The Trillionaire Mindset - 19: The GameStop Scandal Anniversary!

Episode Date: February 4, 2022

To the moon! This week Ben and Emil delve into the GameStop stock craze, how it has impacted the financial market, and examine company earnings season. Subscribe to the Trillionaire Mindset Highlights Channel: https://www.youtube.com/channel/UC-E2wiM-Dn9TS3bPrhykpJw Listen on Apple Podcasts: http://apple.co/trillionaire Go to https://nordvpn.com/trill or use the code trill to get up to 70% off your NordVPN Plan + 1 additional month for free. It’s completely risk free with NordVPN's 30 day money-back guarantee! Just go to https://BABBEL.com and use promo code TRILL Cut your wireless bill to 15 bucks a month at https://MINTMOBILE.com/trill  Trillionaire IG: https://www.instagram.com/trillionairepod/ Trillionaire Twitter: https://twitter.com/trillionairepod TMG Studios YouTube: https://www.youtube.com/tinymeatgang TMG Studios IG: https://www.instagram.com/realtmgstudios/ TMG Studios Twitter: https://twitter.com/realtmgstudios BEN https://www.instagram.com/bencahn/ https://twitter.com/Buncahn EMIL https://www.instagram.com/emilderosa/ https://twitter.com/emilderosa  *DISCLOSURE: THE OPINIONS EXPRESSED IN THIS VIDEO ARE SOLELY THOSE OF THE PARTICIPANTS INVOLVED. THESE OPINIONS DO NOT REFLECT THE OPINIONS OF ANYONE ELSE. THIS IS NOT INVESTMENT ADVICE. THE VIEWER OF THE VIDEO IS RESPONSIBLE FOR CONSIDERING ANY INFORMATION CAREFULLY AND MAKING THEIR OWN DECISIONS TO BUY OR SELL OR HOLD ANY INVESTMENT. SOME OF THE CONTENT OF THIS VIDEO IS CONSIDERED TO BE SATIRE AND MAY NOT BE CONSIDERED FACTUAL AND SHOULD BE TAKEN IN SUCH LIGHT. THE COMMENTS MADE IN THIS VIDEO ARE FOR ENTERTAINMENT PURPOSES ONLY AND ARE NOT MEANT TO BE TAKEN LITERALLY.* Links: Highlights Channel: https://www.youtube.com/channel/UC-E2wiM-Dn9TS3bPrhykpJw Morning Brew Article: https://www.morningbrew.com/daily/stories/trillionaire-mindset-cahn-derosa Michael Burry Article: https://markets.businessinsider.com/news/stocks/big-short-investor-michael-burry-scion-gamestop-stock-price-frenzy-2021-2-1030050393 GME Reactions: https://twitter.com/walkerbragman/status/1355535077275480067?s=21

What do we even want? Like why do we, why do we even, like money and it's like, cause things rock, we like things. Yeah. We want to eat good food. Pass that though.

Take it. We just like, we just, well, it's be good, huh? That's like 70% THC. Yeah. What? What? No, what do we need money for to buy shit and shit rocks? I

Don't know if shit does rock. I don't know good food like the only we we need it to attract a mate for the most part I mean you can have a person I mean who fucking needs one of those We all do. We have, you have an award-winning personality, I think. No. Yeah, you do. Okay.

Well, that was a quick. That was a quick. Ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha I'm gonna be in the water today. I'm gonna be in the water today. Apple shares are just getting hammered this morning. Every day they're filming you. I'm gonna be in the water later. Promise. Remember the sandwild guy? Yeah. I feel bad forwile guy. Yeah. I feel bad for people like that.

Why? I don't know. It just feels like... That's your thing. No, but they clearly were like, this guy's a freak. Let's put him on TV. And then we all kind of like laughed at him. I thought that it was his product. Was it?

I don't remember. I think he was just like a hawker. And then it was like, it's obviously going to end well, right? I mean, unwel. Yeah, he was just like a hawker. And then it was like it's obviously gonna end well, right? I mean, unwell. Yeah, didn't he like do crack and like kill someone or something? Geez. No, I don't know. I don't know what he did. Oh boy. Man, I just yeah. You know what you know what's killing me? My neighbor. Why?

Yeah, I'm trying to have some sleep last night. How'd you do? Like 11.30 in the PM and I am Yeah, I'm trying to have some sleep last night. It's like 11.30 in the PM. And I am a jarred, you know, I was starting to drip to sleep and I'm jarred awake by the sound of my neighbor having some sex, but it wasn't just ordinary sex. This was like, I mean, she was getting wheelbarrowed in such a way.

How do you know? Because, oh, how do I know? No, how do you know she was getting wheelbarrowed in such a way. How do you know? Because, oh, how do I know? No, how do you know she was getting wheelbarrowed? Well, because she was literally screaming. She was screaming. And you're going to want to scream for that. And it went on for like 30 minutes. Hell yes.

