The White House is 'monitoring the situation' as Reddit pushes GameStop stock even higher
On January 28, as GameStop's share price reached $469, retail investment app Robinhood imposed restrictions on its users' ability to purchase certain stocks, including GameStop, which had the immediate effect of driving the price down. The restrictions were later reported to be the result of cash flow issues, and limited trading in those stocks was restored the next day. Click here for the update.
One of the more unexpected developments of the week, month, and year is the sudden comeback of GameStop. And I do mean sudden: After a gentle rise through the second half of 2020 driven by a new Microsoft partnership and promising financial results over the holiday season, the company's share price exploded from well under $20 at the start of January to, as of 1:30 pm on January 27, $325.
That jump has been fueled largely by communities of speculators like the WallStreetBets subreddit , which took issue with a cautionary tweet on January 19 from Citron Research warning that the share price would go back to $20 "fast," and that people buying in at higher prices "are the suckers at this poker game." Citron, a GameStop short seller, had good reason to want to see the price go down: The higher it rises, the more the firm stands to lose.
Reddit's furor was also directed at Melvin Capital Management, one of the biggest institutional shorters of the GameStop stock, as seen in this “Battle of GameStop” video meme posted in December:
THE BATTLE OF GAMESTOP - WSB VS MELVIN CAPITAL (sound on) from r/wallstreetbets
Simplistically, short selling works like this:
Reddit wasn't the sole driving factor behind GameStop’s climb, but it "definitely helped push it higher," industry analyst and consultant Michael Futter told us earlier this week.
"Think of it like amplifying any other kind of trolling. They are creating signal above the noise," he said. "The Reddit stuff is material, because it led to GameStop being the most traded stock on the market on Friday. Without r/WallStreetBets, that doesn't happen."
At that time, on January 25, GameStop's share price had hit a peak of $144, and then slid back down to a little under $80—a big drop, but still a remarkable price given the stock's history over the last year. But the ride wasn't over: The following day, the stock continued to climb, reaching a new high of $148, and then blew past $230 in after-hours trading, helped by none other than Elon Musk.
On January 27, it opened at a ridiculous $350, and despite some bouncing around remained within shouting distance of that figure by mid-afternoon. All of which leads to one very obvious question: What happens next?
It's hard to overstate the impact that GameStop's sudden ascendancy has had, and continues to have, on the stock market. Hedge fund Melvin Capital Management required an investment of nearly $3 billion from two other funds to stabilize the company in the wake of GameStop's initial rise, although CEO Gabe Plotkin told CNBC that reports the company was on the verge of bankruptcy are false. Melvin says it closed out its position Tuesday afternoon after suffering a "huge loss" on it, according to CNBC.
Today international brokerage TD Ameritrade took steps to protect itself and customers from the chaos, imposing "several restrictions on some transactions" involving GameStop and other securities currently targeted by Reddit, such as movie theater chain AMC. "We made this decision out of an abundance of caution amid unprecedented conditions and other factors," the company said in a statement.
One possible—even likely—outcome of all this furious activity is some sort of regulation to keep it from happening again. But how do you regulate against the actions of hordes of mostly faceless commenters, posters, and social media accounts? NASDAQ CEO Adena Friedman told CNBC that regulators need to consider advances in technology that are used to disseminate information about companies on the market as it tries to determine whether this type of online interaction qualifies as a "pump-and-dump scheme," in which investors artificially inflate the value of a company by spreading misinformation before selling their shares, or if it's a separate technological evolution that calls for some new form of regulation.
"I do think that as we look at these new technologies that are available to everyone, including investors, I think it's also important for regulators to understand that manipulation is manipulation, whether it's happening through a new technology medium, or it's happening through traditional mail," she said. "I think it's just a matter of making sure that we understand what the behavior is, what's underpinning the behavior, and working appropriately with the regulators to manage the situation, regardless of the technology that they're using."
White House press secretary Jen Psaki also confirmed that the US government is "monitoring the situation."
Social Capital CEO Chamath Palihapitiya, who bought into GameStop yesterday, described the WallStreetBets activity in a CNBC interview as "a pushback against the establishment," and credited many of the redditors who use it for doing "as good, and frankly a better job" at diligence and analysis than some hedge fund analysts. He also acknowledged the frustration and anger driving much of what the group does.
