The /wallstreetbets GME retail investors vs the 0.1% situation has lead me to a place of clarity. The game is rigged, and the owners of the system will react with haste and break any laws they must to protect their cartel. For those not following the event
- Retail investors, realised the shares of GME and some other companies were heavily shorted and in short supply, so they started buying in the hope of forcing a short squeeze (whereby the holder of the shorts will then have to buy more stock to cover their shorts, sending the price through the roof, an example is Volkswagen [VW] in the 2000's). This is perfectly legal.
- the plan worked, GME went from $2 to $470 in a short space of time.
- Melvin Capital, a Hedge fund took a massive (likely $6 billion) short position in GME and faced closure if the bet went against them, they were losing money at a fast rate and got a bail out last week by other wall street Hedge funds.
- Melvin Capital then went on CNBC and other networks to reveal they had closed their short positions, it's highly unlikely as the options volume did not back up their claim, they were simply spreading disinformation, again this is perfectly legal
- the retail investors at /wallstreetbets simply would not give up, they kept buying, the end goal could have seen the stock reach $5K based on the VW scenario.
- the 0.1% moved to then protect the 0.1% from losing money by using the stock brokerages they own or control(Robinhood, TD, IB and all the other big players) to firstly prevent the retail investors buying more stock, you could simply not buy these stocks, you could only sell, some companies even forcibly closed down open options positons even in the absense of margin calls, so your account is in good standing with enough liquidity and they decide which stock you can have and which you can not, in this time big institutions are allowed to buy as much of this stock as they desire, just the retail traders are locked out of the casino. This is highly illegal and known as market manipulation, it also flies in the face of the idea that we have a free market.
- people like AOC, Elon Musk, Chamath have all come out on the site of the retail traders at /wallstreetbets
- Interactive Brokers chairman and founder Thomas Peterffy goes on CNBC’s “Closing Bell” an is literally weeping, explaining he feels hurt that his large, moneyed 0.1% friends are losing money due to the retail investors, oh the horror, how can these small investors make my friends lose money? Don't they know the implications of their actions? The horror.
The guys at /wallstreetbets simply did not understand that in our world only old money gets to make real money, the little guy must be shut down and should never have a slice of the action, all he gets is inflation and a 9 to 5 job, plus side hustle if he/she's lucky. If the little guy ever finds a way to gain an advantage the loophole is quickly closed.
- the SEC Chair then threatens to investigate the redditors on /wallstreetbets by tracking down their IP numbers with the help of reddit
- The /wallstreetbets discord server is banned.
All the years I talked trash about bitcoin, I apologise, now I genuinely understand the value of having a system not controlled by the government, where they can not on a whim decide to inflate the money supply and bail out their friends, while you carry the load in the form of additional taxes and inflation.

The Russia Mafia is part and parcel of Russian intelligence. Russia is a mafia state. That is not a metaphor. Putin is head of the Mafia. So the fact that they have deep ties to Donald Trump is deeply disturbing. Trump conducted FIVE completely private meetings and conferences with Putin, and has gone to great lengths to prevent literally anyone, even people in his administration, from learning what was discussed.
According to an ex-KGB spy...Russia has been cultivating Trump as an asset for 40 years.
Trump was first compromised by the Russians in the 80s. In 1984, the Russian Mafia began to use Trump real estate to launder money.
In 1984, David Bogatin — a convicted Russian mobster and close ally of Semion Mogilevich, a major Russian mob boss — met with Trump in Trump Tower right after it opened. Bogatin bought five condos from Trump at that meeting. Those condos were later seized by the government, which claimed they were used to launder money for the Russian mob.
“During the ’80s and ’90s, we in the U.S. government repeatedly saw a pattern by which criminals would use condos and high-rises to launder money,” says Jonathan Winer, a deputy assistant secretary of state for international law enforcement in the Clinton administration. “It didn’t matter that you paid too much, because the real estate values would rise, and it was a way of turning dirty money into clean money. It was done very systematically, and it explained why there are so many high-rises where the units were sold but no one is living in them.”
When Trump Tower was built, as David Cay Johnston reports in The Making of Donald Trump, it was only the second high-rise in New York that accepted anonymous buyers.
In 1987, the Soviet ambassador to the United Nations, Yuri Dubinin, arranged for Trump and his then-wife, Ivana, to enjoy an all-expense-paid trip to Moscow to consider business prospects.
A short while later he made his first call for the dismantling of the NATO alliance. Which would benefit Russia.
At the beginning of 1990 Donald Trump owed a combined $4 billion to more than 70 banks, with $800 million personally guaranteed by his own assets, according to Alan Pomerantz, a lawyer whose team led negotiations between Trump and 72 banks to restructure Trump’s loans. Pomerantz was hired by Citibank.
Interview with Pomerantz
Trump agreed to pay the bond lenders 14% interest, roughly 50% more than he had projected, to raise $675 million. It was the biggest gamble of his career. Trump could not keep pace with his debts. Six months later, the Taj defaulted on interest payments to bondholders as his finances went into a tailspin.
In July 1991, Trump’s Taj Mahal filed for bankruptcy.
So he bankrupted a casino? What about Ru...
The Trump Taj Mahal casino broke anti-money laundering rules 106 times in its first year and a half of operation in the early 1990s, according to the IRS in a 1998 settlement agreement.
The casino repeatedly failed to properly report gamblers who cashed out $10,000 or more in a single day, the government said."The violations date back to a time when the Taj Mahal was the preferred gambling spot for Russian mobsters living in Brooklyn, according to federal investigators who tracked organized crime in New York City. They also occurred at a time when the Taj Mahal casino was short on cash and on the verge of bankruptcy."
....ssia
So by the mid 1990s Trump was then at a low point of his career. He defaulted on his debts to a number of large Wall Street banks and was overleveraged. Two of his businesses had declared bankruptcy, the Trump Taj Mahal Casino in Atlantic City and the Plaza Hotel in New York, and the money pit that was the Trump Shuttle went out of business in 1992. Trump companies would ultimately declare Chapter 11 bankruptcy two more times.
Trump was $4 billion in debt after his Atlantic City casinos went bankrupt. No U.S. bank would touch him. Then foreign money began flowing in through Deutsche Bank.
The extremely controversial Deutsche Bank. The Nazi financing, Auschwitz building, law violating, customer misleading, international currency markets manipulating, interest rate rigging, Iran & others sanctions violating, Russian money laundering, salvation of Donald J. Trump.
The agreeing to a $7.2 billion settlement with with the U.S. Department of Justice over its sale and pooling of toxic mortgage securities and causing the 2008 financial crisis bank.
The appears to have facilitated more than half of the $2 trillion of suspicious transactions that were flagged to the U.S. government over nearly two decades bank.
The embroiled in a $20b money-laundering operation, dubbed the Global Laundromat. The launders money for Russian criminals with links to the Kremlin, the old KGB and its main successor, the FSB bank.
That bank.
Three minute video detailing Trump's debts and relationship with Deutsche Bank
In 1998, Russia defaulted on $40 billion in debt, causing the ruble to plummet and Russian banks to close. The ensuing financial panic sent the country’s oligarchs and mobsters scrambling to find a safe place to put their money. That October, just two months after the Russian economy went into a tailspin, Trump broke ground on his biggest project yet.
Directly across the street from the United Nations building.
Russian Linked-Deutsche Bank arranged to lend hundreds of millions of dollars to finance Trump’s construction of a skyscraper next to the United Nations.
Construction got underway in 1999.
Units on the tower’s priciest floors were quickly snatched up by individual buyers from the former Soviet Union, or by limited liability companies connected to Russia. “We had big buyers from Russia and Ukraine and Kazakhstan,” sales agent Debra Stotts told Bloomberg. After Trump World Tower opened, Sotheby’s International Realty teamed up with a Russian real estate company to make a big sales push for the property in Russia. The “tower full of oligarchs,” as Bloomberg called it, became a model for Trump’s projects going forward. All he needed to do, it seemed, was slap the Trump name on a big building, and high-dollar customers from Russia and the former Soviet republics were guaranteed to come rushing in.
New York City real estate broker Dolly Lenz told USA TODAY she sold about 65 condos in Trump World at 845 U.N. Plaza in Manhattan to Russian investors, many of whom sought personal meetings with Trump for his business expertise.
“I had contacts in Moscow looking to invest in the United States,” Lenz said. “They all wanted to meet Donald. They became very friendly.”Lots of Russian and Eastern European Friends. Investing lots of money. And not only in New York.
Miami is known as a hotspot of the ultra-wealthy looking to launder their money from overseas. Thousands of Russians have moved to Sunny Isles. Hundreds of ultra-wealthy former Soviet citizens bought Trump properties in South Florida. People with really disturbing histories investing millions and millions of dollars. Igor Zorin offers a story with all the weirdness modern Miami has to offer: Russian cash, a motorcycle club named after Russia’s powerful special forces and a condo tower branded by Donald Trump.
Thanks to its heavy Russian presence, Sunny Isles has acquired the nickname “Little Moscow.”
From an interview with a Miami based Siberian-born realtor... “Miami is a brand,” she told me as we sat on a sofa in the building’s huge foyer. “People from all over the world want property here.” Developers were only putting up luxury properties because they “know that the crisis has not affected people with money,”
Most of her clients are Russian—there are now three direct flights per week between Moscow and Miami—and increasing numbers are moving to Florida after spending a few years in London first. “It’s a money center, and it’s a lot easier to get your money there than directly to the US, because of laws and tax issues,” she said. “But after your money has been in London for a while, you can move it to other places more easily.”
In the 2000s, Trump turned to licensing deals and trademarks, collecting a fee from other companies using the Trump name. This has allowed Trump to distance himself from properties or projects that have failed or encountered legal trouble and provided a convenient workaround to help launch projects, especially in Russia and former Soviet states, which bear Trump’s name but otherwise little relation to his general business.
Enter Bayrock Group, a development company and key Trump real estate partner during the 2000s. Bayrock partnered with Trump in 2005 and invested an incredible amount of money into the Trump organization under the legal guise of licensing his name and property management. Bayrock was run by two investors:
Felix Sater, a Russian-born mobster who served a year in prison for stabbing a man in the face with a margarita glass during a bar fight, pleaded guilty to racketeering as part of a mafia-driven "pump-and-dump" stock fraud and then escaped jail time by becoming a highly valued government informant. He was an important figure at Bayrock, notably with the Trump SoHo hotel-condominium in New York City, and has said under oath that he represented Trump in Russia and subsequently billed himself as a senior Trump advisor, with an office in Trump Tower. He is a convict who became a govt cooperator for the FBI and other agencies. He grew up with Micahel Cohen --Trump's disbarred former "fixer" attorney. Cohen's family owned El Caribe, which was a mob hangout for the Russian Mafia in Brooklyn. Cohen had ties to Ukrainian oligarchs through his in-laws and his brother's in-laws. Felix Sater's father had ties to the Russian mob.
Tevfik Arif, a Kazakhstan-born former "Soviet official" who drew on bottomless sources of money from the former Soviet republic. Arif graduated from the Moscow Institute of Trade and Economics and worked as a Soviet trade and commerce official for 17 years before moving to New York and founding Bayrock. In 2002, after meeting Trump, he moved Bayrock’s offices to Trump Tower, where he and his staff of Russian émigrés set up shop on the twenty-fourth floor.
Arif was offering him a 20 to 25 percent cut on his overseas projects, he said, not to mention management fees. Trump said in the deposition that Bayrock’s Tevfik Arif “brought the people up from Moscow to meet with me,”and that he was teaming with Bayrock on other planned ventures in Moscow. The only Russians who are likely have the resources and political connections to sponsor such ambitious international deals are the corrupt oligarchs.
In 2005, Trump told The Miami Herald “The name has brought a cachet to certain areas that wouldn’t have had it,” Dezer said Trump’s name put Sunny Isles Beach on the map as a classy destination — and the Trump-branded condo units sold “10 to 20 percent higher than any of our competitors, and at a faster pace.”“We didn’t have any foreclosures or anything, despite the crisis.”
In a 2007 deposition that was part of his unsuccessful defamation lawsuit against reporter Timothy O’Brien Trump testified "that Bayrock was working their international contacts to complete Trump/Bayrock deals in Russia, Ukraine, and Poland. He testified that “Bayrock knew the investors” and that “this was going to be the Trump International Hotel and Tower in Moscow, Kiev, Istanbul, et cetera, and Warsaw, Poland.”
In 2008, Donald Trump Jr. gave the following statement to the “Bridging U.S. and Emerging Markets Real Estate” conference in Manhattan: “[I]n terms of high-end product influx into the United States, Russians make up a pretty disproportionate cross-section of a lot of our assets; say in Dubai, and certainly with our project in SoHo and anywhere in New York. We see a lot of money pouring in from Russia.”
In July 2008, Trump sold a mansion in Palm Beach for $95 million to Dmitry Rybolovlev, a Russian oligarch. Trump had purchased it four years earlier for $41.35 million. The sale price was nearly $54 million more than Trump had paid for the property. This was the height of the recession when all other property had plummeted in value. Must be nice to have so many Russian oligarchs interested in giving you money.
In 2013, Trump went to Russia for the Miss Universe pageant “financed in part by the development company of a Russian billionaire Aras Agalarov.… a Putin ally who is sometimes called the ‘Trump of Russia’ because of his tendency to put his own name on his buildings.” He met with many oligarchs. Timeline of events. Flight records show how long he was there.
Video interview in Moscow where Trump says "...China wanted it this year. And Russia wanted it very badly." I bet they did.
Also in 2013, Federal agents busted an “ultraexclusive, high-stakes, illegal poker ring” run by Russian gangsters out of Trump Tower. They operated card games, illegal gambling websites, and a global sports book and laundered more than $100 million. A condo directly below one owned by Trump reportedly served as HQ for a “sophisticated money-laundering scheme” connected to Semion Mogilevich.
In 2014, Eric Trump told golf reporter James Dodson that the Trump Organization was able to expand during the financial crisis because “We don’t rely on American banks. We have all the funding we need out of Russia. I said, 'Really?' And he said, 'Oh, yeah. We’ve got some guys that really, really love golf, and they’re really invested in our programmes. We just go there all the time.’”
A 2015 racketeering case against Bayrock, Sater, and Arif, and others, alleged that: “for most of its existence it [Bayrock] was substantially and covertly mob-owned and operated,” engaging “in a pattern of continuous, related crimes, including mail, wire, and bank fraud; tax evasion; money laundering; conspiracy; bribery; extortion; and embezzlement.” Although the lawsuit does not allege complicity by Trump, it claims that Bayrock exploited its joint ventures with Trump as a conduit for laundering money and evading taxes. The lawsuit cites as a “Concrete example of their crime, Trump SoHo, [which] stands 454 feet tall at Spring and Varick, where it also stands monument to spectacularly corrupt money-laundering and tax evasion.”
In 2016, the Trump Presidential Campaign was helped by Russia.
(I don't have the presidential term sourced yet. I'll post an update when I do. I'm sure you probably remember most of them...sigh. TY to the main posters here. Obviously I'm standing on your shoulders having taken a lot of the information or articles from here).