It was like a 15 minute block of her screaming and then like silence. And I thought, okay, great, the dude nutted. But then, then I'm laying there again and I hear the moaning start up again. I'm like, I swear to God, if this fucking, if this, and then sure enough, I'm not, and I recorded it. Like I can't see her, but I was like,

I need to send this to someone to be able to hear it because if I were to tell someone how crazy this is, they'd be like, yeah, whatever. But it's seriously, it was scree, ah, ah, ah, ah, ah, ah, ah, ah, ah, ah, ah they'd be like, yeah, whatever. But it's seriously, it was screaming. Ah! Ah! Ah! And I was,

well, can I take one moment to give a trillionaire mindset salute to your downstairs neighbor's boyfriend? Ha! Ha! You know, it's to the point where, because it made me feel bad. And I was sitting there thinking, damn, I have never made a woman make those kind of sounds before. What am I doing wrong?

We gotta ask the guy. Let's have a mom. Well, the only time I ever see him is when he's with her and I can't be like, hey guys. Hey, guys, can you go on my podcast? Can you go on my podcast and tell me my go-hows that a fuck? I truly don't understand I mean the closest That that has ever happened for me. Sure. I remember thinking I remember laying there looking up at the girl going You're fake. I know what I'm working with here. Anything that good. That's good. I seen it. It's a nice You've seen it. Oh, yeah, I've sent videos to the group chat

of me swinging it around. What a start to the episode. Oh, so hey, Glenn asked me to do him a favor. And this time- I was a little transition right from that to compliance. Yeah, hey, Glenn, this is for him. So listen, we got the disclaimer in the description box, but he asked me to, from now on, just give a quick

instructional on how to access it. And for those of you who have never used YouTube before, you just click C more and boom, it opens up and you see the texture. You also might have to do it on audio, right? If you're an audio listener. Oh, sure, yeah. You'll have to click the episode or something.

Yeah, yeah, you'll find it. And sorry to everyone on Spotify. We won't be back on Spotify until they remove Hillary Clinton's podcast. Yeah, we're taking a stand. So if you guys want us back, tell them they got it. Yeah, tweet at Spotify. Tell them, tell them to get rid of Hillary Clinton's podcast.

What's it called? A lock me up, I think it's called. Is it really called like me? No, no, no. That is such a great name for a podcast. Oh man, come on. She's locking me up. Don't lock me up for one.

No, I'm just kidding. We're big Hillary stands here. I did listen. I only listened to the 9-11 episode because I'll listen to anything 9-11, but uh... Oh, it's called You and Me Both with Hillary Clinton. Oh, that's fun. Oh my God, man. And every time that it ends with the guest going, I think you should have won in 2016 and she goes, you and me, both. That was great, man. I don't know why I hit that one. Sorry about that.

Hey, so in this episode, we're going to be talking about, because I'm going to try this. We're going to be going over earnings. We're going to be going through the GameStop anniversary debacle and covering the big winners and losers from that And hey speaking of GameStop We're we're gonna try to pull something off next week. We're trying to get the CEO of Robin Hood on next week. So he said he's coming on So I mean we'll see about that. Yeah, if he's not here, you know why. It's because we, scared.

It's because we killed him. That's right, that's right. We, hey, so check this out. Also, we got, we got a highlights. Oh yeah, we have our own highlights channel. We got our own channel. Yeah. For everyone who's so pissed at us and comments every week,

give these guys our own channel. You finally got it. But it's just for the highlights. It's just for the highlights. So you're still gonna have to shut the fuck up. Uh, in fact, hey, you know what I have to say to you people who do that. Shut up and go! So go ahead and do that. Uh, yeah.

Yeah, but we have, I think at the, by the time this is up, we will have two highlights up. Yeah, we certainly will. You guys should go watch them, send them, it's like memeable content. Yeah. There's going to be funny stuff. You're going to send it to all your friends. They're going to go, what the heck is this?

So what we're going to, you're going to want wanna do when you go to that channel is you're gonna there's gonna be a red button that says subscribe You're gonna want to hover your mouse over it and then do what? Click it click it smash it. Yeah, break your fucking computer. Yeah, break it. You know the rules everybody everybody understands They got to shit their pants quit their job parents, smash the subscribe button comment, you know Tell us how good a meal looks this episode Point out that I'm wearing the same thing from last week Let me know if you like my mustache. Yeah, yeah, you got to also sign up for the alerts, too

There's a little bell next to it, you know like the Taco Bell bell and Hit it and press it on all so that you get Do it baby. Yeah All right, what's the next thing the next thing that we have is the burp jar done in the options This is huge the burp jar sold for like $230 or something amazing That's all going to the Australian Wildlife Conservancy. Our boy Trevor Colletti bought it and he said,

he doesn't want it sent to him, he wants it displayed, which I think is a king move. He's like, no, no, no, no, I want everyone to see it's mine. This is Trevor's blog to him. He blogs to him. I love how we put tape on that as if the, yeah, we didn't want it enough. We don't want anyone coming around to open it

All right them to see the empty jar and be like I got a puts I let out the ancient demons that live in Ben's bowel that he's Bowel it comes from my stomach My bowels is it anyway, thanks to Trevor Coletti huge King shit huge shout out. We love him. Big Pimp.