"Coming out of 2008, Wall Street took an enormous amount of risk, and they left retail [investors, ie average people] as the bag holder," he said. "A lot of these kids were in grade school and high school when that happened. They lost their homes, their parents lost their jobs, and they've always wondered, 'Why did those folks get bailed out for taking enormous amounts of risk, and nobody showed up to help my family?'"
It is perhaps telling, however, that Palihapitiya said in the same interview that he's already sold out of his GameStop holdings, earning roughly $375,000 in the process—not bad for a day's work. He added that he's going to donate the profits, plus his initial $125,000 investment, to the Barstool Fund for Small Businesses, which will no doubt make for a handsome tax writeoff.
It's less clear—that is, completely unclear—what the broader WallStreetBets endgame is. Many are exhorting others to hold onto their shares no matter what, hoping to keep pushing the price higher; in a thread entitled "I'm not selling this until at least $1000," for instance, redittor zenslapped said that it is "absolutely realistic" that the price could reach that point, if people stay committed.
"There are more shares shorted than are even in existence," they wrote. "As the naked shorters get forced into margin calls, they're going to be forced to buy shares at any price. If everyone holding just said 'fuck you - not selling' then theoretically this could squeeze to insanity land."
"Diamond hands," stock market slang for people prepared to hold their positions regardless of any risk, is also a common battle cry.
Other experts are striking a cautionary tone: "This is the equivalent of cheering on hackers when they are defacing websites of companies or governments you don't like," tweeted Jeremy Owens, San Francisco bureau chief for financial publication MarketWatch. "Please realize that by cheering this on, you are showing support for stock traders convincing unsophisticated investors to buy into struggling companies at objectively unreasonable prices. And it won't end well."
Even among the WallStreetBets crew, there is recognition that the risk of getting caught up in the hype grows commensurately with GameStop's share price. "I just got in at $320, it feels bad. Real bad," redditor Chance-Stage3802 wrote. "Esp cuz my hand was hovering over the BUY button yesterday at $85. I just can’t sit on the sidelines anymore."
Another, named QU4TTRO, echoed the sentiment, replying, "Almost exactly the same... hovering at $83 yesterday and bit bullet today at $316."
Regardless of any potential regulatory changes, the impact of GameStop's meteoric rise may have an impact on how investment firms approach their short selling strategies. According to the CBC, for instance, Citron Research founder Andrew Left said his firm will take "a fresh look at how it bets against companies" after suffering a major loss on GameStop.
Interestingly, despite its losses, Citron also appears opposed to new regulations to protect against this sort of shenanigans:
And despite all the very clear risks and potential losses, which will no doubt do real harm to at least some of the people drawn in by the excitement, a festive air persists.
Update: A few hours after this story went live, the Wall Street Bets Discord server was banned—not for potentially fraudulent behavior, but for spreading "hateful and discriminatory content." In response, the subreddit mods posted a message saying that "we're suffering from success and our Discord was the first casualty."
"You know as well as I do that if you gather 250k people in one spot someone is going to say something that makes you look bad. That room was golden and the people that run it are awesome," it says.
"We blocked all bad words with a bot, which should be enough, but apparently if someone can say a bad word with weird unicode UIcelandic characters and someone can screenshot it you don't get to hang out with your friends anymore. Discord did us dirty and I am not impressed with them destroying our community instead of stepping in with the wrench we may have needed to fix things, especially after we got over 1,000 server boosts."
The mods also announced the creation of an official WallStreetBets Twitter account. "@wsbmod is the only Twitter handle whose statements are directly from some part of the team," they said. "We'll do our best not to pretend to speak for you, but to try to speak with the volume our name now seems to command to get shit done for us."
January 28: Robinhood restricts GameStop trading
Today, GameStop hit a new high mark, surpassing $469 per share, but the wheels came off when Robinhood, an investment app used by many of those in the WallStreetBets subreddit, placed restrictions on GameStop and other stocks, including AMC and Blackberry.