I know, everyone is tired of hearing about Gamestop, but this was something I came across that I thought was actually quite well written and pretty spot on with most of the anger driven rhetoric I've seen on Reddit.
I've copy/pasted because I know most of y'all don't have Bloomberg subscriptions.

Traders putting on the short squeeze aren’t motivated by greed. They’re engaged in an anger-driven uprising against the establishment.
Anger Is an Energy
The saga of GameStop Corp. continues. By the end of another frenetic day of trading Tuesday, the stock had just topped its high from Monday. Between those peaks, it staged a fall of more than 50% on Monday afternoon. Colleagues have followed these extraordinary developments as they happened. I will try for now simply to process the single most important question: Is this just a weird technical situation, of the kind that comes along every few years, that can otherwise be safely ignored? Or does it tell us something important about market conditions as a whole?
GameStop's share price surged back to set a new high Purely qualitatively, based on what I have witnessed, I think it does matter. The signal it sends is disquieting, if not surprising. It also introduces us to a new variant on an ancient market phenomenon.
The cliche is that market capitalism works on the balance between greed and fear. The standard defense is as follows: If the greed to make money by beating the competition is matched by a fear of failure through making too many mistakes or cutting corners, then capitalism works. Nothing else yet discovered gives people such an incentive to work and create growth. Speculative bubbles happen when greed becomes excessive, or when fear diminishes too much. Easy money and easier trading with derivatives oil these emotions and allow them to run riot. The financial crisis of 2008 happened in large part because years of policy had convinced investors that there would be a bailout if they failed; they lost their fear, and greed took over.
This feeds into the debate over whether we have a speculative bubble at present. Markets are pervaded by gloom and worry, so there is no lack of fear — even if confidence that interest rates will never rise is growing excessive. Meanwhile, there is little in the way of greed. Cryptocurrency has generated excitement, as has Tesla Inc., but in the main the frenzy over a historic opportunity to get rich, of the kind that was everywhere in 1999, is lacking. This is a different, worried world. The last two decades have stripped it of its positivity. The mood is nothing like the great bubbles of the past.
Instead of greed, this latest bout of speculation, and especially the extraordinary excitement at GameStop, has a different emotional driver: anger. The people investing today are driven by righteous anger, about generational injustice, about what they see as the corruption and unfairness of the way banks were bailed out in 2008 without having to pay legal penalties later, and about lacerating poverty and inequality. This makes it unlike any of the speculative rallies and crashes that have preceded it.
On Monday, I argued that it was misplaced to take pleasure at the pain for the short-sellers who had attacked GameStop stock, and then been subjected to a “short squeeze” for the ages by traders coordinating on Reddit. I received a bumper crop of feedback. Here are some representative samples (leaving out many with unprintable expletives):

“You kind of miss the point of what is going on with GameStop. How much did Melvin pay you to write this garbage? shill. Literally trying to protect an industry trying to fleece jobs from low income workers. Sleep well chump.”
“Watching entitled institutional shorts whine on TV and OP EDs that millennials equipped with margin accounts & zero fees are collaborating on Reddit to target them is my new favorite sport. Looks perfectly healthy from where I'm sitting, which is on bull side :) plus 1 for the little guys.”
“Normal isn't putting the retail trader down for being independent while organized hedge funds force you to take their way or suffer in fear. Normal is the American dream and being able to make your own way. This isn't a casino. This is a riot.”

One respondent warned that the people squeezing the shorts aren’t “a herd of impressionable youngsters with Robinhood accounts. No. They are an experienced & ruthless army of insomniacs followed by a silent legion of rapidly learning new traders. This is a new paradigm that won’t go away.”
Another told me I was a “dumb boomer” amid a screed of unprintable epithets. (Point of information: I’m just too young to be a boomer. I’m in Generation X, but it’s the intergenerational antagonism that’s noteworthy.) Another said that the short squeeze was just a way for millennials to recoup the money they had been forced to pay to bankers during the TARP rescue 12 years ago, and to put coronavirus relief checks to work:

“In other words, poor people have too much money and are now controlling the narrative. Damn those $1200 stimulus checks and $600 unemployment supplements. Too much liquidity, let's get these folks back to living paycheck to paycheck.”
“I know. Democratisation of the market is so damned inconvenient for those of us with money.”
“nobody cares about your hedge fund cronies!”
“Bloomberg defending the suits. Not surprised. They’re just mad the rubes are in on the joke now. Might this force the Fed’s hand? Too many regular people in on the game.”

This is all fascinating. In the space of 12 years, the role of the short-seller has turned on its head. Back in 2008, it was the shorts who upset the status quo, revealed what was rotten in the state of Wall Street, and brought down the big shots. They were even the heroes of a big movie. It was the Wall Streeters who attacked them.
Alienation has deepened since then. Short-selling hedge funds are now seen as part of a corrupt establishment, as is the media. The motives of anyone defending the shorts, or anyone wearing a suit, must be suspect. And there is a deep generational divide; those unable to own their own home and forced to rely on defined contribution pensions have a stunningly unfair deal compared to those a generation older, living in mortgage-free homes with guaranteed pensions. That percolates into anger, and a determination to right the scales by making money at the expense of corrupt short-sellers.
We lack precedents for an angry bubble, so predictions are even harder than usual. But there are enough similarities with past incidents to raise serious cause for concern.
First, the little guys have had their success so far with the aid of margin accounts, and by using derivatives. We know what happens when these things are used to excess; even the Dutch tulipmania relied on margin debt and derivatives. Little guys (and everyone else) deserve safer tools with which to build wealth.
Second, “democratization of finance” isn’t new, and in itself is nothing that anyone can object to. The problem is that investment and financial planning are difficult, and require time. Regulate these things, and you no longer have true democratization. Leave people free to take chances, and you get disasters like the bursting of the dot-com bubble in 2000. That also followed plenty of hype about the success of the “little guy,” and the first great explosion of online discount trading succeeded in sucking an army of new retail investors into the bubble’s final climax. Unregulated “democratization” led to the little guy bearing the brunt of the losses.
“Democratizing” finance also leaves newly enfranchised financial citizens prey to spivs and frauds. I started my career covering the disastrous repercussions of one of Margaret Thatcher’s last reforms in the U.K. — giving people the right to leave their defined-benefit pensions, offered by employers, and take on defined-contribution “personal pensions.” Unscrupulous salesmen persuaded miners, firefighters and police officers to abandon copper-bottomed index-linked pensions for plans that came burdened with excessive charges. It was a repellent spectacle, and the bill for compensation was in the billions.
These points doubtless make me appear to be a complacent shill for the financial industry, talking down to the rubes. For the record, I’m still angry about the way workers were ripped off in Britain more than three decades ago, and about the way the little guy ended up bearing the brunt for the financial implosions of 2000 and 2008. But it looks horribly to me as though the same thing is going to happen again — and I don’t think the answer to today’s many ills is to empower poor people to bankrupt themselves with margin accounts and derivatives.
Anger, even more than greed, has the capacity to make us throw caution to the winds. Many of us have a lot to be angry about. If this carries on, and spreads beyond targets like a video-game retailer, I don’t want to see the consequences when history’s first angry bubble bursts.

https://www.bloomberg.com/opinion/articles/2021-01-27/gamestop-short-squeeze-is-rage-against-the-financial-machine
Anyway, I'm sure everyone's tired of hearing about Gamestop, but hopefully this is a decent departure from the memes, hype, and completely unfounded bullshit that's been surrounding that conversation so far.

Current Conditions of the Market:
Let me be clear: this is not the typical conditions of the market where stocks fluctuate double and triple digit percentages per day. There’s a place for that - the casino. In recent weeks, herds of new traders are pouring into the trading scene hoping to get a piece of the volatile market that has turned the rags to riches, or the other way around. The stock market as a whole, under normal conditions, moves gradually in both directions, guided by trends, innovation, speculation, earnings report, and financial changes. What we are in right now is a hysteria-filled environment that is risky for both veteran traders and novices. Any uninformed, reckless decision can produce different results - by chance. Be wise and do not let chance underlie your success or bankruptcy stories. Please do your research first before investing into anything and whatever you do, do not make the mistake of over-extending yourself with margin (brokerage-provided capital) that you cannot repay should things go south. People have and continue to make this fundamental mistake that will ruin them financially for years. Stock investments should be about long-term growth, stability, and supplemental to your income. Investments should give you access to the opportunity of financial freedom, but should not be your primary source for income. Do not listen to stock gurus and paid-only discord groups - they don’t make money from stocks, they make money from you. Lastly, this atypical market condition is the perfect storm for spontaneous “pump and dumps” where stocks become inflated, and based on fool’s theory or musical chairs (whichever you prefer), the last one that gets out gets burned. Be smart, be patient, do the research.
Basic Stock Jargons & Short/Long Positions:
Long - you’re buying and holding a stock with the intention for it to increase in value.
Short - you’re borrowing shares from a lender (brokerage, investment firm, individual investors), selling it to someone, and hoping to buy it back at a lower price. Your profit is the difference in the sell and buy back price. I’ll provide a real world example because this concept it a bit more complex:

• Person A is a share lender. They want to lend the share and get paid a small interest rate as compensation.
• Person B asks Person A to lend him that share temporarily. Person B does not pay anything upfront, but he promises to pay Person A in the form of interest over time.
• Person B finds a buyer Person C. Person C wants to buy a stock so it can go up. Person C is “long” on this stock. Person B, however, is short on this stock because he wants the value of the stock to go down.
• Person C pays Person B $10 for the stock. Now, Person C has spent $10, and Person B has gained $10.
• Two hypothetical situation happens now:
  • Scenario 1: Stock value increases to $15. Person C is now up $5 and he sells because he’s making nice gains. Person B needs to buy back that share at $15, but he only gained $10 profit initially. Now he needs to fork up $5 to buy back the share, and then return the share back to the lender + any interest accrued. In this scenario, the “short” lost money, the “long” gained money, and the “lender” made interest money.
  • Scenario 2: Stock value decreases to $5. Person C is now down $5 and he sells to cut losses. Person B needs to buy back that share at $5, but he already has $10 in profit initially. Now he pays $5 for the share, leaving him still with $5 profit, and returns the share back to the lender + any interested accrued. In this scenario, the “short” made money, the “long” lost money, and the “lender” made interest money.
• The above scenarios help to show why “shorts” (typically hedge funds or experienced traders) might want to manipulate the stock price to go down. Hedge funds have an incredible amount of power in the market, which I will explain in a bit, and can often create serious price movements to invoke price action that benefits themselves. Shorts, therefore, have the opposite intention of longs. They want share prices to go down, and in the process, can bankrupt certain companies that rely on the stock market liquidity to stay afloat. In other words, when investors leave a stock because it is dropping in value, the company loses that money that they could have used to pay off debt, grow the business, develop new products, pay for expenses, etc.