We also, if you guys are interested, we did a little Q&A with Morning Brew. Yeah, Max, Max, Frank. Max Naublach. Yeah, he's a friend of us. We have a lot of mutuals and he reached out and was like, hey, gang, can I interview you? And we said, okay.

Yeah, we allowed it. Like there it is, go check it out. If you want to see a fun little picture of us with money stacked around us. Yeah, we did a cool photo shoot. Man, Emil, you look so fucking good in that. Look at that hair. Eric's man.

Look at that hair. Wish I could say the same for myself. You look great, pal. Dip shit, rat tail. Well, it's the most exciting time. It's the most wonderful time of the year. It's earning season. Yeah, baby Yeah, we love it with the Google and Amazon and Shopify and Apple and Facebook now Nice Everything is down this year everything's down man. Not everything Hey, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da, da,, Paul Pelosi, but in December, but the 2000 strike,

September 22nd expiration options on Google. And boy, howdy, did they probably clean up? Because it was a between a $500,000 and $1 million worth purchase. And you know, do you think Nancy's giving them a little sucky sucky? That's congratulation. Here's my thing, if I was, do you think he's we'll bear on her

for a little celebration in the Pelosi house? Yeah. You know, when I Googled Paul Pelosi, there's plenty of pictures of them together. They are never touching. They are just standing next to each other. That makes sense. I guess.

One two or... There's a certain age you just don't. I couldn't find one picture of his penis online. I was trying. But it's weird. He's got a big mushroom tip or something. You know? Oh, Paul Pelosi, just stop. Man, you're worth like a hundred million bucks. This is my thing.

There's all this heat, right? We've been talking about it. There's all this heat for them to do something to get Congress to stop trading on stocks. And there's been like a little bit of movement. They've introduced bills. I just can't believe Nancy would like just fake it, like fuck something up. You know what I mean? Sure, you mean like have a loss?

Yeah, sure, I mean I'm sure she does incur loss or he incur losses. I know, but this one is so huge. It's like, you can't tell me that there's not a conflict of interest when you're buying stocks, you're buying shares in companies that your wife is meant to be regulating. Like come on, Bob, you're telling me you're buying shares in companies that your wife is meant to be regulating.

Like, come on, Bobo. You're telling me you're not laying in bed together when you're not fucking each other and saying, honey, I bought some shares with Google today. Honey, please, don't tell me. I can't know that. I've got a lot of big things I'm doing. Yeah, she's a wee. I don't tell my wife anything. I don't tell my wife shit. Right. Yeah. She sleeps in her bed. I sleep in mine. Yeah, we have to weigh the Lord We have two twin beds. Yeah, two twins Yeah, I was I was thinking about this though with just about money Well, cuz you know these polosies there were so much and they're they're

Approaching their 80s. I think Paul Pelosi's like 81 or so. I'm pretty sure Nancy's 81. Yeah, she's running for reelection. Jesus, God. But I thought, what do they need more for? And for their little rat kids. Well, yeah, but it made me think, what do we even want?

Like why do we, why do we even have to fucking like money? And it's like, because things rock, we like things. We want to eat good food. Pass that down. And take it. We just like, we just, well, it's be good, huh? That's like 70% THC.

Yeah. What? No, what do we need money for? To buy shit and shit rocks. I don't know if shit does rock I don't know good food like the only we we need it to attract a mate for the most part I mean you can have a personality I mean who fucking needs one of those We all do you we have you have an award-winning personality, I think.

No. Yeah, you do. Okay. Well, that was a quick. Well, you're supposed to be humble, but not too humble. Yeah, sure. People don't like that.

That's a little tip for people trying to improve their personalities. Being humble? Yeah. But not too humble. You know, a great man named Kendrick Lamar once said, bitch, comma. Be humble. Be humble. Well know, a great man named Kendrick Lamar once said bitch comma be humble. Well, anyway,

Google reported their earnings and they were fucking blowout. They reported 61.9 billion in revenues against 59.3 expected and they fucking, oh, here's an interesting stat though 900 million dollars more in Q4 they earned from YouTube alone Then Netflix did The whole fucking Netflix Netflix reported 7.7 billion and YouTube reported 8.6 billion and then the biggest news Is that Google, a 20 for one stock split. And why am I doing this right now? Because I had a call option that I bought and sold before earnings. I made like 300 bucks, but if I had held onto it cause I was thinking like, oh, you know, I'm gonna, you know, Google might blow it out.

