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It never existed. Cash value is realized upon liquidation. Before that, it’s just paper.

• fasthands9 4y ago
  Would you say that if you own 20% shares of the most popular sushi restaurant in town - and then there was a kitchen fire not covered by insurance and you accidentally poisoned a customer - no value of your investment was destroyed? Of course it was. You can debate how much of it was speculative but even in tech its not all made up.
  • thaumasiotes 4y ago
    But that's not what's being reported here. If you owned 20% of shares of the most popular sushi restaurant in town, and absolutely nothing about the restaurant changed, but its market capitalization went down, would you say that no value was destroyed? It is conventional to describe a loss of value in both cases, but the second kind is much more obviously hypothetical than the first kind.
    • fasthands9 4y ago
      A lot did change though. Apple changed settings on its tracking which made it harder for Facebook to charge a lot for ads. TikTok became bigger than people were expecting (like a rival sushi restaurant opening next door). And they spent a lot of money on the metaverse that appears so far to be a complete waste. I agree there is more speculation but overall its cash flow went down a lot and thats not that speculative.
      • altdataseller 4y ago
        And as a result of their stock plummeting, a lot more can change like loss of morale, and the top employees leaving (beyond those they are cutting)