Market Manipulation:
Market manipulation is not new to the scene. Investors have long known of the existence of stock market manipulation tactics, and every day, we may observe some levels of manipulation in specific stocks, specific categories or industries of stocks, or the entire market. Market manipulation is defined as any actions performed with the intention of moving a certain stock price in favor of the manipulator. In this case, these are the wealthy “whales” or hedge funds, both of which have enormous capital capable of shifting stock prices at alarming speeds. Keep in mind, not all hedge funds do this and not all hedge funds are “shorts”. Some are “neutral” and act as lenders to make money, some are “growth-based” and invest just like everyday traders with the intention of raising share prices, and others are “short” which are probably perceived to be the sadistic groups of the bunch. Below, I will be discussing how manipulation occurs and on different scales.
Manipulation Tactics on a Spectrum:
Market manipulation can happen in certain stock, sectors, or the entire market. There are probably far more types of manipulative tactics than we know, but I will describe the most basic types and the strategies behind it.
Scenario 1:
Let’s say a hedge fund just opened a short position on stock X. Stock X is rising in value because general investors see it as a potential growth stock. Hedge funds are not too excited about this increased share value, so they can “hedge” or protect themselves, by selling put options. When they sell puts, they are anticipating that the stock will continue to surge, which causes the puts to become worthless at expiration, but on the contrary, they will be collecting the “premium” or money paid upfront by traders that bought the put. At the same time, this hedge fund will slowly “cover”, or buy shares of Stock X, so that the increased value of the shares will offset the short position which is losing money. The manipulation here is by using the sheer amount of capital in hand to bolster the stock, both creating favorable conditions for the puts that they sold and the share that they purchased as cover. If they want to add another level of manipulation to this, they can also purchase call options, which will result in profit if the stock price goes up. In this scenario, hedge funds make money at the expense of put option buyers and other shorts that do not have manipulative power or capital to recreate this same strategy.
Scenario 2:
Let’s say a hedge fund just opened a short position on Stock X. Stock X is rising in value because general investors see it as a potential growth stock. This hedge fund does not want to risk extra capital to cover their short position (by buying shares, selling put options, or buying call options), so they try a different route. Keep in mind that hedge funds are typically heavily invested in many stocks and assets, meaning they have a lot of power in deciding the direction of many stocks that have potential to instill widespread fear across the entire market if it drops. Take for example, if Apple and Google began to hurl downwards, this can create panic in the market where everyday traders might sell their shares at a loss. This in turn might ripple through the market as other investors in other stocks are predicting a downward trajectory across the market since these big name stocks are losing value so rapidly. Conveniently enough, hedge funds own a lot of these big name “FANG” stocks.
If I am a moderately sadistic hedge fund, I can sell off a large holding of shares (in the scale of multi millions or billions) that are in the same sector as Stock X, which would incite fear across the sector, creating panic sell offs. The price will drop sharply across the board, including Stock X, and the short position will produce big profits. Because this hedge fund sold off a large chunk of their shares at a good price, they can now cover their short position (essentially getting rid of it), and then buy up these same stocks that were let go earlier, only this time at a much cheaper price. The hedge fund has now made money not only on the short position, but now they got into the stock at a cheap price in which they can explore other manipulative tactics to bolster the price again. This can be done by encouraging analyst upgrades, publicizing “newly” purchased positions without disclosing the fact that they previously owned it, etc.
Scenario 3:
This one involves technology: algorithm trading (commonly referred to as algo trading). This one is a really intricately designed manipulative tactic that investors really have no way of getting around. Algorithm trading is the process of using high-speed super-computers and a team of traders to constantly monitor market activity and trade when opportunities arise. In this case, the hedge funds do not have to do any direct manipulation of the market, which makes this 100% legal. How this works is by taking advantage of how trading works and the time it takes for a trade to be made. For you general investors, we have mobile apps and web-based trading platforms to trade. When we like a stock, we have to go through the motion of inputting the stock ticker symbol, the amount of shares, the price we are willing to pay, hit submit, and confirm the trade. For hedge funds using algorithm trading, all this is done autonomously, which makes submission of an order several magnitudes quicker. When an order is submitted, it goes through a brokerage (Fidelity, Webull, ETrade, TDA, RH, etc.) and the data is rerouted to a clearing house (intermediate party that verifies and processes the trade). Clearing houses are responsible for making sure your orders are filled, but they take it on a first come first serve basis. So if a stock is moving quickly, hedge funds have a serious edge in getting in cheaper and faster as well as getting out higher and faster.
Algorithm trading is integratable as part of the buying and selling strategies mentioned in the two previous scenarios, which is why they can almost guarantee profit. Algorithm trading also uses a lot of data in their backbone to determine the trades that have a high chance of profitability, and it acts on various factors such as volatility, volume, interest activity, news, etc. In some cases, these algorithms can be set to do some extremely sadistic things. I’ll start by talking about “market orders” vs “limit orders”. Before you make a trade on your brokerage, you will notice an option that says “market order” or “limit order”. Market orders are an agreement that you will purchase the stock or option contract at the best price in the market in the momentary space in time. There is of course a huge risk to that because in that short moment in time, there may not be anyone selling at a good price, and instead, some people might set sell limits at ridiculous prices. For example, some people set a sell limit at $1000 for GME. If you did a market order, and you get really unlucky, you might end up snagging a share for $1000 each, when the actual share value might be $300. However, when you set a “limit order”, you are agreeing to buy a share at a maximum price that you designated.
In the event that a hedge fund siphons a ton of shares of a company, the algorithm can be set to sell these shares at a ridiculous sell limit. Remember, when they buy or sell, it’s processed significantly faster at the clearing houses, so if you’re that one unlucky trader that went for a market order on a stock, you might end up purchasing it at a huge premium set by the hedge funds themselves. Moral of the story: DO NOT PURCHASE AS MARKET ORDER - ALWAYS PURCHASE AT LIMIT ORDER.
I’m am not a financial advisor, so take everything I said as gibberish.

TLDR: GameStop’s Congress hearing is on Feb 18th, they need to investigate the Prime Brokers and DTCC for their complicity in enabling naked shorting within GME and by extension, potential collusion to shut down trading on Jan 28th, the day the short squeeze was going to kick off. (stick to the end for an analysis of some illegal tactics short side hedge funds have been using)
Thesis: On the day the retail market for GME shut down on 1/28 (the day the short squeeze would’ve happened had there been no market intervention), DTCC (clearing house monopoly) shut down retail buying in order to protect itself and Prime Brokers (which privately own the DTCC) from being exposed to the consequences of being party to illegal activity. I believe Prime Brokers and DTCC need to be called to the GameStop hearing on February 18th to be questioned for their complicity in enabling illegal naked shorting of the GME stock, as well as potential collusion to shut out retail buyers on 1/28.
In my previous post (which I recommend reading for some context) I explored the subject of rampant illegal naked shorting in GME, and how Prime Brokers (consisting of banks like Goldman, Morgan, etc) and DTCC would be complicit in the naked shorting. This in turn raises the thought experiment that they would be incentivized to do anything possible to prevent the short squeeze from happening on 1/28 because had the short squeeze happened, the shorts would go bankrupt and their Prime Brokers who lent them their naked shorted shares would need to cover the shares. This would not only represent a humongous capital expense for Prime Brokers, the culpability of Prime Brokers (and that of the DTCC) in this situation would also have likely been exposed as well.
A quick primer on what a Prime Broker is: Prime Brokers are essentially the service side of the short- selling business. They lend out securities and cash, you can think of them as the “house” in a casino: They provide a gambler with markers to play and to manage his winnings. According to Matt Taibi, “Under the original concept, if a hedge fund that wanted to short a stock they would first need to “locate” the stock with his Prime Broker but as time passed, Prime Brokers increasingly allowed their hedge-fund customers to use automated systems and “locate” the stock themselves, and what this does is enable short-sellers to sell stock without delivering and thereby perform naked shorts with counterfeit shares. (source: https://web.archive.org/web/20210213125246/https://www.rollingstone.com/feature/wall-streets-naked-swindle-194908/). (I highly recommend you read Matt Taibi’s article on naked shorting and how it was used to take down Bear Stearns and Lehman Brothers. There are so many parallels with GME it’s hard to miss. It’s amazing to consider that 12 years after this article was published and brought to public awareness, the problem of naked shorting still exists as a systemic issue.)
Prime Brokers have a long history of being associated with naked shorting. To highlight a few examples, Prime Brokers like Merill Lynch and Goldman have long been implicated for naked shorting Overstock.com (https://www.rollingstone.com/politics/politics-news/accidentally-released-and-incredibly-embarrassing-documents-show-how-goldman-et-al-engaged-in-naked-short-selling-244035/, https://www.forbes.com/2007/02/02/naked-short-suit-overstock-biz-cx_lm_0202naked.html?sh=271400d1763f). Another example is when Goldman’s Prime Brokerage was implicated by the SEC in 2016 and got away with a small fine of 16 million (Source: https://www.sec.gov/news/pressrelease/2016-9.html). An example that very recently came in the news is a story where CIBC, BOA, UBS and TD Bank Prime Brokerages are accused of facilitating naked short selling and using counterfeit stock to attack and bring the stock price of a company from $34.77 to $1.83 (Source: https://www.securitiesfinancetimes.com/securitieslendingnews/industryarticle.php?article_id=224548).
The DTCC also has a very long history of being associated with naked shorting. The Wall Street Journal noted that 1% of the DTCC’s volume end in failure to deliver which “have put DTCC in the middle of a long-running fight over whether unscrupulous investors are driving down hundreds of small companies' share prices… DTCC has turned a blind eye to the naked-shorting problem. ” (Source: https://www.wsj.com/articles/SB118359867562957720). The DTCC has also had numerous complaints submitted to the SEC for enabling naked shorting (source: https://www.sec.gov/rules/proposed/s72303/decosta122203.htm) and have been sued tens or hundreds of times for assisting naked shorts (source: https://smithonstocks.com/part-3-in-series-on-illegal-naked-shortings-role-in-stock-manipulation-prime-brokers-and-the-dtcc-have-a-troubling-monopoly-on-clearing-and-settling-stock-trades/ and http://counterfeitingstock.com/CS2.0/CounterfeitingStock.html and https://www.wsj.com/articles/SB118359867562957720)
On 1/28 Robinhood received a letter from the DTCC at 4 am requiring them to halt trading or come up with 3 billion dollars, which Robinhood did not have, and therefore with one swoop of the pen the DTCC shut down buy side momentum but strangely allowed selling. Retail investors were shut out of the market and as any student of microeconomics would know, by shutting buy but only allowing sell, the price is bound to fall. Meanwhile while hedge funds were able to keep trading not only in the market but also crosstrade in the dark pools (“private” stock markets that retail is shut out of, more on this later), and use this crucial lifeline given to them by the DTCC to prevent the squeeze from happening that day.
With retail abruptly being shut out from buy (even cash accounts were shut out, which didn’t make sense) and only allowed to sell, almost everyone could smell manipulation was afoot (which triggered the Congress hearing) and the most of the blame was pointed at Robinhood. Personally and in hindsight, I believe Robinhood was just a willing scapegoat. When we think about who had the most to lose if a short squeeze occurred, I’ll narrow it down to three entities, Shorts and their stakeholders (ie Citadel), Prime Brokers and the DTCC.
It’s important to remember that the actual impetus that triggered the shutdown of the market for retail investors came from the DTCC. Working backwards, if you consider that GME was rampantly naked shorted and DTCC and Prime Brokers would have to be complicit in it, I believe the DTCC, Primer Brokers and possibly Citadel (who provides 40% of Robinhood’s revenue) brazenly manipulated the market on 1/28 by shutting down purchasing for retail buyers to prevent the squeeze from being squoze on that day as doing so would be catastrophic for all aforementioned parties involved. I believe that on the upcoming Gamestop Congress hearings the Financial Services Committee needs to call on decision makers of DTCC and Prime Brokers explore their role and complicity in the shut out of retail buyers that day as well as being enablers of naked shorting in GME.
An interesting thought experiment: On 1/28 when the price was 450+ and shorts were likely under 100, if we assume prime brokers allowed naked shorting in GME, then when the squeeze was about to happen (or happening), if Prime Brokers had margin had called the shorts, they would presumably also also gone down because shorts would not be able to pay in that event and the brokers would be holding the bag. By that logic, they have every incentive in this case to NOT to margin call and instead the most logical option would probably would have been to make a backroom deal, which is what I personally think most likely happened.
If you’ve read up to this point, you might be thinking what can I do about this? I am aware that there a lot of cynicism that we can’t do anything, that there will be no justice for retail investors who were harmed this situation, and that institutions and people in power will prevent anything from being done. I feel this sometimes too, but remember:
A single voice can be drowned out, but if we all speak together then we will make our voice heard. Ape Strong Together.
With the hearing coming up on February 18th, I highly recommend you email and tweet the representatives involved in the hearing, as well as your own district representatives, and urge them to read into the factors presented in this post and call the DTCC and Prime Brokers to the hearingl. They need to be questioned on why GME has so many counterfeit shares, failed to deliver, their complicity in naked shorting, and investigated for their role in the retail shut down of 1/28. Below are 4 members of congress I recommend both tweeting and emailing
Alexandria Ocasio-Cortez https://twitter.com/AOC, email: [[email protected]](mailto:[email protected])
Al Green https://twitter.com/repalgreen, email: [[email protected]](mailto:[email protected])
Maxine Waters https://twitter.com/maxinewaters, email: [[email protected]](mailto:[email protected])
Nancy Pelosi Email: https://twitter.com/SpeakerPelosi email: [[email protected]](mailto:[email protected]).
And you can find other members of Financial Services Committee here to reach out to: https://financialservices.house.gov/about/committee-membership.htm
What follows should probably be a separate post, but I will take the opportunity to summarize some of the illegal tactics that shorts have been identified to be using in their war with retail investors. Note that this may not be an exhaustive list and there may be newer tactics deployed in the future. Retail investors might not have the same tricks, resources and willingness to break the law for profit as hedgies do, but my hope and belief is that if we pool our knowledge and analysis, we will figure out their game and effectively adapt.
Feel free to forward the list below to any representatives and lawmakers if you concur that these tactics were used:
Rampant Naked Shorting - With the extremely high number of Fail to Delivers (FTID) , short interest being as high as 226% recently, and institutions alone holding a staggering 177% of the total float (likely due in large part to counterfeit shares), signs strongly point to GME being rampant with naked shorts and counterfeit shares. I believe the original goal of shorts was to drive GME to bankruptcy with these naked shorts, using the laddering of naked shorts (aka short ladder attack), executed with the help of counterfeit stock which is a classic and reliable method of driving down the stock price. I believe the GME stock has seen relentlessly aggressive short attacks, especially on the week of Monday February 1st, which drove the stock price down and triggered panic selling.
Ladder Attacks with the help of Dark Pools - Another identified method of ladder attacks was identified to come from crosstrading with darkpools (the stock market has its own private stock exchange where institutions can trade…). Essentially darkpools are private stock markets retail investors do not have access to, where short side funds can purchase securities “off market” and then sell “on-market”, with the effect of creating a lot more downward pressure on the market without the upward pressure from buying.
Illegally masking shorts with synthetic longs. Another tactic shorts are suspected of using in GME is the use of illegally using options to evade short positions in violation of Reg SHO which SEC describes in this risk alert and which I elaborate in this post. Essentially it’s the use of using options to create synthetic longs to illegally and artificially cover and prolong short positions and at same time obscuring the true short interest %. If you consider that it would be far more profitable for shorts to not cover at high prices but instead ladder attack the price and wait for retail investors to lose interest and close their shorts at as low of a price as possible, then you can see why this strategy would be very effective.
Using way out-of-money call options to obscure true short interest. You may have heard about the 43 million worth of 800 dollar calls purchased when the price was 100 and found it odd. Later it was identified as a tactic to cheaply purchase synthetic call options (since at 800 its way out of money) to obscure their short positions (with the added benefit of hedging at 800 if a squeeze does happen)
One thing I want to note, particularly to legislators at the GameStop hearing: Retail investors were not incited to pump GME. Retail investors spotted a unique Short Squeeze opportunity created by the greed of short side hedge funds, whereby GameStop was being abusively naked shorted with the goal of bringing it to bankruptcy, and hedge funds were so greedy about it that they shorted the company with a short interest of 226% of float, meaning A LOT of counterfeit shares were being used to short the company. Retail investors saw this as an opportunity to short squeeze the hedge fund shorters, which is a legal and legitimate investment strategy. The short squeeze would have happened had everyone played fair, but instead, financial institutions who were culpable to the naked shorting intervened and shut down retail buying, hurting the retail investors and successfully manipulating the market. The investment itself was in my opinion a sound decision based on the short squeeze, but in hindsight retail investors did not seriously consider the risk of the market would be blatantly and publicly manipulated and that the market would be rigged against them.
If this post was useful (and I hope it was! Gave up my Friday night to write this for you Apes), please upvote for visibility and share it far and wide. The GameStop hearings could be a first step and hope towards legislative change, and it’s extremely important that the right story is told at those hearings (and by the right story I mean the real truth of what happened.) I hope the truly culpable parties are investigated and brought to justice. Again, I know many of us feel cynical that anything meaning will be done towards finding justice against the lawbreakers in this case, but if you feel even an ounce of injustice or empathy at how retail investors were unfairly harmed in the course of investing in GME, I strongly urge you to contact a legislator associated with the GameStop hearings and bring this to their attention so they can review this case with more complete information. In addition I recommend you to contact the SEC and any journalist you know or via journalist tip lines. It’s not going to be easy but the more awareness we raise the higher the likelihood our voices will be heard and positive change will be made.
As we navigate the rocky waters ahead, I’ll gift you with a favorite quote of mine:
The only difference between a nightmare and a dream is how big your balls are.
🚀🚀🚀
Disclaimer: I am not an investment advisor, I just like the stock.
Ps. If you’ve read to the end, I’ll leave you with a few more thoughts and reminders:
- If I were to distill life into one thing, it would be to never lose hope.
- Remember that if you’ve lost money in any way shape or form, don’t be depressed, money can always be made back and the important thing is to maintain a good attitude.
- Only invest what you can afford to lose.
- Perhaps the most important factor in good investing is patience.
If you’d like to read more about counterfeiting stocks this is a good place to start http://counterfeitingstock.com/CS2.0/CounterfeitingStock.html