They might blow it out. I left like 10 grand on the table. But, not a big deal. It's not a big deal. That's going to lunch, buddy, baby. Fuck me, God. Every week I get to, it depends how well Ben does, whether or not we go to lunch after.

And no lunch for me, this week. This is the, this is the travesty of trading. It's the only line of work that I can think of where a bad day at work means like losing money. Because like you have a bad day at work. Well, at least I'm still getting paycheck. I have a bad day at work. It's like? Because like, you have a bad day at work. Well, at least I'm still getting paycheck. I have a bad day at work. It's like, damn, now I'm in the hole.

I gotta like make more next time and your psychology is then fucked up. So then you're coming at it from an even worse place. It just sucks ass. Why do I do this to myself? You're a gambler. Oh yeah, and the story gets better. I forgot what else happened.

Bill Ackman, the crybaby billionaire who cried on TV when the pandemic happened because he's a little baby. I've never cried in my life. Not once, not once, not even recently. But not even last night. Not even last night when I was wondering why. Not even last night. That is my woman. But God, what is wrong with me? I texted someone who was like, what am I doing wrong? How come is there a happens for me? Anyway, I do fine, okay?

I do fine. What? Ask him in front of his girlfriend. Hey, is it something with the belly button? Am I supposed to like tap on the belly button? There and just look at him and say what are you doing to her? I want to know what are you doing? I want to know what you do to her. No, no, look at me. Don't look at her. Tell me.

What is it? That's a good idea. I think I'll try that, man. That's a good idea. I think I'll try that, man. Anyway, you're making me cry. See, man, I'm blowing it already. I already lied to the people. I don't cry, but I do when I laugh. Bill Ackman bought the dip on Netflix. And last week I had some call options for this week. I bought them, you know, a week out for the 400 strike. I bought them for a couple bucks, man. I left about 30 grand on the table with that one. So just between Google and Netflix, I should have been just like hanging it up for the month

and chilling out and buying you lunch. And buying you a modest lunch. Gosh, I just saw this TikTok girl. What? Who? I can't tell if she's joking. I'm not. I'm not. I'm not. I'm not. I'm not. I'm not. I'm not. I'm not. I'm not. I'm not.

I'm not. I'm not. I'm not. I'm not. I'm not. I'm not. I'm not. I'm not.

I'm not. I'm not. I'm not. I'm not. I'm not. I'm not. I'm not. I'm not. I'm not. she can do it I'm not gonna good for her yeah she did it speaking of coughing and what does it say is make me a stay at home co-host okay great I can do that

for you baby you ever have to cough during sex there's no sexy way to do that yeah you can go We go. Uh, uh. Uh. Uh. Anyway. Oh, man. So today as a, I mean, we're posting this on Friday,

but we recorded it yesterday, which is today for us, but the future for you people. Amazon will be reporting their earnings in a few hours and you'll know before me, um, will the big question that's been on a lot of people's minds is will they announce a split? Because a lot of people have been calling for it and it would be the smart thing to do because Amazon's fucking 21 for one a big splitter is a big split. Yeah, that's wild and I mean, sorry for those of you who don't know It's the same pie. There's just gonna be a lot more slices. Right. That's it

21 so for every one slice of pie you got, you got 20 more. I kind of want to get in. It's the same thing. No, it's different. They're cheaper now. They are cheaper. So yeah, if Amazon were to do it, that would be bananas. But it's kind of a lot is hinging on Amazon's earnings today.

Wait, or yesterday? This will make 900 million more than you. Well, just. YouTube made 900 million more than Netflix. Yes, just YouTube. And that sucks. Netflix pays all this money for these creators. Yeah. YouTube people just posted and they're collecting all this ad revenue. Yeah, well, Google is an absolute behemoth. I mean, it's the internet. is an absolute behemoth. I mean, it's the internet. It is the internet.

I'm a Bingboy for life. It's the decision engine. It decides to show you ads. It sucks. It does suck. It really sucks. It does suck. I tried switching to duck.go for a little bit.

It doesn't use Bing, I don't know. It's just like different and not. Yeah. Well, cause they got a duck at the helm. Yeah. But it's like, it it showed you bread websites. Cause I was like, sure, privacy, we're taking it, and it's just like this sucks, it's not.

I don't need privacy. I private browse for a lot of things. Yeah, even when I'm not like, I'm not sure anything. Nothing, even when it's, I'm just like, I'll just have, I'll just do it all on private browsing. Yeah. Which is like, what, what do they care?

