Dr Bunni

repeat urgent request more diphtheria antitoxin lol

nome in grave danger lol

Orc Magician

The hedge funds never actually owned these shares to begin with because they were short selling so they never actually paid for them.

Redditors saw this and decided to buy up all these shorted shares to gamestop a company that wasnt failing that the hedge funds would then be forced to buy back as they never actually owned the shares.

rich hedge funds have the ability to sell stocks they havent paid for yet that other people actually own and then pay for them after a certain amount of time. they can sell these stocks trade them whatever but they will eventually have to buy them back.

So they shorted gamestop shares from 20 dollars all the way down to 3 dollars, meaning they borrowed shares to then massively sell.

they sold shares at like 20 dollars and then 18, etc. and because when investors see massive amounts of shares being sold they get nervous and then sell their shares which drives the price of the stock ever further down.

so they took something worth 20 that they sold for 20 dollars and all its downward prices and instead of paying for it at $3 dollars they thought theyd CONTINUE to short the market, meaning they kept driving the prices down because apparently this obscene amount of money wasnt good enough.

Redditors who dont say the stock market is magic and mystical astrology saw this very obvious evidence that these hedge funds would be forced to buy back all these fucking gamestop shares and decided to drive the price of these shares up knowing that the hedge funds would then be forced to buy back the shares they have yet to pay for at increasingly wild prices.

what they were looking for was over 100% of all stocks shorted on a company that wasnt even failing or in complete disarray

they used this knowledge to bring stock that was 20 dollars brought down to $3 all the way back up to $140

the hedge funds still have to pay for all of those shares they never technically even owned in the first place which these redditors knew so they held onto these stocks they bought in a company whose shares were oversold.

INSTEAD of acknowledging this they decided to have media campaigns lie and make the stock market look even more mystical and crazy to people who dont know shit about finance so that your average folks wouldnt catch them in the act of just getting a fucking 2 billion dollar bailout for being greedy fucking pieces of shit.

They also dont want your average person to KNOW they do this shit especially when they drive shares so deep into the ground ($3)

TL;DR: Every time you call the stock market magic and mystical and ooo makes no sense, you pretty much allow these motherfuckers to get away with robbery of the average person (given a government bailout is paying for this)

Understanding how these things happen and knowing what to look for allows people to work together and not only stop it but rob back from the billionaires when they pull this shit.

Now, the one thing you need to the know about the stock market is that it is run by PEOPLE. And people are panicky. It really doesn’t matter how “well” a company is doing if its stock is being sold off en-mass. People panic, think that somebody knows something they don’t, and sell their stock/refuse to buy. 

The hedge funds basically bought a very specific kind of bike and pawned all of them. They bet that people would see a lot of a specific brand of bike at the pawn shop and refuse to buy because there MUST be something wrong with that brand right? Why else would a ton of them be in a pawnshop? Better ditch your own right now or risk the wheel falling off or something. 

So, Gamestop’s stock is in the toilet and the hedge funds are about to make a shit ton of money. 

Enter reddit.

Upon seeing that Gamestop’s stock is artificially low because of hedge fund dickery, one forum decides to start buying Gamestop stock out of spite. Buying raises the stock price. The Redditors raise the price enough that the hedge funds start panicking. The time when the HAVE to buy back the stock is coming due and now it is WAY more expensive than they sold it for. Its like Bob walking pass the pawnshop and seeing the bike’s price is now three times what he sold it for. Bob panics. Bob makes a horrible decision. He complains to everyone about this. EVERYONE. 

Hedge funds were on tv whiny and attracted the attention of people who REALLY DON’T LIKE THEM. People like Elon Musk whose company has been targeted by shorting before and has no problem finding the cash to buy the inflated Gamestop stock and have the social media platform to shine an even bigger spotlight on this. Now other people outside of the Reddit forum are joining in because they smelled blood in the water. 

The stock price of Gamestop went to $140. Then it kept going. It hit $450, and was set to just keep on rising. Hedge funds lost so much, I've seen some reporting of up to $70 billion this week. And the thing is that the people lending the stocks get to the point where THEY start to freak out, worried that if this doesn’t stop then the people they loaned their stock to will never be able to afford to get their stocks back. So they often have an option to basically force a snap buy-back, where their shorter is required to return the stocks right friggen now, no matter how much they cost.

Which means that all this pressure builds as desperate shortsellers are forced to pay whatever it takes to get stocks right now, and this just pushes the value up even higher, as demand explodes. 

Meanwhile, Redditers started to look around for other companies in a similar situation, and started investing in them, too. AMC, Nokia, Blackberry, and a whole host of other companies suddenly had their stock prices jump 200, 300, 400%. And short-selling hedge funds were on the edge of going bankrupt, basically overnight.

Then, all of a sudden, a bunch of the brokerage apps that these small investors are using, lead by one called (ironically) Robbinhood, announced a freeze on trading in these particular stocks. Or more specifically, a freeze on BUYING them.

So if you had, say, bought 50 shares at $5 and now they were worth $450, you could sell them, but you couldn’t buy any more to add to your portfolio. But the hedge funds were not held to this same rule.

It’s important to mention at this point that the following is speculation and not certain, because we don’t know for sure. And because there’s going to probably be a criminal investigation into the matter, and I don’t want to give the impression that we already are sure of the facts. But...

The price of Gamestop fell dramatically, in fact it crashed. It dropped more than 50% of its’ value almost immediately, and ended the day under $200. But unlike a normal crash, there was no mad sell-off. In fact very little stock seems to have been sold at all during that time. Because the Redditors? Flat-out refused to sell. And the only people who were able to buy it really were hedge funds. Hedge funds like Citadel, which owns Robbinhood. 

So it sure LOOKS like a manufactured crash in order to save the funds from bankruptcy. Which sure SOUNDS like market manipulation. Which is uh *checks notes* illegal. 

At least AOC sure thinks so.

As does Ted Cruz...

(bet ya didn’t see that coming...Though she did tell him to piss off for being, you know, Ted Cruz, which is totally fair.)

In fact, all kinds of people are coming out of the woodwork to call this shit out, from federal politicians to billionaires (not just *shudders* Musk) to celebrities like Ja friggen Rule, all the way down to the little Redditors who as we speak are filing a massive class action against the hedge funds. People are, to put it mildly, pissed off en masse to see the “Free market” proven so blatantly and publically to be just another fucking glass ceiling when ordinary people try to actually get in on it, while the fuckers who ruined the global economy in ‘08, and keep doing so year in and year out on a smaller scale get away without any consequences.

Meanwhile, back on Reddit, the people at r/wallstreetbets have dug in their heels on what’s become an issue of class warfare. The reality of the matter is that their ability to act on the market cannot be stifled forever, and the artificial crash is just that - artificial. They are, as I write this, comforting each other and encouraging each other, spreading the word to remain undivided and to refuse to sell their shares at any price, no matter how low it goes. 

Many own only one, or even a fraction of a single share, having bought in as a moral choice with whatever they could afford, though some own considerably more. They share their own paper-value losses as a matter of pride (one having lost already $14,000,000 on paper from the highs of yesterday, but refusing to sell) and bolster each others’ resolve by saying “If I can hold on, having lost so much, so can you.” They know that as long as they don’t sell, the hedge funds have nothing to buy, and they believe deeply in their ability to win the fight, literally putting their money where their mouths are.