"We continuously monitor the markets and make changes where necessary. In light of recent volatility, we are restricting transactions for certain securities to position closing only, including $AMC, $BB, $BBBY, $EXPR, $GME, $KOSS, $NAKD and $NOK. We also raised margin requirements for certain securities," Robinhood said in a statement.
"We’re committed to helping our customers navigate this uncertainty. We fundamentally believe that everyone should have access to financial markets. We’re humbled to have helped many people invest in the markets for the first time. And we’re determined to provide new and experienced investors with the tools and resources to help them invest responsibly for their long-term financial futures."
According to posts in the WallStreetBets subreddit, Robinhood now allows users to sell their GameStop shares, but not purchase any more. It's not clear to me how exactly the statement "everyone should have access to financial markets" jibes with denying people access to financial markets, and I'm not the only one. US Representatives including Ted Lieu, Rashida Tlaib, and Alexandra Ocasio-Cortez had similar thoughts:
WallStreetBets users have been scrambling to find other brokers with which to carry on their business. In less than two hours, GameStop's share price plummeted from $469 to $126. It then bounced back to over $300 again, before slowly tailing back to a little over $200 as of 1 pm Eastern.
GameStop's share price was bound to come back to reality sooner or later, but the brazenness of Robinhood's actions has, predictably, led to a heavily-upvoted WallStreetBets thread calling for legal action against the company.
However, attorney Ryan Morrison of the digital entertainment-focused legal firm Morrison Rothman believes that such a class action suit would would only benefit the lawyers. "System is rigged from start to finish," he said.
Update: A report in the New York Times says Robinhood was forced to temporarily halt the purchase of GameStop and other shares because the sudden, massive influx of buyers created cash flow problems that the company couldn't manage. It was forced to draw on a line of credit from multiple banks, in the amount of $500-$600 million, to ensure that it was able to continue operating without further restrictions. The report also says that Robinhood received $1.3 billion in venture capital backing over the past year, and is currently valued at nearly $12 billion.
Robinhood co-founder Vladimir Tenev said on Twitter that the company would begin allowing "limited buys" of the restricted stocks today, although he suggested that ongoing activity on Reddit could continue to cause issues.
"As a brokerage firm, we have many financial requirements, including SEC net capital obligations and clearinghouse deposits," Robinhood said in a blog post. "Some of these requirements fluctuate based on volatility in the markets and can be substantial in the current environment. These requirements exist to protect investors and the markets and we take our responsibilities to comply with them seriously, including through the measures we have taken today."
"To be clear, this was a risk-management decision, and was not made on the direction of the market makers we route to."
The company also detailed the limits that are currently in place on transactions, which along with GameStop also impact AMC Entertainment, Bed Bath and Beyond, Blackberry, Koss (who remembers Koss headphones?), Nokia, and several others. The restriction limits GameStop purchases to single shares (subject to change throughout the day), but even so the price seems to be holding: As of 2:30 pm ET on January 29, it was trading at just under $300, far from its peak but more than double what it fell to when Robinhood initially halted new share purchases outright.
This story is part of a group of stories called
It isn’t enough to have great new devices, apps, and games — you also have to know how to use them. Here at The Verge, we offer step-by-step how-tos for experienced and new users who are working with online, macOS, Windows, Chrome OS, iOS, and Android apps, services, phones, laptops, and other tools. From simple instructions on how to install and use new devices, to little-known strategies on how to take advantage of hidden features and the best methods for adding power or storage, we’ve got your technological back.
Reddit is finally rolling out a top-requested feature among users: native dark mode. In a blog post, the company said the desktop Night Mode theme is now available to everyone after being rolled out to employees for testing a few weeks ago. Night mode offers users a black theme rather than the classic white, and it’s an option well-suited to those who enjoy browsing late into the night.
Reddit notes that Night Mode already exists in its native mobile apps and the old desktop webpage (via the Reddit Enhancement Suite browser extension). The company’s first site redesign in a decade began rolling out last month, with a native Night Mode listed as a “what’s next” feature for the days ahead.
That day has now arrived.
HOW DO I ENABLE NATIVE NIGHT MODE?
