WallStreetBets, the Reddit-based grassroots motion that achieved notoriety for short-squeezing hyper-leveraged monetary corporations, has launched
WallStreetBets, the Reddit-based grassroots motion that achieved notoriety for short-squeezing hyper-leveraged monetary corporations, has launched a brand new blockchain-based utility geared toward combating market manipulation in conventional finance.
The group introduced the creation of WallStreetBets Alternate Traded Portfolios, or ETPs, that may present traders with broad publicity to varied property in a totally decentralized method. The group defined:
“WallStreetBets ETPs might function a substitute for type of the market manipulation by opaque and politically related banks and hedge funds.”
The product is powered by a decentralized autonomous group, or DAO, which implies portfolio rebalancing is the only real area of group members who train their rights via the forthcoming WSB token. Though the group did not specify when the brand new product will launch, it has reportedly engaged specialists from the fields of blockchain and fintech to design the brand new providing.
Jaime Rogozinski, the founding father of WallStreetBets, referred to as the merger between blockchain and monetary markets because the “subsequent logical step for finance,” including that “it’ll lead to stronger, extra democratized markets and can empower people all over the world.”
The r/WallStreetBets Reddit group at the moment has 10 million members, having greater than doubled since late-January when the GameStop drama first unfolded. WallStreetBets burst into the highlight after its group collectively wolfed up shares of closely shorted GameStop and AMC shares, sending their value hovering — and torching short-selling hedge funds within the course of. Wall Avenue’s greatest and brightest betting in opposition to these so-called “meme shares” misplaced over $5 billion on the ordeal.
Regardless of constructing its newest product on the blockchain, WallStreetBets just lately moved to ban all cryptocurrency-related discussions after Bloomberg soured over the group’s alleged infatuation with the digital asset market. Subreddit moderator u/bawse1 defined:
“Because of the article that was written [by] Bloomberg who by some means felt that ‘WallStreetBets Bows to Crypto.’ Crypto dialogue is banned indefinitely. I’ve learn loads of dumb articles written about wsb. This one takes the cake. P.S. Like at all times. Please be respectful.”