TLDR: GameStop’s Congress hearing is on Feb 18th, they need to investigate the Prime Brokers and DTCC for their complicity in enabling naked shorting within GME and by extension, potential collusion to shut down trading on Jan 28th, the day the short squeeze was going to kick off. (stick to the end for an analysis of some illegal tactics short side hedge funds have been using)
Thesis: On the day the retail market for GME shut down on 1/28 (the day the short squeeze would’ve happened had there been no market intervention), DTCC (clearing house monopoly) shut down retail buying in order to protect itself and Prime Brokers (which privately own the DTCC) from being exposed to the consequences of being party to illegal activity. I believe Prime Brokers and DTCC need to be called to the GameStop hearing on February 18th to be questioned for their complicity in enabling illegal naked shorting of the GME stock, as well as potential collusion to shut out retail buyers on 1/28.
In my previous post (which I recommend reading for some context) I explored the subject of rampant illegal naked shorting in GME, and how Prime Brokers (consisting of banks like Goldman, Morgan, etc) and DTCC would be complicit in the naked shorting. This in turn raises the thought experiment that they would be incentivized to do anything possible to prevent the short squeeze from happening on 1/28 because had the short squeeze happened, the shorts would go bankrupt and their Prime Brokers who lent them their naked shorted shares would need to cover the shares. This would not only represent a humongous capital expense for Prime Brokers, the culpability of Prime Brokers (and that of the DTCC) in this situation would also have likely been exposed as well.
A quick primer on what a Prime Broker is: Prime Brokers are essentially the service side of the short- selling business. They lend out securities and cash, you can think of them as the “house” in a casino: They provide a gambler with markers to play and to manage his winnings. According to Matt Taibi, “Under the original concept, if a hedge fund that wanted to short a stock they would first need to “locate” the stock with his Prime Broker but as time passed, Prime Brokers increasingly allowed their hedge-fund customers to use automated systems and “locate” the stock themselves, and what this does is enable short-sellers to sell stock without delivering and thereby perform naked shorts with counterfeit shares. (source: https://web.archive.org/web/20210213125246/https://www.rollingstone.com/feature/wall-streets-naked-swindle-194908/). (I highly recommend you read Matt Taibi’s article on naked shorting and how it was used to take down Bear Stearns and Lehman Brothers. There are so many parallels with GME it’s hard to miss. It’s amazing to consider that 12 years after this article was published and brought to public awareness, the problem of naked shorting still exists as a systemic issue.)
Prime Brokers have a long history of being associated with naked shorting. To highlight a few examples, Prime Brokers like Merill Lynch and Goldman have long been implicated for naked shorting Overstock.com (https://www.rollingstone.com/politics/politics-news/accidentally-released-and-incredibly-embarrassing-documents-show-how-goldman-et-al-engaged-in-naked-short-selling-244035/, https://www.forbes.com/2007/02/02/naked-short-suit-overstock-biz-cx_lm_0202naked.html?sh=271400d1763f). Another example is when Goldman’s Prime Brokerage was implicated by the SEC in 2016 and got away with a small fine of 16 million (Source: https://www.sec.gov/news/pressrelease/2016-9.html). An example that very recently came in the news is a story where CIBC, BOA, UBS and TD Bank Prime Brokerages are accused of facilitating naked short selling and using counterfeit stock to attack and bring the stock price of a company from $34.77 to $1.83 (Source: https://www.securitiesfinancetimes.com/securitieslendingnews/industryarticle.php?article_id=224548).
The DTCC also has a very long history of being associated with naked shorting. The Wall Street Journal noted that 1% of the DTCC’s volume end in failure to deliver which “have put DTCC in the middle of a long-running fight over whether unscrupulous investors are driving down hundreds of small companies' share prices… DTCC has turned a blind eye to the naked-shorting problem. ” (Source: https://www.wsj.com/articles/SB118359867562957720). The DTCC has also had numerous complaints submitted to the SEC for enabling naked shorting (source: https://www.sec.gov/rules/proposed/s72303/decosta122203.htm) and have been sued tens or hundreds of times for assisting naked shorts (source: https://smithonstocks.com/part-3-in-series-on-illegal-naked-shortings-role-in-stock-manipulation-prime-brokers-and-the-dtcc-have-a-troubling-monopoly-on-clearing-and-settling-stock-trades/ and http://counterfeitingstock.com/CS2.0/CounterfeitingStock.html and https://www.wsj.com/articles/SB118359867562957720)
On 1/28 Robinhood received a letter from the DTCC at 4 am requiring them to halt trading or come up with 3 billion dollars, which Robinhood did not have, and therefore with one swoop of the pen the DTCC shut down buy side momentum but strangely allowed selling. Retail investors were shut out of the market and as any student of microeconomics would know, by shutting buy but only allowing sell, the price is bound to fall. Meanwhile while hedge funds were able to keep trading not only in the market but also crosstrade in the dark pools (“private” stock markets that retail is shut out of, more on this later), and use this crucial lifeline given to them by the DTCC to prevent the squeeze from happening that day.
With retail abruptly being shut out from buy (even cash accounts were shut out, which didn’t make sense) and only allowed to sell, almost everyone could smell manipulation was afoot (which triggered the Congress hearing) and the most of the blame was pointed at Robinhood. Personally and in hindsight, I believe Robinhood was just a willing scapegoat. When we think about who had the most to lose if a short squeeze occurred, I’ll narrow it down to three entities, Shorts and their stakeholders (ie Citadel), Prime Brokers and the DTCC.
It’s important to remember that the actual impetus that triggered the shutdown of the market for retail investors came from the DTCC. Working backwards, if you consider that GME was rampantly naked shorted and DTCC and Prime Brokers would have to be complicit in it, I believe the DTCC, Primer Brokers and possibly Citadel (who provides 40% of Robinhood’s revenue) brazenly manipulated the market on 1/28 by shutting down purchasing for retail buyers to prevent the squeeze from being squoze on that day as doing so would be catastrophic for all aforementioned parties involved. I believe that on the upcoming Gamestop Congress hearings the Financial Services Committee needs to call on decision makers of DTCC and Prime Brokers explore their role and complicity in the shut out of retail buyers that day as well as being enablers of naked shorting in GME.
An interesting thought experiment: On 1/28 when the price was 450+ and shorts were likely under 100, if we assume prime brokers allowed naked shorting in GME, then when the squeeze was about to happen (or happening), if Prime Brokers had margin had called the shorts, they would presumably also also gone down because shorts would not be able to pay in that event and the brokers would be holding the bag. By that logic, they have every incentive in this case to NOT to margin call and instead the most logical option would probably would have been to make a backroom deal, which is what I personally think most likely happened.
If you’ve read up to this point, you might be thinking what can I do about this? I am aware that there a lot of cynicism that we can’t do anything, that there will be no justice for retail investors who were harmed this situation, and that institutions and people in power will prevent anything from being done. I feel this sometimes too, but remember:
A single voice can be drowned out, but if we all speak together then we will make our voice heard. Ape Strong Together.
With the hearing coming up on February 18th, I highly recommend you email and tweet the representatives involved in the hearing, as well as your own district representatives, and urge them to read into the factors presented in this post and call the DTCC and Prime Brokers to the hearingl. They need to be questioned on why GME has so many counterfeit shares, failed to deliver, their complicity in naked shorting, and investigated for their role in the retail shut down of 1/28. Below are 4 members of congress I recommend both tweeting and emailing
Alexandria Ocasio-Cortez https://twitter.com/AOC, email: [[email protected]](mailto:[email protected])
Al Green https://twitter.com/repalgreen, email: [[email protected]](mailto:[email protected])
Maxine Waters https://twitter.com/maxinewaters, email: [[email protected]](mailto:[email protected])
Nancy Pelosi Email: https://twitter.com/SpeakerPelosi email: [[email protected]](mailto:[email protected]).
And you can find other members of Financial Services Committee here to reach out to: https://financialservices.house.gov/about/committee-membership.htm
If there's one thing I took away from this its that we can't wait for other people to do the right thing, we each need to individually step up to ensure it happens
What follows should probably be a separate post, but I will take the opportunity to summarize some of the illegal tactics that shorts have been identified to be using in their war with retail investors. Note that this may not be an exhaustive list and there may be newer tactics deployed in the future. Retail investors might not have the same tricks, resources and willingness to break the law for profit as hedgies do, but my hope and belief is that if we pool our knowledge and analysis, we will figure out their game and effectively adapt.
Feel free to forward the list below to any representatives and lawmakers if you concur that these tactics were used:
Rampant Naked Shorting - With the extremely high number of Fail to Delivers (FTID) , short interest being as high as 226% recently, and institutions alone holding a staggering 177% of the total float (likely due in large part to counterfeit shares), signs strongly point to GME being rampant with naked shorts and counterfeit shares. I believe the original goal of shorts was to drive GME to bankruptcy with these naked shorts, using the laddering of naked shorts (aka short ladder attack), executed with the help of counterfeit stock which is a classic and reliable method of driving down the stock price. I believe the GME stock has seen relentlessly aggressive short attacks, especially on the week of Monday February 1st, which drove the stock price down and triggered panic selling.
Ladder Attacks with the help of Dark Pools - Another identified method of ladder attacks was identified to come from crosstrading with darkpools (the stock market has its own private stock exchange where institutions can trade…). Essentially darkpools are private stock markets retail investors do not have access to, where short side funds can purchase securities “off market” and then sell “on-market”, with the effect of creating a lot more downward pressure on the market without the upward pressure from buying.
Illegally masking shorts with synthetic longs. Another tactic shorts are suspected of using in GME is the use of illegally using options to evade short positions in violation of Reg SHO which SEC describes in this risk alert and which I elaborate in this post. Essentially it’s the use of using options to create synthetic longs to illegally and artificially cover and prolong short positions and at same time obscuring the true short interest %. If you consider that it would be far more profitable for shorts to not cover at high prices but instead ladder attack the price and wait for retail investors to lose interest and close their shorts at as low of a price as possible, then you can see why this strategy would be very effective.
Using way out-of-money call options to obscure true short interest. You may have heard about the 43 million worth of 800 dollar calls purchased when the price was 100 and found it odd. Later it was identified as a tactic to cheaply purchase synthetic call options (since at 800 its way out of money) to obscure their short positions (with the added benefit of hedging at 800 if a squeeze does happen)
One thing I want to note, particularly to legislators at the GameStop hearing: Retail investors were not incited to pump GME. Retail investors spotted a unique Short Squeeze opportunity created by the greed of short side hedge funds, whereby GameStop was being abusively naked shorted with the goal of bringing it to bankruptcy, and hedge funds were so greedy about it that they shorted the company with a short interest of 226% of float, meaning A LOT of counterfeit shares were being used to short the company. Retail investors saw this as an opportunity to short squeeze the hedge fund shorters, which is a legal and legitimate investment strategy. The short squeeze would have happened had everyone played fair, but instead, financial institutions who were culpable to the naked shorting intervened and shut down retail buying, hurting the retail investors and successfully manipulating the market. The investment itself was in my opinion a sound decision based on the short squeeze, but in hindsight retail investors did not seriously consider the risk of the market would be blatantly and publicly manipulated and that the market would be rigged against them.
If this post was useful (and I hope it was! Gave up my Friday night to write this for you Apes), please upvote for visibility and share it far and wide. The GameStop hearings could be a first step and hope towards legislative change, and it’s extremely important that the right story is told at those hearings (and by the right story I mean the real truth of what happened.) I hope the truly culpable parties are investigated and brought to justice. Again, I know many of us feel cynical that anything meaning will be done towards finding justice against the lawbreakers in this case, but if you feel even an ounce of injustice or empathy at how retail investors were unfairly harmed in the course of investing in GME, I strongly urge you to contact a legislator associated with the GameStop hearings and bring this to their attention so they can review this case with more complete information. In addition I recommend you to contact the SEC and any journalist you know or via journalist tip lines. It’s not going to be easy but the more awareness we raise the higher the likelihood our voices will be heard and positive change will be made.
As we navigate the rocky waters ahead, I’ll gift you with a favorite quote of mine:
The only difference between a nightmare and a dream is how big your balls are.
🚀🚀🚀
Disclaimer: I am not an investment advisor, I just like the stock.
Ps. If you’ve read to the end, I’ll leave you with a few more thoughts and reminders:
- If I were to distill life into one thing, it would be to never lose hope.
- Remember that if you’ve lost money in any way shape or form, don’t be depressed, money can always be made back and the important thing is to maintain a good attitude.
- Only invest what you can afford to lose.
- Perhaps the most important factor in good investing is patience.
If you’d like to read more about counterfeiting stocks this is a good place to start http://counterfeitingstock.com/CS2.0/CounterfeitingStock.html

I want to preface that the contents of this post is for informational purposes. I do not condone or approve of any harassments or witch-hunting or the attacking of anybody.
 
