>>12633407>Where can I get a good rundown on gamespotgate?Ill give it to you friend-o.
Here's the deal, there's something called shorting, which means selling more of something you dont have in the hopes youll get more of this later. Its kinda slimy but common.
A very powerful hedgefund did this with gamespot stock. Being the stocks of basically blockbuster after the dvd was invented and them being an ultra powerful wall street titan it didnt even ocur to them there was any danger in shorting, whatever the case they could buy more of those shitty stocks.
thing is once they promised those stocks to others in a contract they are FORCED to produce them, Some anons in internet figured out what was happening because this is really public information and they coordinated a massive buy, so that started driving the price up.
So did the hedgefund bought them out? nah, they went all "ahh these retards are buying worthless stock to piss with us, im not gonna buy 8 dollar stock for 11, ill wait for it to drop and fuck them.
The problem is people kept buying, so long story short, it was at 11 a month ago. It was at 105 yesterday when i bought, it was at 122 today when i checked and it closed at 155. (By the way, i put in 10.000 and have already made around 5000 will probably hold a bit more)
The thing is, the contract in which this hedgefund shorted is due on friday. That means that when that day comes, they are forced to buy a shitton of stock at whatever the price or go bankrupt.
But thats not the end, this fund was slated to go bankrupt when stocks hit 50, but they are backed by another bigger fund, and that fund has insurance, and that insurance has insurance, and that chain eventually reaches to the us goverment.
So basically its a debt that has to be paid and is dependant on the price of the stock, which is dependant on the amount of people who are interested in doubling their money.
