my original post. Wonder if any hedge fundies shilling GME on WSB whilst betting big in the opposite direction are bold enough to try that if the SEC comes after them...
- redisman 6y ago
  How much can they have really learned in a few days? Certainly not enough to be "trading".
depingus 6y ago
If those are the only 2 things you've taken away, then you haven't been paying attention. Yesterday's whole "Reddit moves to silver" narrative plastered all over mainstream financial media was a pack of lies. Bots have been flooding the subreddit with misinformation. And today eToro accidentally triggered a massive sell off of their users' $GME by incorrectly setting their stop loss. Sure, we've all seen the movies; "hedge funds cheat" is not new information. But this is all very out in the open and very directly targeted at retail investors. There's a lot of noise being made and everyone has taken notice. I would argue the state of everyone's knowledge has advanced.
- lasagnaphil 6y ago
  This: there's definitely misinformation going on both sides (both on wsb and the media). You can't really trust anyone in a full-fledged war, and I think this is one of those situations. For those who didn't put money on this, let's wait and see how it goes. Although the truth is, retail traders are incredibly disadvantaged due to immense informational asymmetry. Hedge funds probably have access to all the data they want (for example, Citadel having access to Robinhood trade flow), but ordinary people have to first wade through all the misleading information both on mainstream media and on social media, so it's a pretty hard fight. But regardless of the results, I think there would be much more distrust towards financial institutions and mainstream media overall due to this event, and this would be only the beginning of 2021.

floor2 6y ago

Ironically, your last statement is kinda completely inverted. A bunch of financially illiterate newbies who don't know half the terminology and don't understand the underlying math have gotten tricked into thinking that "it's all rigged" or "it's all a scam" and that they're going to get rich quick by participating in the scam. Completely oblivious to the fact that the only scam happening is to them. Trump-supporters think the election was a scam and barged into the capitol. WSBers think the stock market is a scam and bought GME. Same thing, different day.

traveler01 6y ago
> Trump-supporters think the election was a scam and barged into the capitol. WSBers think the stock market is a scam and bought GME. Same thing, different day. Isn't it? Look at what they've been doing lately to make the GME stocks go down. The small guy always loses.
- Jtsummers 6y ago
  The rate of the drop is certainly in part due to the inability of many retail investors to continue to buy it at a way overvalued price. But the price drop was inevitable, it is (at the time of this comment) overvalued now. Its revenue is hovering around $1 billion per quarter but it's not profitable. Last year it lost half a billion dollars, and even more in 2019.
newobj 6y ago
yes the WSB ambience right now is VERY Qanon-feeling
jrsj 6y ago
Did those supporters just barge into the capital on their own though? Or were they directed to do this to create a specific political outcome, just like the naive WSB “investors”?
rohitb91 6y ago
I was thinking that all of Trump's conditioning to make people think that the news is all fake and disinformation for a cause has ruined people. For example, there were reported that Melvin closed last week. People thought it was fake news. In the article they reportedly lost 53%. If they lied about it, that would be exceptionally serious. Yet, everyone called it fake news, to their own detriment it seems.

dehrmann 6y ago

I read the WSJ article on u/deepfuckingvalue, but I couldn't put together if he was behind the trade or if he genuinely thought GME was undervalued, started buying some a while ago, and became a wsb hero during the squeeze just because he happened to be there first, and someone else orchestrated the squeeze. That article also felt like it missed some key reporting details, and I was surprised he talked to reporters, so I halfway wondered if he did have a larger role, but got this out there to shape the narrative in case the SEC comes knocking.

PartiallyTyped 6y ago
He genuinely believed it was undervalued, and it was at the time. There is a lot of opportunity to grow in different segments, from esports to PC Building (there really is a shortage of Microcenters and Newegg shops compared to Gamestop shops). It was somebody else who figured the short squeeze was possible during mid September.
- defen 6y ago
  > It was somebody else who figured the short squeeze was possible during mid September. That was this post: https://old.reddit.com/r/wallstreetbets/comments/ip6jnv/the_real_greatest_short_burn_of_the_century/ https://old.reddit.com/r/wallstreetbets/comments/ip6jnv/the_... He even predicted the $400 price target as the time to cash out of the squeeze.
  - deleted 6y ago
    [deleted]
scsilver 6y ago
If you look up roaring kitty on yt, you can see his thesis on gamestop atleat 6 months back, he bought in I think in 2019. The stock was more valuable than the price on a fundamental level then caught some huge investors, board change, better than expected sales due to the console cycle. The analysts were also not understanding its potential and probably misunderstood greater online sales revenue as moving away from physical disk instead of just a huge growth of free games with in game transactions adding a larger share to the gaming revenue pie.

deleted 6y ago

[deleted]

mschuster91 6y ago

> Plus more people are becoming aware of how rigged the whole financial system is, how its a boys club that will attack any outsider at sight. And there are also indications of illegal practices (naked short selling), people are asking themselves why stock purchase settling takes two days instead of either seconds (or, to account for an option to unwind mis-trades, hours) which was why Robinhood and others suddenly found themselves in a dire need for cash, and why/how Robinhood can afford their cheap fees (because they're selling off the data of their users). The most important part that the world learned from $GME is another: the big promise after 2008ff was "we learned from our mistakes, regulations were passed to rein in dangerous speculation"... and $GME proved undeniably that this has not happened, not during the Obama admin and certainly not under the Trump admin. Wall Street still is a casino, not a stock exchange. (disclosure: holding a couple dozen AMC and NOK for the lulz)