Richard Lewis recently did a stream talking about the terrible state of CS esports and I thought it was an important stream anyone who cares about the CS community should listen to.
Vod Link here: https://www.twitch.tv/videos/830415547
I realize it is 3 hours long so I took it upon myself to create a list of interesting points from the stream so you don't have to listen to the whole thing, although I still encourage you to do so if you can.
I know this post is still long but probably easier to digest, especially in parts.
Here is a link to my raw notes if you for some reason want to read through this which includes some omitted stuff. It's in chronological order of things said in the stream and has some time stamps. https://pastebin.com/6QWTLr8T

Intro

• "The last month has convinced me, that we are going to be heading into a dark place for Counter-Strike esports in 2021."
  • "I think I've seen the scene essentially kill itself."
• "For the past 5 to 6 years, we've basically been in a holding pattern of people coming into our game wanting to run it, wanting to run all of the esports and wanting to profiteer and its been sort of a concerted effort to drive them off and push them away."
  • "We're spread way too thin."
• "If Riot don't get involved and stop the scumbags that have moved over to Valorant from getting their feet under the table, Valorant is going to have real problems."
• RL thinks too much has happened all at once for us to do anything except watch it play out, like:
  • Recent CSPPA strike against BLAST
  • ESIC failures and them not being supported enough
  • Teams cheating i.e. coaches/bugs
  • Widespread match fixing
  • The Pandemic
    • "People who try to hold bubble events are so incompetent and fuck up and people get the 'rona and its their fault."
    • "People who say Flashpoint is a bubble is full of shit and is a lie and people are now suffering for that lie."
      • "To save money they let people go home and break the bubble for a week."
      • "Not just Flashpoint peoples decision, they have a partner that handles the production." (hinting FACEIT)
      • "People are trapped in hotels essentially under house arrest because of COVID restrictions and has fucked peoples lives up."
• "It's all too much, all of this incompetence, all of this greed, maybe we ride it out."
  • RL says he has talked to the Riot devs (the ones working on Valorant) and says, "They are so cognizant of all the fuck ups and all the problems we have in Counter-Strike."
    • He continues to say that this is factored into their business plan and that we never had a competitor, but just so happens to have one coincide, when we are at our worst.

CSPPA - Counter-Strike Professional Players' Association

"Who does this union really fucking serve?"

• RL believes that the CSPPA is a mockery.
  
  • He points out the hypocrisy that they wouldn't strike for the pros who were kicked out of ESL Pro League, or for Jamppi or dream3r.
    • He also says ESL paid CSPPA and are racketeering and many other TOs have to pay them to get their "seal of approval"
      • He says they would strong-arm TOs saying "well if you don't give us the money, these guys are so we'll just have to commit to playing their event."
    • Also points out that they will strike against a competitor they are not in agreement with (Flashpoint)
    • RL: "It's what it says about every other time you haven't done it and it's about every time you don't do it now moving forward." "The issues they've chosen to ignore this year alone are embarrassing."
    • Then he points out that there was no strike for Valve qualifiers even if we have no major but Jamppi and dream3r can't play in them.
      • "and Valve have said 'Oh yeah we know actually their stories are accurate, Jamppi didn't cheat, now in a legally binding document. Yep dream3r did have his account hacked in a LAN café', but they still can't play. Where is the fucking solidarity? Gone. Doesn't exist. It's not important [because] it doesn't affect you." "That's what the union does right now, it looks after all the tier 1 people."
• He says the CSPPA doesn't represent all players all the time and has driven a divide where you have the haves and have-nots
  
  • "We have a tier of players that operate with impunity and do not help their tier 2 or tier 3 players out at all." "If you are not a tier 1 player you do not matter, they don't event ask your opinion."
  • He tells chrisJ to admit and own the fact that the reason he didn't speak up during the ESL Pro League debacle is because it didn't affect him
  • "They are looking after some players at the expense of other players. How the fuck is that a union?"
• He says the BLAST situation is a reasonable dispute and supports the players but is not the right time for a strike and have not even identified the correct enemy
  
  • He thinks players are lashing out now due to previous incidents and are upset that BLAST are working with ESIC
    • He stated that CSPPA shouldn't beefing with ESIC and they should be working in harmony
  • He says what they need to do is talk with the teams/organizations that have sold that right to BLAST
    • RL: "Your employers, the people who pay you that massive exorbitant salaries, when you don't stream and you don't do interviews and you offer no value beyond your ability to click heads and you get 25k dollars a month." "Why don't you talk to them about it? Oh right. You're happy to take away BLAST's paper, but you don't want to risk your own."
  • "I am seeing such unbelievable cowardice from the players here with the battles you choose."
  • "Where was the strike action when in the qualifiers for the world championship, there were teams and players engaged in huge conflicts of interest?" "Where was the strike action when your image rights were taken and sold to every league you've ever been in every union type organization you've ever been associated with like, WESA, to your org every time you sign a contract, to the leagues you play in."
    • "Your image rights are essentially worthless now, there's about 10 fucking separate parties that have them, and how many of them are giving you anything for it? Not much pretty much your org by the way."
    • "That's a big issue. Your image is you, your image is your brand. What are you doing about that? Nothing."
• He is also angry at SirScoots who is "popping off" at people on Twitter who all want the same thing, which is 'A unified Counter-Strike scene for everybody, that works for everybody, that has a sustained ecosystem that nourishes everybody.' "We don't have that now."
  
• He also says their rankings are a joke
  
  • "Just so happened, oh look TACO, that very important prominent member of the board, we pushed his team artificially up when they weren't even in the fucking top 20, not by a long shot."
• He also says the ineptitude of the CSPPA cost Flashpoint a monitor sponsor
  
• "Is it really a player association or is it like a fucking agency at this point"
  

ESIC - Esports Integrity Commission

"They have been put in an impossible position."

• RL says that Ian Smith, the founder of ESIC and who was done work in mainstream sports, is a good and honorable man who has dedicated his life to integrity and sports. He takes on both sides, ensuring match fixers are punished, but also doing appeals and ensuring those punishments were fair.
• "ESIC is a tiny organization" and are in need of money, "They didn't run a grift like the CSPPA did."
  • "Saying 'you want our support and you want the players to turn up you better pay us.' They don't do that."
  • "Had startup seed money from MTG and since then they've been pecking shit with the hens."
    • Ian Smith made sure that the money given by MTG (Modern Times Group, parent company of ESL, ESEA, DreamHack) was nothing more than startup money and wouldn't be in debt to them
      • Ian Smith sat down with other TO's not part of MTG and wanted to partner with them. They declined and called ESIC "ESL spies and we will never align ourselves with you"
  • "They only were just able to afford, hiring a PR guy on a full time salary to deal with the press and send out those releases you've seen, this year."
    • "They have a tiny group of staff investigating these things and they have taken on the biggest problems in our scene: the cheating, the match fixing."
• ESIC have had "unprecedented levels of cheating to deal with, because there's something wrong with our scene ever since we went online. There's something wrong with it, everyone's lost their fucking pride and self-respect and they got no passion for it anymore, so they think fuck it, what's in it for me?"
  • He calls out coaches who are talking about players rights when they would rob and steal from them.
    • Also says more coaches being banned are coming
    • He also points out flaws in community's reaction to the punishments to coaches bans: "Half of the cunts still have jobs and some of the cunts got new jobs. We didn't even shun the cheating coaches."
• ESIC have "found I think another 2 or 3 exploits like that one and they are investigating them all right now, it's going on right now."
  
  • "I know that there are going to be more names getting banned, again."
  • "So they're doing that on a skeleton crew while, investigating 3 continents worth of match fixing in MDL and semi-pro level CS." "They're doing this with half a dozen people." "They don't have any money or any help. People barely even fucking cooperate with them, they are treated like pariahs. It's ridiculous."
    • "Why are the CSPPA popping off at ESIC on my Twitter timeline, when you should be working together." "because its all about what's in it in for me." "2020, the online era of CS: 'What is in it for me?' How can I cheat, how can I get my paper, how can I bleed this scene one last time before I fuck off and play shooty shooty bang bang Riot Games babys first fps."
• RL says that in the CIS region, teams have gone to tournaments and have been eliminated multiple times by the same team. We found out they were cheating and those players who lost, have been cut from their roster, careers ended because of cheaters.
  

Stream Sniping

"They're all at it in the online era, they're all at it, they're all cheating, they're all using exploits, probably that see through smoke bug got used a bunch of times"

• RL talks about how there is no integrity from dead (the player), always denying when caught doing something
  • On the topic of 'BLAST never said we couldn't stream snipe': "Lies, BLAST never said you could do that, they had to sort of retcon it." "because what happened after that they fucking started snitching and squealing"
    • "Suddenly you had like, 10 of the top 15 teams in the world, staring into the abyss of being banned for 6-12 months in line with ESIC recommendations."
      • He says that ESIC was put in a tough situation and couldn't enforce the bans because it would have resulted in killing CS. What resulted was, BLAST, ESIC, and teams came together and gave them a warning and told them, in RL's words "don't do this again or you're gonna get got."
        • He then says the top teams brushed this off and didn't give a fuck
        • The new MiBR team playing Flashpoint, that wasn't involved in the previous incidents are doing it again (stream sniping). He gave credit to Flashpoint for the quick resolution and punishment and respect for cogu's response to the situation.
        • "ESIC came out and said, once more, 'Guys, zero tolerance from now on.'" RL then got upset at community's reaction calling ESIC "pussies" for their non enforcement and said if we want competitive CS we cant ban the top 10 teams.
• He points out how players have no integrity and will do anything for an edge as long as they won't get detected or banned or it's within a grey area.
• "All of this shit was mad avoidable, even in the pandemic era."
  • He talks about why aren't we filming them. Why aren't there representatives for leagues and tournaments making sure players aren't cheating?

Match Fixing

"How many years have we let our scene be fucking pillaged by these greedy cunts?" "We just let it happen."

• RL says that gambling and skins betting which existed in moderation was "accelerated and blown up by the Call of Duty greedy fucks."
  • "Never forget TmarTn was on the board of EnVyUs." "His website, CSGOLotto, they had a bunch of off-the-books sponsorships." "NBK promoted them. People forget."
• "Those people who had access to the skins, go to the players" "Even people like s1mple, best player in the world, even he scammed knives and skins off fucking fans."
• Owners of skin casino sites would approach pros and lend them skins to use in tournaments and possibly keep them after reaching a deal
  • Players would tip off inside info about matches and teams in exchange for skins. Info such as: roster changes, how they played in scrims
    • They would use this info to bet and subvert the odds on their sites. "That happened religiously, I can't even tell you how many times it happened."
      • "I had access to the biggest database of information, from an inside betting circle in NA, and it would take information and screenshots from other pro players, who were feeding them info in exchange for money or skins."
        • "Some of these players are still playing." "Incredibly, there are players still in the CSPPA today, complaining about the BLAST recordings, that were embroiled in this murky shit back then."
• RL also says that there were tournaments where teams contrived with each other, who should throw, who should win.
• "There's a handful of people that are trying to fucking clean it up, and you think you get something over the line and you see something like the CSPPA and it's run by corrupt fucking chuckle heads, and now you've got another corrupt body you have to fight on a fucking daily basis, it's demoralizing."
  • "It's too far gone. Our entire semi-professional scene is compromised."
• "It's rife guys, I'm not going to lie any more. It's not just China, it's not just Russia, it's here, it's NA, it's Europe, it's Australia, so much more than you think, so much more than we can prove."
  • "I get sent chat logs all the time […] and they're morons, these players, short-sighted, amateur, morons and they're doing it on WhatsApp." People would get cut from the bets because they want to make more money, then they leak the logs. He says, from the chat logs, they spread "little" bets across every site they can (400 to 1k dollars) to prevent shifting odds
• He says the scumbags who've fucked off to Valorant will do the same there if Riot doesn't do something and says Valorant "is an esports scene heading for a very early fall based on the sheer volume of scumbags that are already there."
• "That's tier 2 CS in a nutshell these days. They know they're never going to play in a major, so what's the punishment?"
  • "All of these tier 2 fucks that are fixing games now they are like the fucking mafia compared to iBuyPower" "These guys are working with organized criminals to fix entire seasons worth of games. That's what's going on in your tier 2 CS."
• "I'm literally being told that there are players fixing games at all levels of Chinese esports and motherfuckers with guns are turning up to team houses and stuff."

North America

"Everyone in NA has left we've lost a continents worth of support during this pandemic and Valve haven't said a fucking word."

