Wallstreetbets took Gamestop to the moon and bullied hedge funds along the way. Despite making millions, many buyers refused to sell.
"I bought shares a few days ago. I dumped my savings into GME, paid my rent for this month with my credit card, and dumped my rent money into more GME (which for the people here at WSB, I would not recommend).
And I'm holding. This is personal for me, and millions of others. You can drop the price of GME after hours $120, I'm not going anywhere. You can pay for thousands of reddit bots, I'm holding. You can get every mainstream media outlet to demonize us, I don't care. I'm making this as painful as I can for you."
Hedge funds are the apex predators on Wallstreet. The top 1% or as the Wolf of Wall Street would say:
Their bet against Gamestop created a trade mob, which took the other side of the bet. Just when redditors grabbed billionaires by the balls, Robinhood shuts down the buy-side of the trade. It gave hedge funds time to regroup, reposition, and save themselves.
Defining Decentralization And Oligarchy
Decentralization is made up of 3 parts:
- How many computers are in the system
- The number of organizations or individuals that control the system
- If the computers, organization, and users were to reduce by 50% -- would the system still be able to function?
Oligarchy is much easier to define. It's a small group of people who control the system. Central intervention wether it's a country, organization, or institution.
For example, Robinhood cock-blocking GME trades.
The Innovation section has been dedicated to Bitcoin since October. I'm no longer continuing since I'm done buying bitcoin (it’s now a third of my portfolio). I’ll be exploring something new in the coming months instead.
Consider this an introduction to DeFi:
The Demand For Decentralized Finance
I've become bullish on DeFi systems after seeing Twitter banning Trump, Whatsapp reading messages, Discord censoring r/wallstreetbets, and Robinhood catering to hedge funds.
To summarize the concept in a sentence:
"It’s easier to build a new financial system than it is to reform the existing one."
DeFi is an attempt to build that new system without central financial institutions.
We've discussed naive intervention leading to harmful, unintended side-effets. Those side-effects will lead to increased demand for DeFi. Exploring the demand is my way of being a step ahead of hindsight.
We'll become DeFi experts within the coming months together. Hopefully finding asymmetric bets along the way.