The financial space is a juicy island ruled by a few to serve their own interests, tightly controlled to remain as it is. We already know that, and it is more or less widely accepted, even if we don’t see or recognize the mechanisms used to keep it that way.
What the Reddit community r / wallstreetbets (WSB) achieved last week was truly brilliant. It coordinated many of the “little boys” actions to overthrow the “big boys” investment strategies. The fact that its members have made money or that hedge funds have lost some continues. What’s exciting to watch is the fact that it can have coordinated action huge systemic effects, even in the kingdom of crony capitalism, Wall Street.
Besides, their action was like that invisible that after that big slap in the face of the Boardroom Cartel, the overlords of Wall Streets felt so cornered that they had to react immediately with the most despicable yet normally hidden tactics: more control, more manipulation, more coercion, more corruption. But this time they acted in the spotlight, in plain sight, and everyone who paid attention was a witness to the utterly unfair advantage they have over everyone else in this game: they do whatever they want to keep things going. direction that suits their needs.
As a reminder, some hedge funds decided to short the GameStop stock, but WSB members coordinated their action to extend the price and pushed the market as much as the hedge funds’ positions into liquidation, driving the price even higher. As a result of the market going in the “wrong” direction (ie, hedge funds not making money), Robinhood was forced (by whom?) To close access to trading GameStop shares. (About half of it of Robinhood users had positions on GameStop.) Now these users can only sell their positions to push the market down again. That’s how far blatant manipulation can go to keep the hedge funds’ “investment strategies” in the green.
WSB did manage to expose the systemic corruption of the financial and monetary system.
But although WSB has won a battle, it is still waging a heavy war. As we’ve seen, Wall Street has enough versatility and ammunition to fight back and quell this unrest in the long run. As long as the little guy uses the same weapons as the big boys and continues to fight on the battlefield of his masters, like the heavily regulated financial markets, he doesn’t stand a chance.
This series of events was eye-opening, both for the fact that coordinated action can compete with powerful cartels, and for the fact that the money game we all play has been completely manipulated.
The promoted motto has been for so long to try to win the game, but we now understand that the game itself needs to be overthrown to replace it with a different, fairer and more open game.
This saga caught the Bitcoiners’ attention and sympathy for the effects of WSB’s coordinated actions. They also shared the amertume of playing a counterfeit game and being openly deceived by the consequences of government imposed, inadequate money and systemic corruption.
Bitcoin is a serious contender in this manipulated game of fiat money and market manipulation. It proposes a new set of monetary rules, this time engraved in widespread code, to regain the power concentrated in the hands of governments and corporations and return it at the hand of every little man to create a truly open market. .
I can already feel the Bitcoin submarine coming to the surface to welcome the WSB community, and I hope we can all share some knowledge on how to make a better game together.
Maybe some of them will come on board …
This is a guest post from Arkantos. The views expressed are entirely their own and do not necessarily reflect those of BTC Inc or Bitcoin Magazine.