• RL says the Call of Duty "goblins" that destroyed CS for years are the same people who are now trying to leave CS. "The nerve to treat a game where the fans, and the community, and the TO's were nothing but good to you." "To just kick the players out now and go and leave and say 'It just doesn't make financial sense.' Oh you'll slither back when we have a major though for them stickers won't you."
• There's a cascading effect in NA where people don't bother with CS anymore and people like Chaos suffer.
• He says NA team owners are incompetent for always wanting it easy and always wanting a guarantee on their investment without skill or nuance.
  • RL says he would be able to market a team correctly and would have a good ROI and also points out how TSM wouldn't even be bothered to tweet that their team, which was one of the best in the world, was playing at the Major.
  • He also says not all NA owners are like that, compliments and respects Jason Lake who nearly lost everything to keep Complexity going.
• He then calls out the incompetence in Infinite Esports when they acquired OpTic Gaming and bought an Indian CS team.
  • He says HECZ is not to blame here and that they couldn't tell forsaken was cheating when it was so obvious.
    • They measured his reaction time to the likes of dev1ce and s1mple
    • When an enemy showed up on his screen he won that duel something like 44% of the time
    • "was like the number 1 player in the world statistically"
    • He brought a laptop to their bootcamp and refused to use the high end PCs that hey provided
• He respects Andy Miller (NRG CEO) and HECZ but says that the attitude of not being able to easily monetize their teams is "piss weak" and there needs to be a risk.
  • He says Chaos EC shouldn't be cutting their roster and should be competent enough to be able to figure out how to make money off their team.
• He says there are still opportunities in NA and people are panicking and pulling out, and says Valorant will be the same if not worse.
  • He also says "bums" who couldn't even get out of groups in NA competitions, are making crazy money in Valorant and says it will continue to inflate.
• He also said that he heard rumors that EG (Evil Geniuses) are done.
• He also thinks that the rumors of a Valve franchised league from before was sparked up from "these lazy fabled weak NA fucking team owners basically trying to see if Valve would bite at the hook if it was dangled and they didn't"
  • Slasher says NA team owners are really in favor of franchised leagues because they want to make more money. "Most of the powerful team owners right now are on board with ditching this third party organization structure, or they are trying to play this power politics with all the TOs, and that is contributing to a lot of the problems there"
• RL says that Riot has proved they can run a franchised league (LCS) and will be profitable in 2021 which is what a lot of team owners care about and says the competition will only serve to snatch people away from CS.
• RL continues to say, "I am so sick and tired of what we have done to this scene, I am just exhausted with it." "I think we have legitimately fucked it, I really think we have. I think we're staring into almost like a CGS (Championship Gaming Series) wasteland in NA." "Counter-Strike esports is a fucking joke."

Talent

"TO's have treated CS talent like absolute human garbage for years now."

• RL says that people like Sean Gares and ddk switching over to Valorant isn't for financial reasons because they are making less over there.
• He points out that TO's can't even give talent a 3 month in advance calendar.
• Because of the pandemic TO's won't hire certain people and some people are working more hours for the same money.
• He says we as a community don't respect journalists enough which is why we don't have good journalists.
  • He also says DeKay is leaving the scene soon and that Thorin is close to leaving also
• He says he had to talk a caster down from quitting and was struggling to find reasons.
• He says that DreamHack told Vince they would hire him but not if he wants to stick with dusT and says that this is the norm in esports. "Constant leveraging of people against each other." and says this is why we don't have a talent union.
• New gen casters are getting put into shit situations and the community's reaction to them is adding fuel to the fire
• He says the reason Moses left was because of the terrible conditions
• He says that Anders had to constantly leave his family and kid because someone fucked up or broke promises and had to constantly tell his kid to their face that "daddy can't be home this weekend."
• He says that esports has always been a lie to sell you this dream, "Meanwhile there's about 2% of the cunts getting all the checks."

Valve

"Anything that Riot does, is better than Valve's inaction"

• Slasher says that the larger aspect of esports as a whole compared to other entertainment mediums and Valve's lack of inattention are the bigger problems. He continues saying that the fact that Valve let their game be ran as an esport, they need to take on the responsibilities of it.
  • Both Slasher and RL wants Valve to take control but not on the level of Riot Games, there needs to be a balance.
• In case it was ever a question: Gabe Newell has been to 0 CSGO Majors.
• RL calls Valve out saying they could have done something during the gambling era.
• He says Valve used to come to the majors, but doesn't think they do anymore.
• RL had met with Valve at the Cluj-Napoca Major and had tried to appeal iBP's indefinite punishment and had also gave Brax's life story:
  • A recent family member passed away, they had lost a lot of income, they had to live in trailer, iBuyPower did not pay any salaries, and was pressured by family to make money who didn't support his career.
  • RL said that Valve told him, "How dare you try and make us feel guilty." "We shouldn't feel bad about enforcing the only thing that matters that we need to make players afraid of: cheating and match fixing"
  • RL also tried to share other info about match fixing and nothing came of it
• RL points out that Source 2 or a new engine is not something you will want based on the experience of transitioning from CS 1.6 to CS:S. "Valve's track record with brand new engines being launched, not fucking great from what I remember."
• Slasher says "If there is anything the community should do, is pressure Valve to hire a community manager."
  • They say that we need a commissioner, a community manager (not the person who runs the Twitter who posts memes all day), then we need to have a circuit
• RL reiterates that Valve doesn't care about CS esports and says they need to change the culture at Valve to make them care about CS esports
  • Slasher says a systemic problem is making it so working on CSGO would be a bad decision for you as an employee for Valve
• He also hasn't talked to Valve in ages and have sent over bugs and cheats and doesn't get emails back anymore
• Slasher says we should be directing attention at the developer leads, pointing out Ido Magal, if he even is still the project lead
  • RL thinks that Ido and Brian are the only people that "vaguely even give a fuck about CS" and were the only people that RL recalled that actually read Reddit and paid attention from time to time
• "It is really fucking precarious. Somebody has got to step the fuck up and start giving a shit"
  • Slasher suggests org owners, with CSPPA, with ESIC, with TOs have a concerted effort against Valve
• "Riot Games are doing better things than Valve in the esports space" which is something RL didn't think he'd say.
• "People who used to be talent, working with unions, arguing with other talent, when the unions fucked them over, can't understand their perspective, TOs fucking over broadcast talent, broadcast talent wanting to leave and go and work for orgs, orgs having no money, Valve might take coaches away because all the coaches are cheating, ESIC has about 4 people in a fucking call doing the investigations, everyone thinks they're spies for ESL, ESL are just the evil fucking overlords wanting to rule the scene and will just somehow, like cockroaches outliving a nuclear bomb, and Valve are in a fucking holiday in Hawaii thinking about the next Dota character because they don't give a fuck about us."

Closing Statements

"We've peaked. If we want to sustain and exist, now is the time to figure it out. No esports lasts as long as this, we've already done 8 years. We've already broke the records. We have got to figure out a way to coexist and drive the negative forces out and we need to do it as a collective and we're not doing that."

• RL compared the Counter-Strike scene to the people on the Titanic who ran around with guns robbing people while the boat was sinking.
• "We have given up on being a respectable esports scene." "We are now a conduit to make money for those who want to just milk it, just have one last ride, one last roll of the dice. It's done." "What a fucking mess. What have we done to our fucking scene?"
• "There's just too much self-interest driving all of this." "I don't see a way we stop the dominoes." "When it's that bad, when there's that many dishonest people that ESIC have to come out and say that if we punish them all there's no one left. What does that tell you?"
• "How many opportunities have we had to clean house? How many times have we said, 'this must never happen again', and another scandal." "The entire skins betting operations was the biggest criminal conspiracy in esports ever executed and no one has been punished for it." "The people who could be driving that don't want to."
• "Right now people are fans of those organizations because the scene has value. It is worth being a fan of Astralis because they are excellent at Counter-Strike. It is worth being a fan of s1mple because he is the best player in Counter-Strike, maybe the exception of ZywOo. If the scene is devalued, if the scene loses its meaning, those things lose its meaning too, and people will leave, people will stop tuning into the games. I have seen it happen in multiple esports, this is not my first time at the rodeo. I am getting big Brood War vibes right now and I don't like it."
• "The role you play in all of this as fans, as viewers, as listeners, as consumers of esports content, it's absolutely imperative that you know who the good guys are. It's absolutely imperative that you use your voice. It's absolutely imperative that when things are bad, you know who, at least, is trying to make them good, and you have to apply your criticism to the right targets."
  • He continues saying it's no good in continuing to attack ESIC and saying how they are bad, ESIC have it hard
• He says CSPPA are on the right side of the argument on BLAST but have been on the wrong side of many arguments many times.
  • "If you are not willing to stand along side the weakest member of the union, with the least amount of influence, and the least amount of power, then it is not a union at all and you shouldn't pose as one." "You wanna serve a bunch of special interest do it, everyone else in esports fucking does, but do not pose as something you are not." "We love the players. I've been fighting for players rights for as long as I've been able to, but the CSPPA is not what we needed."
    • "They are not applying the pressure to the right people, they are not fighting the right battles, they are not helping their weaker members."
• He says what orgs have done by keeping or hiring coaches is bad. "When you give up on holding an appreciable standard, you've lost the scene" "Competition matters, rules matter, punishments matter, achievements matter, excellence matters" "If you start stripping that away, you have nothing" "You guys need to take that knowledge and apply it sensibly."
• "Valve has sold you all down the river, they sold everyone in the esports scene down the river, tournament organizers are selling their talent down the river. Don't hate on them for sounding tired after a 16 hour day. Don't hate on them because the hype for a matchup they've seen for the 20th time in the past 3 months, they can't be as excited or it sounds contrived. Support your guys, they're there for you, these are your people."
• "This community has got to start acting like one for the first fucking time. Just put the petty shit away, let's try and fix this fucking scene while we still have one to save."
• "You can't rely on Valve, you can't rely on ESL, you can't rely on the CSPPA, you can't rely on anyone." "Once again, it's gonna be the likes of us, the amateurs, the people who give a fuck, rolling up our sleeves and grafting." "I'm old and tired and I don't want to have to do it again. People need to pick up the torch and do it."
  • "Like Michal did, like Dudenhoeffer did. You see something wrong, fix it. You see somebody doing something wrong, call it out. If you think something could be better, let people know."
• "Vote with your wallets if you're not happy with the direction Valve goes in. If when we do get to the Major, they serve up another subpar, same old bullshit stickers and signatures package again, do not buy it."
  • "You're a powerful block and if you use it correctly we can fucking avert this disaster."
• "I'm not doing another year in this broken, bust-up fucking scene, where everyone is miserable, everyone is broke, everyone is tired, and everyone is trying to fucking rob everyone else, blind, while the fucking people who are meant to be protecting you, are just fucking enhancing it and lining their own pockets."
  • "I'm not doing it anymore and you shouldn't want to do it either."
• "I stand by every fucking thing I said. I mean it, because this game fucking matters to me, this scene fucking matters to me. I put my life into this, my adult life, and to see it in this state is fucking sad."

I have been following WSB as a lurker for almost a year, and this has become my favorite sub on all of reddit. Shout out to I am absolutely rooting for y’all and all your proletarian tendies.
 
I don’t want to rain on anyone’s money parade. But after reading lots of excited posts about “rockets to the moon”, which seem to be full of excited confirmation bias, riding on this excellent & sober post, I wanted to present a few arguments, as a total ignorant fool, about some strategic disadvantages I perceive in this battle, since I tend towards skepticism, and worry that there is too much buzz, and not enough strategic preparation.
 
I was also inspired by u/NHNE’s quote from Sun Tzu in his excellent post with a Diamond Hand Strategy Guide:
“If you know the enemy and know yourself, you need not fear the result of a hundred battles. If you know yourself but not the enemy, for every victory gained you will also suffer a defeat. If you know neither the enemy nor yourself, you will succumb in every battle.” - Sun Tzu
 
My caveat: I know literally nothing about investing.
   
The advantages Hedge Funds have in the battle for the GME Short Squeeze:
 
Information advantage

• The hedge funds will always have quicker, better access to information than all of WSB.

Coordination advantage

• They are one big organized entity, and can move their entire “Army” of bets with infinitesimal speed.

Size advantage

• The hedges have more money at stake and in play than all of WSB put together.

Ally advantage

• They have powerful collaborators. The media, who doesn’t want a hedge fund to go bust. You can assume, the US government (and every other government), because they don’t want a stock market crash. And everyone who colludes with hedge funds, i.e. all of corporate America.

Propaganda advantage

• Whether it be social media posts, bots, articles in mainstream media, they have enough money to blast out as much fake statistics and propaganda as they like. WSB does not.

Mathematical advantage

• A lot of trading has become complicated math. You can assume that every single analyst they have/need is working on the math to get them out of the hole they have dug themselves in. We are less good at math.

Speed & Precision advantage

• They can make trades and bets much faster, with a much higher precision than WSB.

Strategic advantage

• You can assume the hedge funds know your position, but you don’t know theirs. This in my mind is the most powerful of all advantages for them. Imagine you are playing chess against an opponent and have to decide which pieces to move, but aren’t allowed to see where theirs are? But they can ever read your thoughts (i.e. this forum).

Legal advantage

• Given the very very light penalties even for something patently illegal in financial manipulations, it is in their very interest to do anything whose cost is “cheaper” than the potential cost of the actual monetary loss, whether it be legal or not. If you were the CEO/Fund manager, you too would decide for illegality.

 
So, the question then becomes, given this situation, in which for the hedge funds not only billions are at stake, but the narrative of their ability to make the market, and the propaganda of expertise they disseminate, how does WSB win and force the Short Squeeze? What are WSB's advantages? How do you make best use of them? Who are WSB's allies? How can they be activated? How do you deceive the enemy? How do you overwhelm them, tactically?
   
A few initial thoughts on counter-strategies (Feel free to suggest more, and I'll add them in):

• The strongest narrative that might influence public/politics is that the stock market is a casino, and the house is not just taking its fees, but cheating. The stock market is no longer a "free market", but a place where big players make the rules, and use their wealth to make more wealth for themselves.
  
• WSB needs to find and activate allies. These might be the company itself (GME), value investors who believe in the free market and its efficiency, political/investment figures who want investment to actually mean something.
  
• Some disadvantages need to be turned into advantages. For example, it will be difficult to impossible for WSB to move in concert without alerting the "enemy" to its own ovements. So, how does one coordinate a move in which transparency becomes an advantage?
  