If Reddit’s redesign is already live for you, just go to the top right of your screen in your desktop web browser, click on your username, then click on the toggle for Night Mode.
For those still on the older Reddit design, you can access Night Mode by opting into the new layout. To do so go to the Option tab in your Preferences, scroll down to “beta options,” then click the box that says “I would like to beta test features for Reddit” and hit “save options.” A new option will now appear for “use the redesign as my default experience.” Tick its box, mash the “save options” button, and you should be all set.
WHY NIGHT MODE?
Twitter introduced a night mode for its desktop site back in 2017, while YouTube started rolling out a dark theme to its mobile apps on iOS and Android in March. It’s a good option to have if you find browsing in a white theme harder, especially at night. In a blog post on Thursday, Reddit said:
“The Design team worked hard on creating a smaller color system, using one already in place for our native mobile apps as a basis. This also allowed us to ensure that the experience was consistent over all our platforms. It also improves the accuracy for our colors since relying on a key that automatically changes with Night Mode removes the risk of overlooking how a component should look in Night Mode.”
In This Stream
Dark mode has taken over: the latest on this battery-saving featureView all 48 stories Sours: https://www.theverge.com/2018/5/25/17393320/reddit-night-mode-dark-how-to
The best Reddit client for Windows phone is now available on any of your Windows devices. Readit has moderator support and support for many gold features as well! Welcome to Readit! A beautiful, well-crafted reddit app for the Windows Platform. From features like secondary tiles, a stunning interface, and complete markdown support, you are missing out if you aren't using Readit for your reddit browsing habits on Windows. Readit supports so many features, including the following: • Gold Feature Support • Secondary Tiles • Toast Notifications - Detailed for specific users/messages/comment replies • Pinning Subreddits to your start screen for easy access • Complete Imgur integration with native Album browsing • Gilded comments indicator • Complete Reddit markdown support • Very high performance • Customizable Theme • A stunning and beautiful interface • Many more features Grab our app, rate it and stop on by /r/readit and give us some feedback or post general questions. We will be happy to answer you.
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What's new in this version
220.127.116.11 ---------- * Fixed settings resetting (so sorry, I have been really busy) * Fixed the comments header/return to top button appearing over top of the post when just switching posts
Published byMessage Across Studios
Message Across Studios
Developed byMessage Across Studios
Message Across Studios
Approximate size31.68 MB
Age ratingFor ages 17 and up
For ages 17 and up
Reddit for Pc
Introduction to Reddit app for PC
Conversing on the internet isn't a new idea. There are groups and groups that spend time on the internet just having great conversations and linking up in real life. One of those communities where people come together to have interesting discussions is Reddit.
Reddit is a great and also huge platform that has categories of people discussing about what and what they find interesting. Some of those categories include Gaming communities, Bloggers, Meme Creators, Support groups, News Junkies, Seasoned Professionals and thousands of others like it. There are over 100,000 communities on Reddit and almost any topic you may think of right now has been addressed in one or more of those groups. It is such a huge resource too as it can help for research purposes.
With over 50 million installs, you already know that Reddit is a great resource for all kinds of people. It doesn't matter.
Features of Reddit:
- Live video streams, chats and discussions
- So many crows sourced points of view on almost about anything.
- Anonymous profiles for those who prefer to be so
- Answers to Anonymous questions asked by people too afraid to ask.
- Lots of funtertainment.
- Priceless discussions you may never see anywhere else.
What is Reddit used for?
Imagine having a pressing question for weeks and you know no professionals that can give you the exact kind of answer you're seeking? Or imagine you're looking for a community of people who love cats and dogs. Or you're simply looking to be friends with like minded individuals on topics like American Politics, Philosophy, True Feminism, etc
Reddit is one of the few places you will find what you're looking for. Who knows? Maybe you're looking for tech guides, startup founders, investment opportunities. You will have a much better chance of finding what it is you're looking for when you go to Reddit. The platform is almost limitless with conversations and opportunities. And the best part? All of this is in real time as their active users are up to 430 million per month according to BackLinko Statistics.
Think real life conversations and interaction? Think Reddit.
Advantages of using Reddit
- You never run out of useful conversations.
