How retail investors on Reddit were punished for breaking the stock market \u2014 and the crypto world\u2019s response.Dumb money is a term institutional investors and mutual funds use to refer to a group that doesn\u2019t have access to analysts or compiled data (sometimes considered synonymous with retail investors). they often make trades based on instinct. Of course, the availability of information on the web has challenged the delineation between informed and uninformed buyers.There are many common catchphrases you will find in white papers of most blockchain projects, but among them is the idea of \u201cdemocratizing finance\u201d \u2014 taking power out of the hands of the financial elite and giving it to the will of the people.But it takes events within traditional markets to show us in practical terms what decentralized finance is fighting for.On Wednesday 1\/27\/21, GameStop shares gained another 120% in Wednesday trading in New York. This was an unexpected turn of events from the point of view of institutional investors \u2014 but the real news is who is driving GameStop\u2019s gains.For those who are not familiar, Subreddit \/r\/WallStreetBets (which claims nearly 400,000 followers) has been working on this particular market movement for some time. Their motivations are multi-faceted:GameStop looks like a bad bet by conventional standards \u2014 it is a brick-and-mortar retail vendor of video games and merchandise in a pandemic world where most people are going outdoors less and spending more time in front of their screens.Redditors have a different perspective on the retailer \u2014 GameStop is a nostalgic part of their childhood.Redditors on WallStreetBets noticed that hedge funds are shorting GameStop, expecting the stock to continue to decline.The subreddit investors decided to take matters into their own hands and save the corporation that they semi-ironically love by investing in a coordinated fashion in GameStop and pumping\u2026<\/p>","protected":false},"excerpt":{"rendered":"
How retail investors on Reddit were punished for breaking the stock market \u2014 and the crypto world\u2019s response.Dumb money is a term institutional investors and mutual [\u2026]<\/span><\/p>","protected":false},"author":0,"featured_media":2796,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[35],"tags":[],"_links":{"self":[{"href":"https:\/\/afluxcoin.com\/ru\/wp-json\/wp\/v2\/posts\/3375"}],"collection":[{"href":"https:\/\/afluxcoin.com\/ru\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/afluxcoin.com\/ru\/wp-json\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"https:\/\/afluxcoin.com\/ru\/wp-json\/wp\/v2\/comments?post=3375"}],"version-history":[{"count":0,"href":"https:\/\/afluxcoin.com\/ru\/wp-json\/wp\/v2\/posts\/3375\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/afluxcoin.com\/ru\/wp-json\/"}],"wp:attachment":[{"href":"https:\/\/afluxcoin.com\/ru\/wp-json\/wp\/v2\/media?parent=3375"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/afluxcoin.com\/ru\/wp-json\/wp\/v2\/categories?post=3375"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/afluxcoin.com\/ru\/wp-json\/wp\/v2\/tags?post=3375"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}