[ExI] robin hood steals from the poor protects the rich?

[Adrian Tymes]

Robinhood forcibly sold many individual investors' stocks in GameStop
without their consent.

Some of them had set up their accounts to have automatic limits: "please
autosell my stock if it exceeds these limits."

Some had no such agreement, and many of those are suing.

Reportedly, Robinhood took those actions so that more holders of GameStop
stock would sell, sending the price down and limiting the liability of
short sellers - one of the most famous of whom owns Robinhood.  There is
quite some conflict of interest there.

Also: it can encourage sabotage, and not just industrial.  The hedge funds
were short selling in a way designed to force GameStop into bankruptcy
(when it was merely marginal beforehand).  That is, their financial
practices themselves were designed to sabotage the company they were short
selling.  Realizing this was part of what motivated so many people to rally
to GameStop's defense and buy their stock.

On Thu, Jan 28, 2021 at 5:38 PM spike jones via extropy-chat <
extropy-chat at lists.extropy.org> wrote:

>
>
>
>
> Some of you investor hipsters, please explain it to me, for I really don’t
> get what happened today.
>
>
>
> Robin Hood stopped short sellers in GameStop?  Why?  Aren’t they just a
> brokerage house?
>
>
>
> That whole short selling business always seemed so crazy.  A bad guy could
> short sell the hell outta Tesla, then get a Tesla, put it in her garage,
> charge it to capacity, put some kind of incendiary device on it, car burns
> up the evidence along with the car and the house, headlines the next day
> sends the stock south, she covers her shorts, walks with enough cash to
> cover the cost of the car and house.
>
>
>
> I don’t see why the whole notion of short selling wouldn’t encourage that
> kind of industrial sabotage.
>
>
>
> Now watch some yahoo do exactly that, and the feds come looking for me for
> giving her the idea.  Eeesh.  Prediction: if I can think of something like
> that, people with a lotta money can think of it too.  So I predict
> something like that will happen.  It can be something like a deep fake
> video of the CEO of GameStop saying that he has become a religion guy and
> now believes there are two different genders, that sorta thing.  We saw
> what that did to Chik-fila.  It’s far too easy to imagine.
>
>
>
> spike
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