Robinhood Reportedly Selling People’s GME Positions Without Warning, Investors Sue

a reply to: projectvxn

Just look at the replies in the threads over there. A lotof the new traffic on that reddit sub are very openly supportive of communism. These are you're bog standard occupy types...all happy they can stick it to the man...but delighted in the idea this short squeeze could collapse the markets.

a reply to: RickyD

but delighted in the idea this short squeeze could collapse the markets.

The market is rigged and people got a peek at that.
Maybe it should have collapsed in 08...

So, I guess we are here.

a reply to: RickyD

So what?

Short selling is nothing short of wealth siphoning. It is parasitic behavior driven entirely by greedy people who don't mind destroying lives and livelihoods through this dubious investment gaming.

They've never had to face pain for the losses they heap on the poor and middle class. They were shorting shares that didn't even exist. But let's pretend a few commies in a forum with millions of members is the problem.

a reply to: RickyD

Some people just want to see the world burn, and they'll glom on to anything they think will achieve that goal.

a reply to: loam

I only have the thinnest grasp of what's gone on so I am wondering something...

These redditors who have purchased the stock to drive up the price and now keep buying it at high prices -- how do they know they aren't purchasing shares that were shorted?

a reply to: MotherMayEye

They are purchasing shares that were shorted. By a huge amount. That's the point. The longer this goes on, the more the short-sellers (hedge funds) get hosed at their own game.

Instead of collapsing a company stock, the hedge funds get to suck on it for once.

a reply to: MotherMayEye

My understanding is that a lot of them staked their stimulus checks, so let's be plain - if they're buying shares that don't exist, they're doing it with money that really shouldn't exist either.

originally posted by: loam
a reply to: projectvxn

Did you notice the IRS asked last year whether you hold crypto currency, even though there are no current tax rules governing crypto?

You can bet they will tax crypto into oblivion.

For example, imagine holding a single bitcoin. Now imagine you're taxed on the fair market value at tax time. You'll have to come up with the cash to pay Uncle Sam for this "income", even though you haven't actually realized this income. For most of the little guys, that will be damn near impossible. It's why low earning employees get squeezed when their companies give them stock grants. Uncle Sam punishes the little guy for his gains. Even though the income is all imaginary, Uncle Sam's taxes are real.

Until it becomes clear exactly how it will be taxed, I wouldn't touch it. A lot of holders are going to be wiped out. Only whales can really play.

And don't even get me started on how blockchain can be gamed by state actors.

Maybe I'll be wrong. But I doubt it.

Those are my thoughts on the subject as well.

It's also losing it's anonymous edge as banks and governmental organizations have been developing ways to track bitcoin transactions.

originally posted by: AaarghZombies

originally posted by: ManFromEurope

the truth is that whoever started this whole business brought shares when they were cheap and is going to sell them when they are expensive, and they are going to make a lot of money.

I haven't seen this posted in either of the two threads I've been keeping up with on this story.

It supposedly addresses the who started this, well, I'll just give a clip.

Short-sellers in GameStop have lost a reported $5 billion in recent days owing to an unusual stock-buying spree cooked up largely on Reddit.

A surprise: it’s a very NBA battle.

The star victim, hedge fund wunderkind Gabe Plotkin, is Michael Jordan’s partner in the Charlotte Hornets. There are many ways this could affect the Hornets and Jordan.

A key deep-pocketed player on the other side of the bet is Golden State Warriors investor Chamath Palihapitiya—as cheered on by Mavericks billionaire Mark Cuban and one of his team’s executives, Haralabos Voulgaris.

There's a lot to it, Truehoop Article By Tom Haberstroh who's a good NBA reporter. Seems the dude from the Warriors is pissed at Jordan for taking on two hedge fund guys to co-own the Charlotte Hornets. Also Tom Haberstroh Interview if the article is too much he outlines it there.

Heck, this probably deserves a thread of it's own. I may or may not get to it so if someone else wants to run with it, be my guest. Here's a good article that's linked to in the last one, popular.info...

originally posted by: MotherMayEye
a reply to: loam

I only have the thinnest grasp of what's gone on so I am wondering something...

