{"id":164795,"date":"2021-01-28T06:05:13","date_gmt":"2021-01-28T03:05:13","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/gamestop-short-squeeze-highlights-the-power-of-decentralization\/"},"modified":"2021-01-28T06:05:13","modified_gmt":"2021-01-28T03:05:13","slug":"gamestop-short-squeeze-highlights-the-power-of-decentralization","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/gamestop-short-squeeze-highlights-the-power-of-decentralization\/","title":{"rendered":"# GameStop short squeeze highlights the power of decentralization"},"content":{"rendered":"

“# Game<\/a>Stop short squeeze highlights the power of decentralization <\/strong>”
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The success of the GameStop short squeeze in pumping the price above $370\u2014 and the reaction from centralized authorities and markets to it \u2014 has highlighted the need for decentralized finance, according to some in the crypto industry.<\/p>\n

The stock, which was trading at less than $20 per share earlier this month, was deemed by members of the r\/WallStreetBets<\/a> subreddit<\/a> to be under attack by a hedge fund which had disclosed a large short position in the stock.<\/p>\n

As a result of the pump coordinated on Reddit and executed by individual traders using platforms like TD Ameritrade and Robinhood, hedge fund Melvin Capital Management lost a total of $3.75 billion by having to close<\/a> their massive, losing short position on GME.<\/p>\n

Various centralized trading platforms have now put limits on trading the stock and the president of NASDAQ \u2014 the exchange on which GME is listed \u2014 suggested<\/a> that trading could be temporarily halted on stocks deliberately targeted by internet users, in order to give investors a chance to \u201crecalibrate.\u201d<\/p>\n

Eyebrows were also raised when the subreddit behind the short squeeze, WallStreetBets, was taken offline temporarily and its Discord channel suspended, app<\/a>arently over content moderation issues. <\/p>\n

The crypto community has watched on with fascination as traditional markets start to resemble crypto markets, only worse. <\/p>\n

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At some point these r\/wallstreetbets dudes will figure out that BTC is the biggest financial protest https:\/\/t.co\/IjdHKm57wg<\/a><\/p>\n

\u2014 Haralabos Voulgaris (@haralabob) January 27, 2021<\/a><\/p><\/blockquote>\n