 
My position: One free GME share I got from RH when I signed up.:)

I think we're all aware by now of the conspiracy that's building in the background of 2077. Most of us know about the mysterious Blue Eyes who appears in The Sun ending to the game. He operates as The Stinger of sorts for (that) ending of the game; He and V discuss a job vaguely alluded to through out the ending sequence and then the ending cuts to V in space charging off towards The Crystal Palace. Cue DLC Hook and credits.
But, let's go back here. This is only the tail end of the conspiracy and where it actually intersects with V's story. Blue Eyes (and some connections to him) crop up multiple times through out the game and, when pieced together, start building a larger picture that runs deeper into Night City than the pockets of most corporats.
I've finished my second playthrough of the game and I've been drafting this post as I play and find more clues. I doubt I'll find everything or might completely dismiss some, but I want to be on the front lines of uncovering this mystery, especially if this will be our Gaunter O'Dim for Cyberpunk 2077. I apologize for the length of this post ahead of time, but I need to summarize a bunch of lore and at least 4 major side-quests; "I Fought The Law", "Dream On", "Full Disclosure", and "The Prophet's Song".
Here's a long essay incoming, but I hope you chooms enjoy and I hope you read through to the end because, oh boy, I uncovered some cool shit!
So, who is Blue Eyes? Who are his contacts? What is his role in the ecosystem of this city?
"I FOUGHT THE LAW"
Let's start with where he most appears in the game; Jefferson and Elizabeth Peralez, political family in the running for Night City's first family. Which I kinda have to summarize their questlines, including the first one which Blue Eyes never appears in. But I'd prefer to go in chronological order and not jump around, so stick with me.
Elizabeth first contacts you for the job "I Fought The Law". It's fairly basic, but the quest tells us she convinced her husband to hire V to look into the recent death of Mayor Rhyne. We get a BD of a cyberpsycho attack by Peter Horvath on Mayor Rhyne. Weldon Holt leaves the room before the attack and then the security gate crashes right before Peter walks in with billions of eddies worth of chrome. The attack is unsuccessful and stopped by Detective River Ward, who was only there because Peter went missing internally at the NCPD and he knew where Peter would go.
When investigating Peter Horvath, his previous boss describes him as paranoid that "probably thought Mayor Rhyne talked to him through the TV" and that the world was out to fuck him. She then mentions that someone "finally saw what he was worth" which cues into how Peter was thrown into this attack in the first place; he had a patron who funded his chrome and the attempt on Rhyne's life. Tellingly, River than goes into a little talk about how clues rarely make sense until put into the larger context, much like we're doing right now.
V goes to the club Rhyne died in; The Red Queen's Race. V sneaks through, takes out some Animals, and can investigate what actually happened to Rhyne. If we read the emails on the office terminal, we know that Weldon Holt arranged for Rhyne to be there. He initially mentioned this to Rhyne during the first BD; Rhyne asked Holt directly to arrange his usual room at the club. So, this doesn't inherently look too suspicious on it's own, but Holt knew where Rhyne would be. We also find out via the Animals Boss there that Weldon Holt is the one who hired them to smash up the club and they're currently waiting around for payment. Further, you can go to the room Rhyne died in, find the BD headset, and put it on... which INSTANTLY knocks V out and they need to be rescued by River (who, btw, takes out any Animals on the property you didn't get to! Ty bro!). They surmise that Rhyne was killed by a virus in the headset. Lastly, we find footage of Detective Han (River's partner) covering up the death of Rhyne. They confront Han, V goes off to the Peralezs, and quest ends.
Of note, finding the BD set is a hidden dialogue option with the Peralezes suggesting, yes, that's the correct deduction to make. You don't get that option otherwise. And V never actually comes to any real conclusion to what happened to Rhyne.
So, let's summarize what we know about the death of our Mayor. Peter Horvath was hired by an unknown Patron who spent a ton of money to turn him into a suicide bomb against Rhyne. They have connections internally to the corrupt NCPD which allowed Horvath to get access to Rhyne, both from escaping NCPD custody and for the security to give him access to Rhyne's conference room. That fails so our mastermind instead assassinates Rhyne at his usual sex club, one that we know for sure Holt knew about. Rhyne is assassinated via malware in a BD porno headset, NCPD comes in an Detective Han cleans it up. Later, Holt hires the Animals to take claim to the club and fuck it up.
Holt is looking suspicious AF rn, but we also don't have any direct evidence and V says as much if you accuse him. Personally, I think it's a little too clumsy if it's him. Holt leaves the room just as an assassination attempt goes down, sets up a sex club appointment for the Mayor where he's successfully assassinated, NCPD covers it up... and then he hires a gang to cover it up more? Something doesn't fit here.
My theory is Holt is innocent. He's a scum bag, but not the culprit here. Why would you EVER give your identity to the Animals you hired to cover up an assassination? The big dumb brutes of the underworld? A name they give up with almost no fight? No, I think someone hired them under Holt's name. And I think they hired them because they KNEW the BD Headset was left behind; Han dismissed it entirely as Rhyne dying of a heart attack brought on during sex. They needed that destroyed to cover the final footprints. It's the only piece of evidence that doesn't have Holt or NCPD's name on it and doesn't fit the narrative that both are pushing. If they're covering NCPD or Holt's tracks, why not delete the emails or footage of Han? And if Holt or Han were trying to push this false narrative, why leave the headset right there the first time?
And, while I have no evidence of this assertion, the Animals are only still there because they're waiting for payment to come in... I think our employer never intended to pay them and left them in the path of V, who is likely to shoot them and tie up the loose end for our mysterious entity. Animals destroy the BD set, V shoots the animals, no trace. And, even if he doesn't, Animals will point V to the wrong person.
No, we've got a third party here. But let's continue so we can finally let our lead actor take center stage.
"DREAM ON"
"Dream On" starts when Jefferson calls V and asks them to help in another case. Long and Short; Jefferson woke up in the night and found a man in a mask (or an implant) standing over him. Jefferson shot the man, only for his head to fry and knock him out. Coming to, he's back in bed with no evidence it ever happened. SSI, their private security, insists that there was nothing on the cameras, no evidence, and nothing happened. Elizabeth claims she slept through the whole thing event.
V investigates the apartment, with Elizabeth giving the tour, and finds a lot of evidence. Elizabeth is kinda dismissive at first thinking V won't find much. First small stuff leading into larger reveals. Let's start small and work our way up.
First room Liz takes us to is the campaign room. She talks about running the campaign entirely out of pocket and having to keep most of their supplies at the Penthouse; "It's cheaper that way". You find a picture of their daughter on the wall and Liz explains that she's off at university in Europe while Jefferson is running for office; "It's easier that way" she says. That phrasing again.
EDIT: A redditor in the comments pointed out that the Peralez are being controlled via drugs in their food as part of the tech. They mention they've been eating fast food lately, explaining why Jefferson was lucid enough to catch the agent and shoot him.
V can look at Jefferson's emails (which Liz slightly discourages them, saying there's nothing there) which reveals a bit more about their campaign. There's a video of the iconic commercial and poster of Jefferson pulling out a gun and shooting a bunch of paperwork. In the email, Jefferson HATES this commercial, but his assistant, Lea Patel, insists on it as it will air in television time slots with action-drama series and catch the attention of voters. Further emails have Eric Boucher, Jefferson's Campaign Partner (Manager?), saying Jefferson has been acting unpredictably lately; presumably referencing one of the next emails. Boucher is confused because they fired Lea Patel together, only for her to continue working and sent him a new ad for approval. When emailed, Jefferson is confused about Lea being fired at all and doesn't remember the event ever happening, even telling Boucher to be honest if he has some issue with her. A final email is from SSI Chief of Security, Wallace, discussing Jefferson's intent to hire a merc to look into Rhyne's death ("Dream On") and they suggest Jefferson drop it or have NCPD or themselves look into it. Private Security just... offering to investigate the former mayor's death? Huh... sounds more like they want to squash the issue to me.
We should now talk about the Peralez's campaign. As you explore the apartment, Liz explains that they're running on a corp free campaign; they want to get Night City out of the control of the corps and do so without ever owing any favors to them. She specifically cites "Night Corp, Militech, and Petrochem" as ones they've denied. Militech and Petrochem come up a few times in other quests but Night Corp is relatively obscure. And they choose that corp to be the first one she mentions? Stands out to me. It also isn't lost on me that we're talking about running a campaign out of pocket and refusing corp assistance... while walking on the fancy ass balcony of a penthouse in Charter Hill- North Oak.
Next room, we find Jefferson's office. Elizabeth and Jefferson both graduated with law degrees from Asukaga University in Berkley. V points out it would be extremely expensive for them both, but Elizabeth says that both got full ride scholarships from the Richard Night Foundation, run by Night Corp. To further fucking cement this moment, there's a Richard Night biography shard on the desk. But we'll drop this for now because I want to get to Night Corp a bit later.
The computer on the office desk has some emails on it sent by Elizabeth. One is between her and Judy where she's asking Judy for help on the original "I Fought The Law" quest and Judy is the one who gave her your contact in the first place. Another is from their daughter kinda asserting the same thing earlier; safer for her in Europe so she's not a target on the campaign trail. And here's the interesting one; Boucher emailed Elizabeth asking why Jefferson changed his mind on Lea Patel. Elizabth says Jefferson explained it to her that it "slipped his mind" and "circumstances changed in Lea's favor" and she asks him to drop the whole thing. She's dismissive and gives extremely vague details.
Next room, Bedroom. Elziabeth's gun is on the table. It's the one Jefferson claimed he fired and scanning it tells us that it has been fired recently. We also find the wedding photo of Jefferson and Elizabeth where she fondly talks about having blue roses because she loves them so much... except the photo's roses are red and V says as much. Elizabeth quietly corrects herself that they only had red roses instead and moves on.
In the hall, we find the blood trail and gun shots in the wall; both covered up hastily. Following the trail, we enter a tv room. The Smart Glass isn't working and Elizabeth says it stopped working recently; not like they use it much anyway. Passing a Tech Check lets us try and fix it... only to be quickly blacked out by it so hard Johnny felt it too. V asks Elizabeth about it but she doesn't know what V is talking about despite having been standing right there. We also find a hidden door in the wall. Unlike earlier, Liz is actually confused by the door but demands V try and open it.
Downstairs we have the security room. Liz says that it used to be her place but "Security had to set up somewhere" and that she had to make sacrifices for this campaign; "it wasn't the first nor will it be the last". One computer has a Welcome email from SSI to new recruits. It details that they have access to all areas except Section Zero, which is reserved for Blue or Black agents and that, should the encounter a Blue or Black Agent (SPECIFICALLY "in the night"), do not interact or acknowledge them. The next email from Wallace mentions an accident where there was a "behavioral anomaly" and "ALPHA" injured a Blue Agent (BLUE-66M) who is in critical and the SSI head is requesting access to Sector Zero to give medical aid. SSI gives Wallace the code to Sector Zero and sends a team to aid. SSI knew about the accident and lied. You go to the second computer, unlock it, and can unlock the upstairs door. On that terminal is a bunch of deleted files (presumably the security footage from that night) and emails discussing "normal maintenance procedure" and further informing security that ALPHA (Jefferson) hired a merc (V) and, should security encounter them, do not interact with them.
Small thing I found interesting, a shard called "You Are What You Slot" is found down here too. It details a fictional assassin who kills and then steals the identity of her victims. Small and doesn't mean much on it's own, but the shards are hinting at the story here; one of false identities and manipulation.
Now, let's get to the main event; the secret room. Inside is a control center. Elizabeth is horrified and feels violated. She shouts that she's not letting SSI anywhere near them, only for her head to start hurting and she tells V to do what he needs to do. She leaves him. Inside the control room is a box of bloody medical supplies. The computer discusses "behavioral norms" for ALPHA (Jefferson) and suggests amplifying "neural dampening". It discusses things similar to Wallace's terminal, but from the other side; ALPHA is displaying odd behavior by hiring a merc, the SSI teams avoided meeting the merc, and then the actual accident that occurred injuring BLUE-66M during regular 'maintenance'. The other side of the room also has another data shard, "Rewriting Synaptic Pathways", basically talking about using tech to rewire the brain a bit.
Following some wires from the control room to the roof, we find a signal dish. Johnny (replacing Elizabeth for conversation now that she's gone), joins in that the tech looks prehistoric but functional and that Militech used it in the war; it requires line of sight to transmit data but otherwise can't be intercepted. We can see the tower and go to investigate. V tells Liz the whole deal; V can suggest that the Van near the tower could be SSIs or that it might not be due to unconventional tech. Liz then itterates twice that it's a stressful campaign time for Jefferson and V should talk to her, NOT him. "Sure, whatever" V and the player dismiss.
(I SWEAR WE'RE ALMOST DONE WITH THE SUMMARIZING FOR DREAM ON, I'M SO SORRY.)
We drive after the van, Johnny is suddenly excited for smashing a corpo conspiracy and iterates that citizens do not choose their representatives, instead they're chosen by "key players" who watch the Peralezes for weaknesses or blackmail material. We arrive at the facility patrolled by Maelstrom and the occupants of our van park, get out, and climb ladders to the roof where they get into an AV that is cloaked to be near invisible (as shown in a couple of vids on YouTube and this subreddit).
At the place, Maelstom is explained; "UNKNOWN USER" contacted them while driving the van for protection to take care of V and then destroy the van. Van's data makes it pretty clear; the Peralezs' minds are being manipulated, new neural pathways are being created, and their memories are being created, changed, or erased. There are also a couple of other names of other test subjects. The data is then erased. We do see an almost flower like symbol before the data is destroyed.
The agents on the cloaked AV CAN be killed and do drop a shard, thought it doesn’t have many more details, merely that they’re contacting HQ to arrange extraction and that the Van’s data should be destroyed and echoing the arrangement with Maelstrom mentioned earlier in their shards.