Yeah. That I'm looking at. Bomber is a piece. Yeah. Joe Biden'm looking up. Bomber as a piece. Yeah. Joe Biden, dad. Joe Biden, dad. Joe Biden, dad. Joe Biden, dad.

Oh, oh, oh, so then, so as of, well, so again, yesterday, AKA today for us, but again, for future you, God, my brain hurts. Is this? Yeah. Facebook had their earnings, sorry future you, God of my brain hurts. This is, yeah. Facebook had their earnings, sorry, Meta. The Facebook parent company Meta had their earnings. And as of right now, it's down like 24%. And that took down Amazon.

Amazon was down over 100 points this morning. Shopify was down. Basically, all the growth stocks got hit. Yeah, Facebook's taking a beating. An absolute beating. Yeah. I think it's just because, you know, they're, I want to say they're monthly active users, slowed down. Because there's a like TikTok is eating their lunch, I think, as far as

taking away people's attention, big bully coming to the, we talked about a little bit on the show, but the Apple changing their privacy settings so you can opt out of them tracking, of Facebook tracking your data across the phone has really hurt them. And a good amount of that revenue got funneled into Google. Why? Because the iOS, the new iOS rule makes it such that advertising is less directed on Facebook. It's less.

Yeah, so they're getting less. Where it's Google is just way more efficient. And I mean, now all that Apple's still collecting your data. It feels so good to like, when it comes up, you're like, ask App not to track. But then you're like, I'm still good. It never asks me for that. What the hell? It always asks me. It's great.

They're just tracking me. Apple can have it. I mean, someone's gonna have it. Yeah, someone's gotta get it. Someone take my data. Yeah, I don't care. I don't want it. What am I gonna do with it?

It's just code. Just show me where the best food is. I'll tell you what though. What? I'm a very vocal. My phone makes me so unhappy. Yeah, very vocal. My phone makes me so unhappy. Yeah, me too. Your phone makes me unhappy too.

My phone does. Yeah. The, I just watched the seasons are a Netflix, the new Netflix show. And at the end, he says spoiler alert. He pulls his, he's talking about, have my sucks being on your phone all the time and it's fucking destroying our brains and stuff.

And he pulls out a flip phone, he's like, I made the switch, and I'm like, God, I'm so fucking jealous. And I could just do it, right? But... Do it. Yeah, but it's so much of my life is on. Yeah, mine too.

This fucking thing, I wouldn't be able to get around. I don't know where to go. I need my fucking maps. I'm serious. They've made me so dependent on it. Like... They really got us. I'm not sure if I can get around. I don't know where to go. I need my fucking maps. I'm serious. They've made me so dependent on it. Like, they really got us. I used to get around before I had a fucking iPhone.

Now don't even know what to fucking do. I remember when I was a junior in high school, I had a crush on Shayna. Yeah, she was my first kiss. Nice. And we were going, we met up at the homecoming football game together. I got dropped off by my mom. She drove there because she had her license.

We were, you know, 16. And I had my flip phone, my very first cell phone, Verizon flip phone with a green screen. And I didn't understand how things worked with cell phones, because I was new to them. We got separated after the game, and I had her jacket, and I had nothing better to do. So I tried to call her, she didn't answer,

and I'm sitting there waiting to get picked up, and I thought, I'll fuck it, I'll call her again. I'll fuck it, I'll call her again. You know what, I'm just gonna keep calling her. I must have called her 40 times, because I had, you know, I got all the time in the world. I don't have games on the fucking thing.

I don't have Twitter to browse. So, and I thought, as I'm calling, I'm like, I know it gives you a missed call notification, but it's gotta just show what's in there. This is the one, right? Yeah. Had no idea. Only later, years later, did I look back at that and go,

oh, that's why she like didn't ever want to talk to me again. She thought you were in the parking lot like, she know. Yeah, oh, I was. Were you? Yeah. She, uh, she left me for Steve baseball player. Now he's a cop.

He's a cop. Boo, a cab. A, yeah. Okay. I was going to make a bad joke. Remember that when that girl went viral because she was like, it was like in the middle of the pandemic, we both know who it is, but I won't say it because of it. But she was like, and it was at the height

of all of the Black Lives Matter stuff and everything. And she was like, she was like, look, like A-Cab and everything. But my neighbors are having a party during COVID. And she called the cops. That's really funny. I can't wait to hear who did that. Um, okay, back into it. Look, A-Cab, but this is ridiculous.

A-A-P-L, Apple had their earnings last week and it's bananas how much money they make. They pulled in in three months. This is just, it's kind of insane how, not kind of, it's absolutely bananas how much money they make. They pulled in in three months. This is just it's kind of insane how not kind of it's absolutely bananas how much money Apple makes 123.9 billion dollars in revenue in three months. 34 billion dollars in profit. That's just 34 billion dollars in three months, Apple pure profit. Like, it's just, their margins are 43.8%. It's just, they are just, they print fucking money. They just fucking, they have so much money.

