Hilarious Memes About How Redditors Trolled Wall Street Investors With GameStop
Margareth SPublished on
There’s a power in number, and one really should not look down on that. When a huge number of Wall Street executives tried to ‘short’ GameStop stocks, Redditors in r/WallStreetBets managed to turn the table on them.
You might not understand what’s going on. But TL;DR: billionaires tried to depress GameStop’s stock price, and Reddit retaliated. So now we enjoy the jokes.
After people received news that Wall Street executives are attempting to make GameStop stocks plunge, the subreddit ‘Wall Street Bets’ did what they do best: betting on the opposite.
They succeed. But some of you are probably confused as to how this can be viewed as a good thing.
To begin with, how do these executives attempted to depreciate the stocks’ value?
Not all of us have a knack for this nor the knowledge, so we’ll attempt to explain this as simply as possible. Some people attempted to explain, and this one below is a pretty concise explanation of it.
And here’s another more complex explanation to those of you interested, or just skip if you’re here for the memes.
GameStop stocks opened at $88 on Tuesday morning, the day the demand and supply war begin. At the end of the day, the price had gone up by 90%, then another 50% during after-hours. If you want to know how far the price has gone up, GameStop stocks were only worth $4 last year and were at $230 during their highest.
Many of the redditors who joined in the guerilla stock war made so much money in just a day.
What the redditors did were similar to what the executives did: which is why it’s said they lost square and fair on their very own game.
The executives attempted to ‘short’ the stocks to make them drop. To put it simply, these hedge funders (people with a lot of money) ‘lend out’ stocks to people to ‘play with.’ They tried to rapidly buy and then sell the stocks quickly to shake the stock’s price, preferably lower.
It usually works. Stocks would plunge even further down, then they can ‘payback’ the same amount of stocks but at a much lower price.
But people aren’t just going to let things run the way the rich wish to.
This incident is taking up the spotlight on the net.
Of course, it’s also stole the attention of finance experts and concerns with how scary the buying power of the masses. Then, there are also people who completely have no idea what is going on or even what GameStop is.
But people love the thought of not letting the billionaires have things run the way they want all the time.
You might still be one of these people however.
No problem, though, just enjoy the laughter!
Disclaimer: this isn’t financially healthy. It’s complicated to explain, but we do warn people from taking this incident as an investment lesson and start short-squeezing other stocks. Don’t do that, guys.
Let’s invest healthily.