V calls Liz, Liz wants to meet in person instead of over holo and send him to a Japantown Raman shop (same one that used to be Rainbow Cadenza, coincidentally). Odd choice for an upstanding congresswoman. She says her nerves are shot, the ramen shop is a quieter place to meet than the apartment, and she needs a moment to gather herself since she last saw V, with V even asking if something has happened since they last saw each other. Of note, Liz is stress smoking the entire scene, something she hasn't done until now. She then explains, no, it's been over a longer period of time. She's been watching her husband change and act differently for awhile; he stopped reading, his taste changed, and he even insisted he was an only child and never had a bother when Liz asks about visiting the grave. Of note, yes, Antonio Peralez has a Columbarium Vault, which proves Liz is correct on this. She confesses that she herself has been told by others she's been acting strangely. V says she knew what V would find and she asserts that she doesn't know the who, how, or why, but "they're changing us". Jefferson apparently went on in great detail about a trip she swears they never went on, but she doesn't know if the vacation is a fake memory or if she's the one that doesn't remember.
She saw a stranger in their apartment tinkering with a monitor, only for him to be missing when it was reported to SSI and they looked at the feeds. The next day, she got a phone call from a stranger (whom she refers to by "he") saying that she's walking on thin ice and Jefferson could have an accident. They later erased all data that the phone call had happened. Elizabeth claims she's terrified for herself and her husband's safety and doesn't want V to reveal the truth. V points out "they" could be telling her to say that but it doesn't really change how she feels since she just wants Jefferson to be safe. She tells V to tell Jefferson it was SSI spying for Holt. She asserts she wants SSI out of her roof if they're spying on their sleep. She will take responsibility for firing SSI, but wants Jefferson to be safe and out of that fight. She adds a meeting with Jefferson to his calendar at Reconciliation Park. But, ultimately it's V's choice (especially since she has no idea if she'll remember the conversation) and leaves. Johnny jumps and and talks and mentions that there were talks like this back in his day and worrying about the damage a puppet mayor could do.
V heads to Reconciliation Park to meet with Jefferson. Entering, V is called by an Unknown Number which blacks out V's optics. They claim to know who V is, *what* V is, and what V wants. It doesn't matter what V tells Jefferson, but "don't dare cross that line" and "you're playing with fire". Its a garbled male robo voice, so safe to say it's irrelevant to the owner.
Enter Stage Right, our missing lead; Mr. Blue Eyes. He is standing on a balcony watching the place where we meet Jefferson. In the Scanner, he is labeled "Mr. Blue Eyes", has no known affiliation, is wanted for "SC 370", and is wanted for "Classified". His eyes are electronically glowing blue you can even see from several yards away. You cannot injure him as grenades do nothing and you can't aim at him. Of small note, and I don't know if this ACTUALLY means anything, but his hair style asset is referred to as Morgan Blackhand in the files, but could mean nothing if this hair is actually used by other NPCs. MOST LIKELY THIS IS NOTHING UNLESS SOMEONE HAS FURTHER INFO.
(Plot twist: It meant something. But we'll get there.)
V sits with Jefferson and can reveal the truth; "SSI is on the take from an unknown group to control your lives". V can even point out the absurdity of Peralez being as successful of a politician as he is without any corp sponsors. "They want you to be *their* mayor. Molding you like clay". You can tell Jefferson how to proceed and additional details, but it doesn't matter. Later, Jefferson will send a text and delete your number and so will Elizabeth, who will call you out for telling Jeff. In the end credits voicemails, Jefferson has decended into paranoia about some vitamins Liz gave him which he didn't trust so he sent them to the lab, only to then not trust the lab results saying they're fine. Jefferson Peralez is confirmed the new mayor during Late Act 2 and the major difference is his state of mind at the end game; either hiring V to be on his security staff or descending into absolute paranoia over everything in his life.
Lastly, Johnny appears and cryptically talks about back in his day when they'd talk about rogue AIs. Personally... I kinda completely dismiss this? It comes out of nowhere, Johnny cites NOTHING for why he'd bring this up in relation to the case, and I can't fathom a motive. I’d also point out that this isn’t the only time Johnny is outright wrong. In fact, he’s wrong A LOT in the game. For example, he criticizes V for listening to the Netwatch Agent and that he’s bullshitting you. Except, the agent is 100% correct that VDB did spike V as a suicide virus and Johnny is actually wrong. He also claims he doesn’t know what happened with Thompson after Never Fade Away, but this is a lie because Thompson is flying the AV Johnny takes to Arasaka in 2023. The only connection I can find is "Who is controlling Blue-Eyes" which might make Johnny correct, if just not in the way 'Rogue AIs' initially implies.
So, what actually has happened?
The Peralez family has been molded for a very long time into being the perfect political couple. They got scholarships from the Night Foundation for two fancy law degrees, have successful political careers, and Jefferson is running for Mayor on an anti-corp platform, an insanity for Night City. And he's actually successful at it. During a maintenance service at night on the Peralez's apartment, Jefferson woke up and shot an SSI/Unknown agent making repairs. The Control Booth knocked Jefferson out and they pulled the agent out of the apartment into the secret room. SSI put the Peralezes back into bed and hastily cleaned up everything, but the damage was done and Peralez hired V who uncovered mostly everything.
Elizabeth seems to be initially very upset by the discovery, but wants V off the trail when we meet her next. However, she's not in on it as she's equally a victim to the brainwashing/gaslighting and that's for certain. I think she's a pawn who is either too scared or too programmed to break the rules of movement on this chessboard. It's worth noting that, while the unknown entity threatens Jefferson's life and V's well being, they do not make due on either of these threats. I call their bluff. They have put too much work into Jefferson to abandon or kill him.
But, where else have we heard of this gaslighting brainwash process before?
"FULL DISCLOSURE"
Ok, we're on the shorter end so I don't have to actually explain this quest in full. Sandra Dorsett is a netrunner and a very skilled on at that, actually collecting data from Night Corp. She was kidnapped by the savs we rescued her from at the beginning of the game shortly AFTER she stole this data, suggesting Night Corp was behind it. This data is on the shard she asks you to collect during the aforementioned quest. V has full ability to NOT read it, but let's look at it; "Operation Carpe Noctem" ("Seize The Night" in Latin)
Described in it is an experiment on Night Corp's own employees where they are quietly brainwashing them and getting them to do whatever they want. They specifically cite an empathetic and calm employee who they got to fight a co-worker and then jump from a 16th floor window. The shard ends on mentioning that they're ready to install CN-07 on "our actual target".
I think multiple quests discussing brainwashing and gaslighting is too coincidental to be utterly unrelated to each other. I think Night Corp's actual target mentioned here is Peralez.
So, what is Night Corp?
Night Corp is the most mysterious of the corps in Night City. It currently operates to better Night City via philanthropic ventures, fundraising, community support, and city infrastructure. Basically, while Militech and Arasaka and the others operate in the city, Night Corp basically RUNS the actual city. They're also noteworthy for the level of security they have that even the best netrunners can't get much from them and, since they keep to themselves and seemingly just do city infrastructure stuff, no one really super bothers them. It has been run by Miriam Night, wife of late-Richard Night, until recently and we currently don’t actually know who runs NightCorp.
Originally, they were the Night Foundation, but that requires explaining Richard Night... oh boy, Lore Drop. I'll make it quick as possible.
Richard Night is the founder of Night City. He started as a partner of a firm, but his ambitions grew beyond that to founding "Night International" to build his dream; a city that would be so grand it would make all other cities pale by comparison, Coronado City. A capitalist mecha of opportunity, Night City would be run by corporations and have next to no anti-business policies on the books. Arasaka, EMB, and Petrochem were his first backers and he came into claim of land on the central-California coast; Del Coronado Bay and Morro Bay would be the location of his dream city.
(BTW, irl, Morro Bay, California is a real place. Been there, have family there, go there regularly, kinda cool!).
Despite being a capitalist mecca city and run by corps, Richard Night also dreamed it to be "A sprawling metropolis, free of crime, of poverty, of debt. A place where people could live safely, peacefully, without having to worry about the dire situations that were growing around the world at the time".
However, due to the design plans, Night didn't employ local contractors and instead got expensive architects and builders from all over the world. Local builders didn't like that, they had mob connections, bloodshed started. And soon Richard Night was murdered by an unknown assassin, presumably a mob hitman. The city was renamed Night City in his honor and his dream utopia became to embody everything that was destroying the world. Mob took control and corps didn't give a fuck since it didn't hurt them any until they eventually had to take out the mob gangs, but not in any favor to Night’s dream either.
Miriam Night, Richard's Widow, founded the Night Foundation (later Night Corp) to stick to Richard's Ideal dreams of what he wanted the city to be. They invest heavily in ecological research, alt power sources, civic infrastructure, public works, and charities and scholarships for Night City youth. "They've even managed to stay out of the normal corporate power struggles which tend to plague every other corporation, both inside the city and out. Even the shadowy corporate rumors about them, like having underwater bases in the bay or access to orbital satellites, remain unsubstantiated despite extensive investigation."
So, where does this put us now? We have ONE last quest...
"THE PROPHET'S SONG"
Garry The Prophet is our local crazy man. He spouts off insanities to anyone who will listen near Misty's Esoterica in Kabuki. However, some of his ideas aren't quite as much off the mark as one might think. There ain't no technonecromancers from Alpha Centuri (or Spanish Inquisition) nor is Saburo Arasaka an immortal vampire, but he was correct that Saburo wasn't dead and in fact immortal; via Mikoshi and The Relic.
He send you on a quest to investigate a meeting; he says that his ripper mistuned some cyberware in his head and he can hear their communications. You show up to a meeting between corps and Maelstrom. They say some nonsense phrases and transfer a data shard. Reading it ("Destroy After Reading") it seems like nonsense. But does include the line "The cages of men melt as night descends". You can decode it via a Null Cipher; first letter of every line: “Project Oracle Command Execute Plans”.
We don’t know what Project Oracle is. In real life, secret project or operation names actually tend to be chosen at random and are unrelated to the actual project (you can google funny stories about names that ended up awkward to the actual project), so this could mean nothing. But, narratives tend to give meaning to everything. Oracles are mythical in references and could predict the future or see the unseen. Perhaps perfect prediction via behind the scenes manipulations? Not sure we’ll get answers on this one for now.
Going back to Garry, he's been kidnapped. His protoge is screaming he's been kidnapped "Black suits came by - blue eyes and all". Blue Eyes huh? Further, she claims that they threw him into an invisible AV... Huh, like the one we saw back during "Dream On"? "Night's comin... The eternal night"
So, it’s time to jump us to the final step in our Fool’s Journey: The Sun.
“THE SUN”
The Sun ending has V wake up in their new penthouse apartment (with their love interest if they have one). Checking the computer, we see emails from our dear Mr. Blue Eyes. He wants an answer from V as to the job to the Crystal Palace he has planned and that they’re on a tight schedule for “obvious reasons”. We meet with him at the Afterlife and he talks about the job; Casino security is going into maintenance and V mentions giving him the casino client list. V also asks him to “hold up your end of the bargain”. They never discuss eddies or payment. It’s all in such vague terms. “Your end” or “Obvious reasons”. Smaller point but an email from Vik on the space shuttle also tells us that he’s asked around about Blue Eyes and has nothing; either he works with people WAY above Vik’s paygrade or he’s shady as hell… or both.
I think Blue Eyes knows V is dying (the obvious reasons) and I think the unspecified payment is V’s survival. V always says that they want to come back to their love interest so it’s not a mindless suicide run and I don’t think V would risk it all for nothing but eddies; especially not after Reaper (both versions) paint suicide runs as a horrible terrible thing. To then glorify it in another ending… no, the game is smarter than that.
Your love interest doesn’t seem to be too upset about the situation either. Panam and Judy leave V in The Sun due to their lives taking different directions, but it seems mostly amicable and understanding. They even express desire to see V again because they know V needs to do this job. Kerry, who stays with V in The Sun and expresses worry and also a desire to settle down with V, also seems mostly understanding that V needs to go on this quest. I don’t think they’d be so calm and loving and understanding if this were a suicide run. They know more than the player does.
Further, I think Blue Eyes isn’t after the casino aspect of the Crystal Palace at all. While that’s the major commercial aspect of the station as marketed to the citizen world, the station also has embassies from every nation on earth, facilities from all the major corporations, and is pretty much THE place where all the dark corporate espionage goes down. There’s so much more to this location than ‘casino resort’. *EVERY* corp has space stations and hideaways in space because the Crystal Palace offers it’s own legalities and opportunities that are not allowed within Earth’s terms and conditions. If they want to do some research that would be frowned upon elsewhere and get up to some Top Secret shit, it’ll be in outer space. Night City is controlled by corps and has lax laws, but outer space’s are even more so.
I think the cure V wants is not only on the station, I think it’s what Blue Eyes himself is after, but I’ll get there when it’s time to theory craft about the future.
I think it’s worth noting; Blue Eyes IS IN THE TRAILER FOR THE GAME. Yeah, anyone remember that shot on a shuttle with a guy being burned out from the inside? Yeah, he’s there. In the foreground. *Smirking*. The shuttle also seems like they’re in space.
These events leading to the Crystal Palace and the conspiracy with Blue Eyes are blatant DLC Hooks for the future and suggest a post-game DLC. This isn’t the first CDPR has done so either; Blood and Wine takes place after the story of Witcher 3 and is explicitly incompatible with the worst endings of that game. I think, conceivably, other endings where V is still alive could be roped into this adventure; Blue Eyes merely needs to hire them with the same offer of survival. While The Star takes V to Arizona and away from Night City, I think that choice of location is appropriate as, to even get to space for The Crystal Palace, citizens go from LAX to Arizona for a space port to launch them off Earth’s surface. They could have chosen anywhere else to send Panam and V, but they choose Arizona, huh. I do think Reaper, Temperance, and Devil will be locked out of this future, however, as all make any point of Blue Eyes hiring V irrelevant; there’s no V left to hire/save. MAYBE a rejected Devil ending, but I wouldn’t blame them for not continuing that conclusion either as Devil is one of the bad endings.
So, it’s finally time to really compile a lot of this information into where I think this is going in the next comment below