- You have the opportunity constantly to connect with real life customers and make valuable connections.
- You can build a devoted audience in a community.
- You can position yourself as an expert with all your constant contributions and make bani subsequently.
- You meet like minded individuals just like you who tread the same paths as you.
- You learn invaluable lessons and get reasonable answers to pressing questions.
- You can be anonymous and comfortable being so while learning and growing.
- It's a simple to use.
- It is a great source of traffic.
- If you're not careful, you may have an overload of information.
- There is too much pressure sometimes to constantly produce great content.
- It is likely that your work may get lost in the throng of people and information and not get to your ideal prospect.
- Criticism of works not agreed with can be hurtful.
Download and install Reddit on your Laptop or Desktop computer
Hurray! Seems an app like reddit is available for Windows! Download below:
|1.||Reddit on ReddHub||Download||4.2/5 |
|2.||Reddit ReddHubV2||Download||3.9/5 |
|3.||Redditting for Reddit||Download||4.1/5 |
Not satisfied? Check for compatible PC Apps or Alternatives
Or follow the guide below to use on PC:
If you want to install and use the Reddit app on your PC or Mac, you will need to download and install a Desktop App emulator for your computer. We have worked diligently to help you understand how to use this app for your computer in 4 simple steps below:
Step 1: Download an Android emulator for PC and Mac
Ok. First things first. If you want to use the application on your computer, first visit the Mac store or Windows AppStore and search for either the Bluestacks app or the Nox App >> . Most of the tutorials on the web recommends the Bluestacks app and I might be tempted to recommend it too, because you are more likely to easily find solutions online if you have trouble using the Bluestacks application on your computer. You can download the Bluestacks Pc or Mac software Here >> .
Step 2: Install the emulator on your PC or Mac
Now that you have downloaded the emulator of your choice, go to the Downloads folder on your computer to locate the emulator or Bluestacks application.
Once you have found it, click it to install the application or exe on your PC or Mac computer.
Now click Next to accept the license agreement.
Follow the on screen directives in order to install the application properly.
If you do the above correctly, the Emulator app will be successfully installed.
Step 3: for PC - Windows 7/8 / 8.1 / 10
Now, open the Emulator application you have installed and look for its search bar. Once you found it, type Reddit in the search bar and press Search. Click on Redditapplication icon. A window of Reddit on the Play Store or the app store will open and it will display the Store in your emulator application. Now, press the Install button and like on an iPhone or Android device, your application will start downloading. Now we are all done.
You will see an icon called "All Apps".
Click on it and it will take you to a page containing all your installed applications.
You should see the icon. Click on it and start using the application.
Step 4: for Mac OS
Hi. Mac user!
The steps to use Reddit for Mac are exactly like the ones for Windows OS above. All you need to do is install the Nox Application Emulator or Bluestack on your Macintosh. The links are provided in step one
Need help or Can't find what you need? Kindly contact us here →
Reddit On iTunes
|Download||Developer||Rating||Score||Current version||Adult Ranking|
|Free On iTunes||1675071||4.84718||2021.04.0||17+|
Thank you for reading this tutorial. Have a nice day!
Reddit Software Features and Description
Top Pcmac Reviews
The most unique and customized social media platform out there
By Superbat211 (Pcmac user)
Many people look at me like I’m a nerd or dweeb when I say something about Reddit, but that’s just because they’ve never used it. Reddit possesses its own culture, comment memes, and sense of humor and it is just delightful. It’s where you can have a simple epiphany that gains you underserved adoration from thousands of random Redditors, and where you might just have the cofounder ask you if you’re his brother (both of which have happened to me, thank you Mr. O’Hanion). Reddit creates a feed based on your interests. There are thousands of subs dedicated to very specific things, many of which you didn’t even realize you were interested in. It’s not like FB or IG where you scroll and hope to find something interesting or relevant to you. On Reddit, the feed is made up of things you subbed to, and after you create a feed, you get to get your hands dirty in the comments... just do it, you won’t regret it.
