JohnDB
Platinum Member
- Jun 16, 2021
- 9,318
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Everyone is caught up in Wall Street Bets reddit page and what they are doing...
Collectively they are attacking and winning wars against hedge funds. The latest casualty is a hedge fund in the UK. Completely bankrupt and folding.
Now this sort of thing is not illegal...far from it. But these guys have now collectively shuttered several hedge funds. Caused several companies to be capitalized way beyond any sort of reasonable logic. GameStop, Clovis, AMC, and Torchlight.
Now...the reason they did this is because of the growing number of hedge funds that have unreasonably shorted several companies that were profitable to lose all their capitalization. Others had lost sizable amounts of money they had invested because the stock caught the eye of the hedge funds and became a target of the hedge funds. We all have been there where we have picked through hundreds of stocks and metrics on hundreds of companies to find a good company to invest in when all of a sudden a hedge fund discovered it as well as a prime target of opportunity to short.
And instead of capital gains you begin to lose money because of the shorting and lack of volume.
Here comes the question...
Governments fight wars...but what happens when it's citizens do it without approval?
Let me paint a scenario...the Colonial pipeline is a privately owned company...but there are plenty of public ones. What if a publicly traded company was the focus of a cyber attack? One that was a darling of this Wall Street Bets reddit page.
Now these days these guys have made some money from their various collective investments...they have a lot more money than they started with. Their $50 accounts are now flush with $5,000 or better...some with 7 digits.
There's no telling what they could accomplish in a warfare situation like that...where there's likely some hackers following along with them themselves...(they want a new game system)
Collectively they are attacking and winning wars against hedge funds. The latest casualty is a hedge fund in the UK. Completely bankrupt and folding.
Now this sort of thing is not illegal...far from it. But these guys have now collectively shuttered several hedge funds. Caused several companies to be capitalized way beyond any sort of reasonable logic. GameStop, Clovis, AMC, and Torchlight.
Now...the reason they did this is because of the growing number of hedge funds that have unreasonably shorted several companies that were profitable to lose all their capitalization. Others had lost sizable amounts of money they had invested because the stock caught the eye of the hedge funds and became a target of the hedge funds. We all have been there where we have picked through hundreds of stocks and metrics on hundreds of companies to find a good company to invest in when all of a sudden a hedge fund discovered it as well as a prime target of opportunity to short.
And instead of capital gains you begin to lose money because of the shorting and lack of volume.
Here comes the question...
Governments fight wars...but what happens when it's citizens do it without approval?
Let me paint a scenario...the Colonial pipeline is a privately owned company...but there are plenty of public ones. What if a publicly traded company was the focus of a cyber attack? One that was a darling of this Wall Street Bets reddit page.
Now these days these guys have made some money from their various collective investments...they have a lot more money than they started with. Their $50 accounts are now flush with $5,000 or better...some with 7 digits.
There's no telling what they could accomplish in a warfare situation like that...where there's likely some hackers following along with them themselves...(they want a new game system)