3 ms·

I am curious, how would holding Bitcoin hedge the meme stock frenzy risk?

• Thorrez 4y ago
  I don't think memers would focus on bitcoin mining funds. The memers focus on cryptocurrencies themselves, not on boring corporate miners. So I don't see how memers would affect the mining stock except to the extent that they affect bitcoin itself. So I don't expect much volatility from memers directly on the miners. OTOH, there is huge volatility in the miner stock price due to bitcoin price swings. I'm saying to counter that volatility risk by holding bitcoin.
  • polygamous_bat 4y ago
    I don't think I agree with your statement: > I don't think memers would focus on bitcoin mining funds. The memers focus on cryptocurrencies themselves, not on boring corporate miners. For example, here's a post on r/WallStreetBets [1] trying to hype up RIOT and MARA, and I could find a dozen more just by googling. If you think meme stock frenzy won't take something because it's boring/old school, I have some shorts in a brick and mortar overpriced video game store I would like to sell you. [1] https://www.reddit.com/r/wallstreetbets/comments/qp0vn8/riot_and_mara_dd_530026900_estimated_return/ https://www.reddit.com/r/wallstreetbets/comments/qp0vn8/riot...
    • Thorrez 4y ago
      You're right. Although it looks like they're hyping it purely on the idea the bitcoin will go up. So maybe buying bitcoin is still a good hedge. Gamestop is a bit different. Gamestop was hyped based on I don't know what, maybe hype alone. The point is there was nothing to hedge with. With RIOT and MARA, they're hyped based on the idea that bitcoin will go up, which gives an obvious hedge.