These redditors who have purchased the stock to drive up the price and now keep buying it at high prices -- how do they know they aren't purchasing shares that were shorted?

The higher they make the price go up the more the hedge fund will have to pay, we are talking billions.
The Reddit users are not so much interested in making money as they are making a statement and making the hedgefund ppl pay...
Hedge funds are notorious for using their power to manipulate the market and make money, now that reddit users have ganged up they outnumber them....

a reply to: JAGStorm

I wonder what the ratio is of those who are getting in to make a statement and those who are getting in to take advantage of the upside?

When this unwinds, it's going to catch a little of both.

Fun to watch.

originally posted by: loam
a reply to: JAGStorm

I wonder what the ratio is of those who are getting in to make a statement and those who are getting in to take advantage of the upside?

When this unwinds, it's going to catch a little of both.

Fun to watch.

My guess a lot more people are holding/statement....

a reply to: projectvxn

If you think I care if they are commies and want socialist America...I don't. This event unfolding has been a long time coming for the hedge fund bastards. I welcome anyone who wants to help stick it to them...

Once this is over though...their goal is as ket says...to watch it all burn. They want nothing more than to see our economy collapse...the economy I have to survive in. That I don't agree with...guess that was what I wanted to point out.

My son is pissed with RH.
Just told me they're charging $800 per call on AMC.

a reply to: IAMTAT

It's past time to leave that broker in the dust. They chose their side and it wasn't ours...

Also 800$?!?!?! Good God...

Edit: I just learned today fidelity has a 9.75% holding of outstanding GME shares...They aren't going to hurt their own investment so it's probably a pretty safe place to trade GME lol!

originally posted by: JAGStorm

originally posted by: Flyingclaydisk
a reply to: loam

I'm confused.

Can you please explain what this means?

Who is "Robinhood"?

Whose shares are they selling?

I assume "GME" refers to Game Stop stock, correct?

Why?

What is the significance of this action?

Sorry for the dumb questions, but I don't get it.

Little guys teamed up against giants and were winning, so the system (Robinhood & others) shut them down.
It hands down proved what we have all suspected, the Stock Market is RIGGED!!! Rigged Rigged!
The giants can make it swing any way they want and get away with it. It stinks to high heaven!

The little guys are still winning. We will hold the line. If you own GME do not sell.

originally posted by: RickyD
a reply to: one4all

Well the basic just of the whole saga is...the short selling scumbag hedgefundies need the physical stocks they owe their lenders because they borrowed them to sell off to devalue game stop to bankruptcy. If they cant get them before their loan is called in they have to start buying whats there until the loan is covered. The forced mass buy will cause a run up which because they will have to buy and sell everything more than once will feed a cycle of price increases until they're able to cover the short.

The more stocks that they cant have means the higher prices will soar as they have to cycle through what they can buy...each time they cycle the loss get worse too.

I think the best historical comparison is VW short squeeze if you want something to lookup.

I am not giving any financial advice mearly explaining the situation as I understand it...what you do with that is on you.

Hold the line. I like this stock.

originally posted by: macaronicaesar

originally posted by: JAGStorm

originally posted by: Flyingclaydisk
a reply to: loam

I'm confused.

Can you please explain what this means?

Who is "Robinhood"?

Whose shares are they selling?

I assume "GME" refers to Game Stop stock, correct?

Why?

What is the significance of this action?

Sorry for the dumb questions, but I don't get it.

Little guys teamed up against giants and were winning, so the system (Robinhood & others) shut them down.
It hands down proved what we have all suspected, the Stock Market is RIGGED!!! Rigged Rigged!
The giants can make it swing any way they want and get away with it. It stinks to high heaven!

The little guys are still winning. We will hold the line. If you own GME do not sell.

To the Moon and beyond!

originally posted by: ketsuko

So, I guess we are here.

Yup, it’s nuts. We are definitely on the verge, of what, dunno, but at this point it’s safe to say it’s not going to be good.

When we are normalizing insanity welp, that means we are sick folks,,,