It's, I wish Steve Jobs was here to see it. Steve Job. Steve Job. R.B. Steve Job. Warren Buffett bought, so this is kind of an interesting thing. Warren Buffett bought, so this is kind of an interesting thing. Warren Buffett bought Apple in 2016. But Apple stock. You bought Apple stock between 2016 and 2018.

And so many people were like, whoa, Jesus Christ. Talk about buying the top, my man. Yeah, talk about buying near the top. Warren Buffett, you're buying Apple at all time highs. And Buffett was like, I'm just trying to get some top. He's just trying to get some of that cherry coke money. Right. The old Geeser loves cherry coke.

Man, he's such a geeser, isn't he? I don't know. You look at him, it's just like, damn man, geeser mode. He own geeser mode for real. He pays cash in exact change. That is the most geeser thing. It's truly geeser. Everyone's dad, you wouldn't know,

cause yeah, well, yeah. But everyone's dad what? Just always has cash. Yeah, they love cash. It's insane. If you are above 50, you only do cash. And if you don't have cash? So easy targets.

Yeah, start robbing old dudes. If you want to build your bankroll, don't do that. We're not advocating for robbery, but kill your parents. But if you do want money, don't come after us. Yeah, we only have cash app in Venmo. I have Venmo. Right. It's the app where you give me money.

You know someone found my Venmo? Really? And is sending me money? That's cool. Fine mine and send me money. Don't. Don't. Yeah. But so, but Warren Buffett made over $120 billion,

$120 billion from his purchase. Good for him. Fucking, he needed a win. Oh, you know who got absolutely fucking crushed also this week? PayPal. 20% they got that beat over on declining payments volume you know who was humiliated haha who was humiliated my boy Jim Kramer Jim Kramer said quote

the reason I'm gonna try to do Jim Kramer voice the reason why it's sinking the way it is is because people don't know what the multiples should be because the credibility of the company is so shot. What did it? Yeah, thanks PayPal now plans to adjust its customer acquisition and engagement strategy, which will hinder its ability to meet its longer term customer account goals. Did I see this coming? Absolutely not. Cramer said adding that he was 100% wrong. Uh, he said that he thinks they should name his show. What 100% wrong. Uh, he thinks PayPal sellers are willing to sell at any level because the company has lost all credibility.

Money managers are likely saying, quote, get that damn thing off my sheets. How does he get around all the fucking fin-row stuff? You know, I don't know. I don't think maybe he's not licensed. And he says, I never want to hear about PayPal again. Their credibility is done. The stock isn't half.

They didn't tell us how slow things are. It's a disgrace. You know, you know, you know what's a disgrace? What? Oh Jesus. Oh my God. For the audio listeners, then... Cramer! Cramer! Give Cramer...

Oh Jesus. I swear to God, Cramer, you bald-headed freak. You know what's a disgrace? You and your reputation, this now in the shitter, along with PayPal shares. Listen, pal, you're gonna have to pay after what I'm done when I get done with you Okay, cuz I'm gonna come and I'm gonna squeeze your little pencil Nick and I'm gonna rub your little bald head

Until you cry to mommy about how much money you lost tell you want to talk something about credibility Huh, how about you losing all the credibility in the world for touting these shares to these people about you losing all the credibility in the world for touting these shares to these people. Wait, then they come out, you interviewed the CEO in November and you felt like it was safe, but it wasn't safe. You see, because you don't know. All right, you said get that damn thing off my sheets. You know who's gonna be saying to get off their sheets?

You're a wife, when she don't wanna fuck you tonight. Cause you're a piece of crap, Kramer. You're, you, you're you you you Sorry I spit all over you Better watch yourself boy Come for you when I get you into that ring There's no telling what's going to happen. Oh Jim you better listen to I can't stop him when he's like this you better use son of a bitch Jim you better let's do I can't stop when he's like this you better you son of a bitch

I'd like to apologize apologize You got the you got the best body and finance I'll tell you what oh Man well now I have a headache. Do you? Yeah. Oh Okay, well, well, I hope that was worth it suck shit Jim Kramer Anyway, Metta's down to 22% we talked about that Zuckerberg, you know, I read that he was selling Yeah, what was he selling? Go from that shit to this he was selling just a bunch of shares all through last year

Yeah, I have a major sign is headache. No, um, oh, I thought it was gonna be a joke like he was selling Feet picks or something. Oh, no, he's gonna have to after that stock take a drive. I would buy one. Let me see them feet You want to read that stat about the job? Oh, well, did we talk about Spotify being down to? Oh, yes, Spotify. Spotify was down 16%. Probably more by now, because their growth numbers weren't... That's the thing about these growth stocks. That's so out of breath.

