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I don't understand how "Roaring Kitty" is illegally manipulating the market. What has he done / is he doing that's illegal? Can no one post on social media tha

by Cub3 2y ago

I don't understand how "Roaring Kitty" is illegally manipulating the market. What has he done / is he doing that's illegal? Can no one post on social media that they are interested in a stock?

hiddencost 2y ago
Correct. Because he's famous, and because he's profiting off of influencing people's behavior. This is called a pump and dump scam, and is fraud. It hurts real people. It's why the regulatory framework exists, to protect naive investors from predatory ones, and ensure that misconduct doesn't overwhelm the valuable functions of the market. An old adage used to describe the law in this context: "you can be a pig, but don't be a hog".
- voisin 2y ago
  > This is called a pump and dump scam It isn’t a pump and dump if he isn’t lying about it to pump it up (talking about your own actual position or the fundamentals isn’t “pumping”) and if he isn’t dumping it (“diamond hands” is sort of his thing)
- blindriver 2y ago
  Where is the dump? Last time he held the shares for a very, very long time.
- HaZeust 2y ago
  If one can't influence the price of stock due to "fame" or "influence" in and of itself, doesn't this put public.com in extraordinarily hot water [1] ? What about Unusual Whales, Quiver Quant? 1 - https://news.crunchbase.com/venture/meet-public-com-the-social-investing-app-that-will-smith-and-j-j-watt-just-put-money-in/ https://news.crunchbase.com/venture/meet-public-com-the-soci...
- realce 2y ago
  How does this adage describe the law? Where is the deception and fraud explicitly? Where are the non-verifable claims made? Where is the dump? He has explained his thesis hundreds of times in public, he's following thru with that thesis, there's no surprise or rugpull.
- PickledHotdog 2y ago
  How is it a pump and dump? He doesn't need anyone to do anything. He has the position and the funds to make the play himself.
- metabolian 2y ago
  For him to be involved in fraudulent pump-and-dump he'd have to be an insider or being paid by insiders to pump up the price. There's zero evidence of that.
  - deleted 2y ago
    [deleted]
  - sparky_z 2y ago
    That's... not at all true. There's no insider connection required for a pump-and-dump to be considered fraud. Maybe you're confusing it with "insider trading", which is a different thing.
- BlackJack 2y ago
  In the past, he had call options that he could've sold for profit but instead he exercised them to get even more GME stock. It's literally the opposite of dumping. The whales manipulate markets much more than anything Keith Gill has done.
PickledHotdog 2y ago
He hasn't done anything illegal. He posts his positions after the market closes and he's talked about his thesis for years now. We're all just getting front row seats to the show.
- mupuff1234 2y ago
  Does his thesis still hold true? His thesis was when gme was worth way less.

by Cub3 2y ago

I don't understand how "Roaring Kitty" is illegally manipulating the market. What has he done / is he doing that's illegal? Can no one post on social media that they are interested in a stock?

hiddencost 2y ago

Correct. Because he's famous, and because he's profiting off of influencing people's behavior. This is called a pump and dump scam, and is fraud. It hurts real people. It's why the regulatory framework exists, to protect naive investors from predatory ones, and ensure that misconduct doesn't overwhelm the valuable functions of the market. An old adage used to describe the law in this context: "you can be a pig, but don't be a hog".

voisin 2y ago
> This is called a pump and dump scam It isn’t a pump and dump if he isn’t lying about it to pump it up (talking about your own actual position or the fundamentals isn’t “pumping”) and if he isn’t dumping it (“diamond hands” is sort of his thing)
blindriver 2y ago
Where is the dump? Last time he held the shares for a very, very long time.
HaZeust 2y ago
If one can't influence the price of stock due to "fame" or "influence" in and of itself, doesn't this put public.com in extraordinarily hot water [1] ? What about Unusual Whales, Quiver Quant? 1 - https://news.crunchbase.com/venture/meet-public-com-the-social-investing-app-that-will-smith-and-j-j-watt-just-put-money-in/ https://news.crunchbase.com/venture/meet-public-com-the-soci...
realce 2y ago
How does this adage describe the law? Where is the deception and fraud explicitly? Where are the non-verifable claims made? Where is the dump? He has explained his thesis hundreds of times in public, he's following thru with that thesis, there's no surprise or rugpull.
PickledHotdog 2y ago
How is it a pump and dump? He doesn't need anyone to do anything. He has the position and the funds to make the play himself.
metabolian 2y ago
For him to be involved in fraudulent pump-and-dump he'd have to be an insider or being paid by insiders to pump up the price. There's zero evidence of that.
- deleted 2y ago
  [deleted]
- sparky_z 2y ago
  That's... not at all true. There's no insider connection required for a pump-and-dump to be considered fraud. Maybe you're confusing it with "insider trading", which is a different thing.
BlackJack 2y ago
In the past, he had call options that he could've sold for profit but instead he exercised them to get even more GME stock. It's literally the opposite of dumping. The whales manipulate markets much more than anything Keith Gill has done.

PickledHotdog 2y ago

He hasn't done anything illegal. He posts his positions after the market closes and he's talked about his thesis for years now. We're all just getting front row seats to the show.

mupuff1234 2y ago
Does his thesis still hold true? His thesis was when gme was worth way less.