Welcome to your community
By baller_chick232 (Pcmac user)
I’ve known about reddit for a long time. My partner constantly sent me links of such random interesting bits of information, memes, news articles, conspiracy theories, etc. But it always seemed like a scrolling trap to me. I decided to download the app on a whim and shortly after created an account. I was diagnosed with bipolar disorder about a year ago and the hardest part was having no one in my life to truly connect with over my experiences. I looked for online forums, support groups, even hotlines in desperation. But it all felt surface-level and people couldn’t really share what’s truly on their minds. I was spiraling. I found a community on reddit of people who were in my exact same boat. Reddit provides a platform for people to connect in a relaxed and creative way to share what’s truly in their hearts and minds. There is a subreddit for almost anything. I can’t recommend this app enough.
It works well
By Jjss dtr (Pcmac user)
I always used alien blue and still have it on my phone. The official Reddit app has crashed/frozen probably 2 times in the past year or so. I don't like the advertisements and never had them on the alien blue app, but I understand it's a necessary evil. I would like the app to have some different features but since I only use Reddit on mobile I don't have a fair view of what's offered on the website or the often lauded Reddit Enhancement Suite; I know I would like to sort by rising, switch between commenting and checking another sub Reddit (to reference or link) without loosing/ having to cut and paste my comment. I feel any issues I have with the app are likely larger issue with the company- for example the report function has gone to crap, you used to be able to just report and presumably a mod would review it but now you have to choose a specific rule that was broken and I think it'll dissuade new users from reporting when they should.
By senatorlance (Pcmac user)
The whole app is put together very well with a good system of rewarding the best comments by giving them more exposure by bumping to the top and the “Karma points” is like no other media app that I used. The minimalistic interface of the main page is easily navigated as well. It’s all great, BUT, the political subreddits that are so called “neutral” (/r politics /r worldnews) are 98% left leaning where the posts are predominantly liberal. Due to the demographics of Reddit(large young population/ academics/tech community/ etc) any opinion that questions their narrative or simply doesn’t agree, gets downvoted by the entire community, disproportionally downvoting your comment/post until you have negative karma points inevitably by stating your mind in “neutral” subreddits. There needs to be algorithms that pick up on these patterns that counter balance the bias or remove politics from the app altogether and create a political Reddit separate from Reddit. This will solve the problem of the echo chamber style subreddits and removed censorship from this free speech platform. That is all.
Similar apps in News
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Run Reddit in distraction-free window, manage multiple Reddit accounts easily and much much more with the unofficial Reddit desktop app for macOS, Windows and Linux on WebCatalog.
Reddit (stylized in its logo as reddit) is an American social news aggregation, web content rating, and discussion website. Registered members submit content to the site such as links, text posts, and images, which are then voted up or down by other members. Posts are organized by subject into user-created boards called "subreddits", which cover a variety of topics such as news, politics, science, movies, video games, music, books, sports, fitness, cooking, pets and image-sharing. Submissions with more up-votes appear towards the top of their subreddit and, if they receive enough up-votes, ultimately on the site's front page. Despite strict rules prohibiting harassment, Reddit's administrators spend considerable resources on moderating the site.As of May 2020, Reddit ranks as the 19th-most-visited website in the U.S. and in the world, according to Alexa Internet, with 55% of its user base coming from the United States, followed by the United Kingdom at 7.4% and Canada at 5.8%.Reddit was founded by University of Virginia roommates Steve Huffman and Alexis Ohanian in 2005. Condé Nast Publications acquired the site in October 2006. In 2011, Reddit became an independent subsidiary of Condé Nast's parent company, Advance Publications. In October 2014, Reddit raised $50 million in a funding round led by Sam Altman and including investors Marc Andreessen, Peter Thiel, Ron Conway, Snoop Dogg, and Jared Leto. Their investment valued the company at $500 million then. In July 2017, Reddit raised $200 million for a $1.8 billion valuation, with Advance Publications remaining the majority stakeholder. In February 2019, a $300 million funding round led by Tencent brought the company's valuation to $3 billion.
Disclaimer: We are not affiliated, associated, authorized, endorsed by or in any way officially connected to Reddit except for the fact that we use their websites to develop and provide you this app. All product names, logos, and brands are property of their respective owners.
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