They got to keep growing. That's the thing about a growth stock. Once the growth shows signs of stopping, that's when it's topping. Yes, when the growth stock, when the growth stock shows signs of stopping, the stock might be topping. Sell, sell, sell. I'm not advocating for anyone to buy or sell anything whatsoever.

I just, you know, no, Spotify. I say strong, to quite strong. Nope. Spotify. I say strong. To quite strong. I use Spotify. It's buggy as fuck. I mean, I just... Sometimes I'm like, do these people even use their own MFing product?

It works just fine. Except now, every time I try to listen to Neil Young, it doesn't fucking work. Why is that? They got... He has to pull it down. Which is fine. If he wants to pull it down, which is fine. If he wants to pull it down, whatever.

I mean, it's the fucking ultimate joke, is he, which at first when he asked for it to be put down, he's like, I don't want to be associated with Joe Rogan, fine, like, you know, whatever you want to do with your music. But then like days later, he's like, I want to announce my music will be on Amazon, if you guys want to go get it And I'm like Neil wait till you hear about Amazon. You like it. You're gonna flip you're gonna be real pissed

Jeffie kisses is he ain't the best either my man. I'm gonna be fine. I got all this Album's on vinyl anyway on vinyl. Yeah, you ever heard of cassette tapes dude get out of the Seven I have a cassette deck in my car Yeah, you ever heard of cassette tapes dude get out of the seven I Have a cassette deck in my car So now let's get to the real meat and potatoes boy this episode feels like it's three hours long already We said we're not gonna fuck around because we're trying to explain the game stuff stuff. Yeah, well we will yeah No, we're gonna be serious starting now. Okay.

Is there anything you have to get out before we do it? Uh! Uh! Uh! Uh! That's all the rest of my lunacy coming out. Right. That's the spirit.

That's what it sounds like. Ah! Ah! That's yours? Uh huh. You got it? Okay. All right, so this is big. Game stop is a huge thing. It's part of the re- it's why? Yeah, this is a...

This was one of the first times that people started ever talking about this stuff. It was a major news story. The new story that launched a thousand takes for like two weeks. I'm sure it was all anyone was reading about. They were trying to understand these heavy concepts. And even with us, we still get people asking like, sure was all anyone was reading about. They were trying to understand these heavy concepts. And even with us, we still get people asking like, can you guys just break down the GameStop thing? Because I still don't get it after a year. And yeah, it's also fun now, because we're a year out.

And there were a lot of takes there. Were a lot of like, what is this thing? Is it like a political revolution? Is it just some like idiots online? Is it Populist uprising? It's a lot of things right and now we get to kind of look back We get to explain it find out what we actually think it is and like we said We can kind of talk we're gonna we're hopefully talking about the aftermath of it a little bit with lad Yeah, CEO of Robinhood. Yeah, and it's a little bit of an impetus for this show.

We started talking more heavily about all this stuff. And yeah, the origins of Trillian Irminset came about because of GameStop because Noel would text me and ask me what's going on. And I would kind of tell him and explain it to him. And we would talk more and more about stocks and such is the legend of the Trilina mindset. The legend of the Trilina. And I know.

So, before we get into it, we should give a quick refresher on what options are and what shorting is because it has a lot to do with that. So I guess real fast, shorting is when you borrow something that isn't yours and you sell it first with the goal of making money when you buy it back. Because you're going to buy it back at a lower price. So to use, I don't want to use it anymore, the pudding, I'm gonna switch to liquid death cans, but let's say the people outside your house

are clamoring over this fantastic liquid death. They're not a sponsor, wait, what they are of TMG because Cody, yeah, but anyway. All right, come on, we're gonna give a quick fucking, we don't even need the liquid death. You see sales are going, you see some bananas. Sales are going for a fucking $10.

Yeah, and I'm like, I think I can sell that for $10 now because I think the price is gonna go down. Yes, and then I can buy it back at $7. Yes, and you're making $3. Yeah, but the downside to it is potentially unlimited because you borrow it to sell it first. If that goes up, you're fucked.

Because you have to buy it back. And so you could have infinite losses. Yes. Because you've got to buy it back. If it goes to a million, you got to buy it back, pal. Right. Yeah. And then so options are basically coupons.

Coupons that represent a hundred, it's always in lots of a hundred, a hundred shares of the stock. You got this coupon that says, hey, I think the stock's gonna do this in X amount of time. The thing is the people who sell those coupons to cover their ass by the stock. So if I sell one option in Google,

I'm gonna buy 100 shares of Google to cover myself. Because if the price of Google goes up, the option goes up in value and I'd be fucked, but that's why I buy the shares too. Because then if it goes up, well at least I've got the shares. Listen, if you wanna learn about them, go back to our episode, I believe it's episode two, where we go into the nitty gritty of how this stuff works.

