WSB is the Reddit community where everyone openly admits to running with pump-and-dump schemes, with the hopes to not be the dumb bagholder at the end.
Its a legally grey zone IMO. Its not a traditional pump-and-dump scheme, but the effects are basically the same.
They choose a stock, somewhat at random to pump. They use WSB to communicate and coordinate when the pump occurs. The idea is to use a stock that has nostalgic value (Gamestop, AMC, BBBY), but is in dire straights.
A shorter term, tactical goal, is to often find highly shorted stocks and/or stocks with high options leverage to cause either a short-squeeze or gamma-squeeze event.
Its all public knowledge, legally and morally grey IMO. I wouldn't touch it personally, but obviously you get a whole bunch of pump-and-dumpers together in one location on the internet, they're all going to be competing for the same money on the same forum.
What's the relation between the coin and subreddit? Like I get that they share a name, but is it say endorsed on the sub itself? Endorsed by the mods? Is it popular among its users?
jqpabc123|2 years ago
dragontamer|2 years ago
Its a legally grey zone IMO. Its not a traditional pump-and-dump scheme, but the effects are basically the same.
They choose a stock, somewhat at random to pump. They use WSB to communicate and coordinate when the pump occurs. The idea is to use a stock that has nostalgic value (Gamestop, AMC, BBBY), but is in dire straights.
A shorter term, tactical goal, is to often find highly shorted stocks and/or stocks with high options leverage to cause either a short-squeeze or gamma-squeeze event.
Its all public knowledge, legally and morally grey IMO. I wouldn't touch it personally, but obviously you get a whole bunch of pump-and-dumpers together in one location on the internet, they're all going to be competing for the same money on the same forum.
Havoc|2 years ago
yieldcrv|2 years ago
community provided liquidity thats is then locked? kind of perfect imo
there’s no reason anymore that a $600,000 sale tanks $50m asset by 90%, just a bad system design where there is no liquidity incentive
why even give nocoiners cannon fodder? just do the thing that already distributes the load well enough and fits the risk profile of enough people
klyrs|2 years ago
Can't tell who you're asking this of, but as a nocoiner I gotta say it made me giggle... we invest in popcorn, not cannon.
im3w1l|2 years ago
unknown|2 years ago
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soer2021|2 years ago
[deleted]