Reddit cites r/WallStreetBets as a risk factor in its IPO filing::As Reddit finally files to go public, the company wrote in its S-1 filing that “meme stock” schemes on r/WallStreetBets could pose a risk to investors.
A bigger risk than a terrible leadership team?
Let the censorship and banning waves intensify, watch as the porn is purged. Ogle as the platform slides slowly into irrelevance.
Taking a digg at reddits strategies, are we?
Bout to take a Tumblr for sure
Hopefully not into my space here.
Lemmy see how this all plays out
All the ingredients are there. All we need is a bit of competition from other platforms and Reddit can join the club with all the other dead platforms like myspace, digg and tumblr.
As mastodon is beginning to seriously compete with Xitter, maybe Lemmy can also contribute to the downfall of Reddit.
Here’s a serious question: should we be bracing for a massive influx of stock bros after reddit inevitably find some pretext to shut down wallstreetbets?
It looks like there is already a (somewhat) active community at !wallstreetbets
Hi there! Looks like you linked to a Lemmy community using a URL instead of its name, which doesn’t work well for people on different instances. Try fixing it like this: !wallstreetbets@lemmy.world
Doesn’t seem like loss porn central yet
We should be embracing them. A lot of financial experts is good to have against the fight against ghoulish institutions in Wall St.
Surprised it hasn’t happened yet
great, now they’re going to ban WSB and they’re going to take over lemmy…
#chickentendiesNo they’re going to short their own IPO into the ground and blame wsb
I for one welcome all regarded users
No.
Wsb is their golden goose. They gave them NFT s for a reason
They have been purging subreddits for years that are not advertiser friendly, usually after they get media attention. Really no reason to expect them to stop the purges. There is a reason I am here and not there, and that is just one of them.
lmao imagine the shitstorm if they ban WSB
I’m still angry at what happened to WatchPeopleDie.
Is there a similar community here on the fediverse?
These aren’t 100% the same thing. But the first has lots of Russian invaders being killed, and the second is an adjacent community.
Does people trying to short you make your stock less valuable? Maybe because potential investors can see the sentiment?
Shorting a stock in effect means selling a stock you don’t own. The stock market derives price based on supply and demand. When more people are selling than people are buying, the stock price goes down. There are many more dynamics at play than this though. Often there are investment firms which will identify a price mismatch and attempt to price out the short sellers by buying and pushing the price up. This can trigger a short squeeze which makes the price suddenly pop.
IPOs are exciting times to be a trader, but individuals are largely in for the ride. They can’t move the market. If they identify one of these larger plays they can join the fun. Game Stop was one of the first examples of a consumer-driven play, and it scared the shit out of institutions because it upended their risk models.
A Short Sale position is actually a risk and if people know you’re doing it they will ride you to the bank by buying up as many shares as they can and force you to pay them when your deadline to repay the borrowed shares comes up.
WSB might be the butt of a lot of jokes but they have (in the past at least) analysts and insights that rival top investment firms, not reflecting of the average participants performance. A much more logical decision would be to inflate the price at launch and then when it reaches a critical state ride it (short sell) into the ground as it panic sells into penny stocks.
Not really no. It’s not often that a stock is short sold really hard when there isn’t an underlying reason Otherwise large investors could regognise this and just take a long position. The short seller is then screwed if the price doesn’t drop far enough and fast enough before their options expire
I mean, it’s true. WSB has been under scrutiny and introduces the risk of litigation or legal action towards Reddit. That could hurt stock prices. It’s all pretty routine to disclose potential risks in IPO documents or regular annual shareholder documents.
🦍 🦍 💪 🤲
Lol, WSB hates the apes. They like to actually make money, instead of incinerating it on companies going through obvious death spirals.
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What a load of bs.
