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Millennials Outsmart Wallstreet - CRYPTO FRIDAY
Hey DEFI TIMES community,
On Reddit, you can visit a sub-Reddit called "wallstreetbets." It is a place where people talk about the stock market and option trading.
The people in the forum identified GameStop as an undervalued investment opportunity approximately 18 months ago. They built a significant long position on it while well-known wall street investors (Citron Research, Melvin Capital) kept shorting GameStop. More than 120% of the stock was lent short at some point.
Even Michael Bury, known for the movie "The Big Short," also built a hefty long position on GameStop. The tension continued to become more intense, and then it happened: Reddit users pumped the stock to the moon. It rose from $30 to more than $300 within just a few days.
The news went viral. Even Elon Musk tweeted about it!
Absolutely mind-blowing! Retail investor completely outplayed Wallstreet on this one! The internet has removed a lot of barriers for retails investors. Pretty much anyone can access any information on the internet. Open communities on Reddit enable people to leverage the wisdom of the crowd!
Combine open communities with aggressive traders, and you beat Wallstreet!
Never bet against the internet!
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Melon is rebranding to Enzyme Finance. They will have a major upgrade too. Among other features they will have:
- Synthetic Assets
- Many more assets
- Yield farming opportunities
- Dex aggregator integration
Auctus and Binance cooperation
Auctus will partner with Binance to bring options on the Binance Smart Chain. Users will be able to buy and sell options using BNB.
StakeDAO is a fork of Zapper created by Julien Bouteloup. Its aim is to be a one-stop yield shop and allows users to easily participate in yield-bearing activities. It will also have FIAT on- and off-ramps.
Robinhood stops GME trading
Robinhood suspended the trading of GME after the Wallstreetbets incident. Remember: central institutions are not your friends. Litlle guys are not protected in the world of traditional finance. Only the big players have a say. Just one more reason to use DeFi services.
Grayscale lists AAVE, DOT, and ATOM?
Grayscale prepares three new trusts consisting of AAVE, DOT, and ATOM. It is inevitable: institutional money is entering the industry: bullish for DeFi.
All information presented above is meant for informational purposes only and should not be treated as financial, legal, or tax advice. This article's content solely reflects the opinion of the writer, who is not a financial advisor.
Do your own research before you purchase cryptocurrencies. Any cryptocurrency can go down in value. Holding cryptocurrencies is risky.