WallStreet's Response to Gamestop Frenzy

Did we live in a weird time, man? You paying attention to all the stock market shit with GameStop? So I heard a little bit about it. We covered it a little bit yesterday. My friend Sagar and Jetty from Rising the Hill, he covered it and we played some of his shit. What basically is going on is these people who are speculators on Wall Street, they short stocks meaning they are gambling that a stock is going to lose value. And so then these Redditors, these smart dudes on Reddit, they're like, you know what? Fuck these people. Let's just buy a bunch of this stock and jack that price up. And so they all got together, thousands of them, and they bought a shitload of that stock and the price went fucking flying. Like went way up. And so then all the hedge fund people that were gambling on it losing money, they lost billions of dollars. Like instantly. And Wall Street started panicking. And so then they realized, these Redditors realized they can do this. So they started doing with other stocks like movie theater stocks. And so then this app called Robinhood, which is Robinhood is supposed to be steal from the rich, give to the poor. That's the story of Robinhood. Instead they are protecting all these hedge fund people by stopping people from doing this. And stopping all the sale of these stocks that these Redditors all get excited about. So these people, even if they buy the stock now, they can't sell it. Or now they, is that what it is? Or they can't buy it? They can't buy it. They can't buy it anymore. They can sell it, but they can't buy it. So it's they've essentially tried to do what they can to stop this scam. And everyone is furious at them. So much so that I sent you an article that Google removed over 100,000 one-star reviews from their app store because they were saving this application from having one star in the Google app because everyone was so mad at them. But meanwhile, that's a legit criticism. Here it is. Salvaged Robinhood's one star rating by deleting nearly 100,000 negative reviews. Unhappy users have been review bombing the app. So that's what's going on. What basically has happened in Jamar is that all these people forever have been manipulating the stock market and making a shitload of money doing it. Hedge funds, all these billionaire Wall Street people. Now regular folks on Reddit are starting to do the exact same thing and they're making millions of dollars in the apps with stocks and they're trying to figure out a way to stop these people from doing this because they don't want them to be able to do it. They want Wall Street to be able to do it. Normal people are being penalized for figuring out a new way to hack the system that Wall Street has been manipulating forever. Is that accurate? What I said, that's an accurate way of describing it? Basically. That's a very good, simple way to describe it. There's more levels to it. Sagar did a much better job of it. You can go to their YouTube page, Crystal Ball and Sagar and Jetty. It's called Rising the Hill. It's my favorite political talk show because there's a person, Sagar's on the right and Crystal's on the left, but they're both honest and objective and they discussed how fucked up this is and how crazy it is. It's gone on. So after yesterday- It's still going on today? After yesterday, it went on through the stock market. Because the shutdown happened, I think people's attention was like, well, if they're going to do that to us, let's take it over the crypto market. So now the Dogecoin, which started as a complete joke, has skyrocketed to not a joke anymore. It hit an all-time high of almost 10 cents yesterday, but it was so minuscule, you wouldn't have understood why you have millions of shares in this. Didn't Elon tweet that too? So Elon has been adding to this. He'll tweet something and it'll make something spike. He added Bitcoin to his info, I think his bio. And also that gentleman who's running for governor of California, how do you say his name again? I don't know if he's actually running for her because I saw him get asked that. He's like, is this real? And he was like, well, technically, recall Gavin Newsom. I don't think he's officially, he's not filed paperwork or anything. He's having fun. Yeah, I think so. Yeah, he's having fun. But he tweeted about it too. He was with Google or with Facebook? Google. But do you have anything to do with Facebook ever? Probably. Probably. I'm reading Matt Taibbi's book. Yes. Earlier at Facebook. Maybe not Google. Maybe it was Facebook then. I'm sorry, instead of Google. Okay. But he's basically explaining in one of his tweets recently, pull that up because he was comparing Robinhood to Facebook. And he's saying that they pretend that you're a customer, but you're not a customer. In fact, you're the client. And what you are is you're the product. And they pretend that they're doing you service. But what they're really doing is they're taking all of your data and they're selling it and they're getting rich. And they're not giving you any of that money. And that's the same thing with Robinhood. It's the same sort of scenario. He laid it out in his Twitter. But it's a situation where once his genie's out of the bottle, where these regular people have figured out how to manipulate stock markets. And truth be told, I don't know jack shit about stock markets. I don't know anything. I literally barely pay attention. But Dave figured out how to manipulate it. And once they figured out how to do this, they can keep doing this. And unless I don't know how they're going to stop it. I have no idea how you gonna stop Reddit. How are you going to stop these intelligent fucking people with plenty of time? I mean, so they're organizing. I mean, so can like, like, like, but you'd have to know how to actually do it. Because I was over here like, maybe I should call my, maybe I should call my brother and tell him he should get in on this. But it's like a Ponzi scheme. It's like a pump and dump, right? The idea is like you get in early, and then it gets to a certain point, you got to realize like, okay, it's time to get out, it's time to get out. Like if you buy it a dollar, and then it gets to $30. And then you're like, shit, this is this might crash soon. Get out now. I don't know what the number would be. I'm just saying it. I think that's what a lot of people think. But the understanding I have of the this GameStop situation is what makes it a little different is that short squeeze situation is where there's contracts, which I think it just happened because the market just closed. Because those contracts exist, someone has to buy that contract at the end of the day when the contract comes to. When does the market close? Four o'clock every day. Oh, four o'clock East Coast time? It just closed half an hour ago. That's what this big issue was, was these contracts you could tell we're going to close on the 29th, which is Friday at 4pm. And when that happens, whoever holds that contract has to fill, they have to fill the contract so they'll find the shares. Oh, so that's why these hedge fund people are fucked. So we'll see what happens after the next couple of days, which after hours trading or sell out something your retail investor gets to do and this hedge funds do get to do. And that's what was happening maybe two days ago. They were driving the price down because they have the ability to do that. They have abilities that retail investors don't have. And that's really the big argument I feel like is going on right now. It's like they can do shit we can't do. It's also weird because the stock market has always been this weird number thing that's based on confidence. Like you can decide buy, sell. Where's it going? Where's it going? Sell it, sell, sell, sell. Sounds stressful. Oh my God. I had a friend of mine that I used to do Taekwondo with that became a stock market guy and he was just into Coke and hookers. And then he got into the stock market and I ran into him once. This is when I was doing stand up. I hadn't seen him forever. He's like not a guy that you would think of being as a market guy. He was a tank. He was like 5'10, 220, big thick fucking neck. Always partying. Just a fucking animal. I think he was on steroids. And I ran into him and he was just doing Coke and drinking. And telling him he's in the stock market now. I was like you're a stock broker? He's like bro it's fucking fun man. I fucking love it man. We're selling stocks, we're making money. Like he was an animal. Like this dude was, I thought of a stock market analyst as being a guy with like a pocket protector. Well back in the day I thought they had a calculator and a computer and they really knew a lot about the business and they were just really calculated about their investments. And then I ran into this wild dude that I knew from my fighting days. I'm like this guy's wild. I'm like you're a stock broker? And he was like dude that's what we do. How long has he been in it? We're talking about a long time ago. I just ran into him randomly at a comedy club. But he had been doing it for a few years. Catch new episodes of the Joe Rogan Experience for free only on Spotify. Watch back catalog JRE videos on Spotify including clips. Easily, seamlessly switch between video and audio experience. On Spotify you can listen to the JRE in the background while using other apps and can download episodes to save on data cost all for free. Spotify is absolutely free. You don't have to have a premium account to watch new JRE episodes. 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