Sharing Daily Discoveries About Personal Finance And Business Topics

The Interesting Gamestop Stock And Wall Street Fiasco

I am pretty sure a lot of people have heard of the recent story in the US where hedge fund investors decided to sell Gamestop stocks in hopes that they can re-buy it back at a cheaper price. However, with the connection of the Internet a ton of people decided to buy and hold on to the stock causing its value to skyrocket. AS a result, people hoping to buy it back would have to pay way more to the point where they could lose billions.

It is definitely an interesting scenario of a bunch of small investors banding together against giant companies. But the biggest thing out of all this is how stock trading platforms actually started to block people from buying the stock with theories that it was due to pressure from wealthy investors. This raised debate on how it is okay for someone wealthy to essentially profit from others who lose money but in the other way around it is unacceptable.

Although there is obviously a lot more legal technicality to all this. I think the biggest takeaway in this for me is that it shows there are definitely power in numbers where if you really wanted to change something gathering a ton of small people as opposed to always focusing in getting large established businesses to aid you can be a lot more effective.

Reminds me of like people getting funding where you can either try to pitch a millionaire to help fund your business idea or there is the option of asking the mass majority through crowdfunding.

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