WallStreetBets founder tells Logan Paul why GameStop boom is ‘pissing off’ Wall Street - Dexerto
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WallStreetBets founder tells Logan Paul why GameStop boom is ‘pissing off’ Wall Street

Published: 29/Jan/2021 2:16 Updated: 29/Jan/2021 11:25

by Theo Salaun

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On the latest Impaulsive podcast episode, Logan Paul brought on the WallStreetBets subreddit founder to discuss the GameStop boom, Robinhood drama, and why it’s all infuriating Wall Street hegemons. 

While he may not be as active as he once was on Reddit, Jaime Rogozinski founded the r/wallstreetbets (r/WSB) subreddit and remains entrenched in the community.

Well-aware of the WSB forum’s history, he provides a nuanced perspective that Paul deemed useful for the ongoing GameStop investment drama.

In the past week, WSB and affiliated TikTok communities have propelled skyrocketing GameStop ($GME) prices along with other poorly performing companies (e.g. AMC Theatres, Nokia, Blackberry) that hedge funds thought they could comfortably short.

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Without diving too deeply into the specifics, these retail investors across the internet are treating traditional traders to an unprecedented short squeeze and drama has unfolded. As hedge funds react and apps like Robinhood shut down trading, Rogozinski joined the Impaulsive podcast and explained precisely why these market fluctuations are infuriating Wall Street. 

For mobile users, segment begins at 20:25.

Noting the seemingly frivolous nature of WSB, specifically “doge,” the “little meme dog” and “stonks,” co-host Mike Majlak asks Rogozinski if there’s an added dimension to the recent drama. Outside of simply making money or even exposing issues with financial institutions, Majlak wonders if the internet’s behavior is unnerving Wall Street.

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And Rogozinski’s response is undoubtedly in the affirmative.

“Absolutely it’s got to piss these people off. They had to go and learn about discounted cash flows … and get these certifications. And these guys are sitting there going ‘Haha, my Tesla has a ludicrous button’ … and then they make a funny TikTok video and then they actually make money.”

Past the “poetic justice” and “feel-good story” of upending traditional financial structures as the lower classes exploit the billionaire class for money, Rogozinski argues that the silly nature of internet behavior is personally unsettling for Wall Street’s “old-timers.”

When you listen to reactions from hedge fund billionaires like Leon Cooperman, Rogozinski’s point is aptly reinforced. The rocket and moon emojis, trending Twitter hashtags and “hold the line” memes have all constituted joking on the internet while affecting real business.

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As for the angry, traditional investors who are spelling doom for retail traders who are at risk of ‘losing their shirt’ because they’re not as experienced, on behalf of the internet, Rogozinski is unfazed. 

“Well, they haven’t lost their shirt yet and it’s been a while since they’ve been doing this — long before GameStop. And the fact is, their little funny pictures are having an effect.”