And otherwise, let's just get right into it. Right, okay, so what happens? What happens with all the shorting and the options? Like what happened with GameStop? Yeah, well, let's start at the beginning. We have, we had, of course, the famous deep fucking value, his red name, aka roaring kitty, aka Keith Gill, Keith Gill, sticks like a puff daddy in the 90s and early 2000s.

This guy started buying up GameStop common shares and call options in 2019. He was buying the 10, 15 and $20 strike January 2021 calls. That means that he was buying the $10 coupon, the $15 coupon, and the $20 coupon that says, hey, I think the stock's gonna hit 10, 15, and 20 by January 2021. And he was the original madman.

There were days, he would update his portfolio, like daily or weekly on Reddit. And there were days where he was down tens of thousands of dollars. There were days when he was up a bunch. Um, I mean, at the height, he was up 50 million dollars. Yeah. But that's way down line. This is like, this is, you know, in 2019, all this stuff happened last year. Yeah. And he saw back then something that very few people saw, the only other person that saw what he saw

was Michael Burry, the big short guy. And what they saw was just value in the company. These fucking value. Deep fucking value. We've got an excerpt here from this, this article about Michael Burry. Um, if we can pull it up, it's pretty impressive. The things that he was saying and I'll try to. So this is from, yeah, 2022 actually big short investor,

Michael Burry paved the way for the GameStop frenzy when he bought a stake in 2019. Here's the story of Barry's game changing bets. So Michael Berry had written a letter to the GameStop, uh, like board of directors basically urging them to do something because the shares had been in the gutter. Like the stock was a joke, the stock was shit. And yet they had a good chunk of cash. They had 90 million shares outstanding. They had, there were plenty of things that they could do to reignite investor confidence and help the shares start to appreciate and value. And when that happens, it can start to create momentum. And those, you know, shares can appreciate. And what he did was, he wrote a letter and

he argued that GameStop shareholders have suffered catastrophic catastrophic losses for their faith and patience. He pointed out the steep decline in GameStop's stock price, GameStop's stock price, and huge short interest as evidence that shareholders do not have faith in current management and have not been inspired by new leadership. So he said that instead of spending money elsewhere, the game stop bosses should seize the chance to make a game changing,

sorry, I'm just reading this, but he basically said that since they had $540 million in cash, he estimated that they could buy back around two-thirds of its outstanding stock and still have plenty of money to invest in his business. He said it was an unprecedented opportunity to pull off perhaps the most consequential and shareholder-friendly buy back in stock market history with elegance and stealth. Can I ask a question? What?

This part makes me feel stupid when we're like, I don't understand what they saw. Exactly. It's like, it seemed like a dead. Well, so he basically saw that they were, cause they were still making money. Like, they were still pulling in a couple of billions. I think he was roaring kitty, but that guy, GME, D, D, or it's a group of people, GME due diligence or whatever.

That's what they were saying. They were like sequencing the orders and they could tell that they were doing a lot of orders still. Like they weren't profitable, but they were still making enough money. They weren't losing money to the point where they were going to go bankrupt. Because, like he said, they had plenty of cash. Because the stock is in the toilet, one of the things that they could do is what a lot of companies were doing for the last several years is using that cash to buy back their own stock,

the last several years is using that cash to buy back their own stock, thus reducing the supply, thus increasing the demand for what reduced shares remain. So he was, Michael Burry had, you know, bought a big stake because he believed that there was a lot of potential for it to be turned around. And that's nothing new. Like activists, that's he's, he was basically an activist investor, where you see that management is inept or complacent or needing a kind of push from someone like him, or like Bill Ackman, he's been in, he's quite notably

an activist investor where he'll buy a stake and then say, hey, I got some ideas, baby. It's blown up in his face. He bought like a ton of JC Penny, I think, with the same idea. And he was like men's little boy suits. That's where we're going to put everything in. All in on little boy suits. Yeah.

Listen, there's going to be a big bar mitzvah class over the next couple of years. And those kids are going to need suits. And then the pandemic hit me. He was like, Oh, bar mitzvahs are canceled. It's true. You can read about it on Bloomberg. Right. But so Q four of 2020, I remember they had their earnings, GME, GameStop, and they weren't that bad considering, you know,

looking at the chart, it was like a $4 stock. I thought personally that they were inches away from bankruptcy. But then you look at the press release and they're talking about how like their e-commerce sector was growing rapidly, which is huge. That means that, all right, they're starting to finally dip their toes into the e-commerce. And then in January 2021, Ryan Cohen

from choe.com fame, he Cohen from chuey.com fame. He started chuey.com. Absolutely. Freak fame. Total freak, total weirdo. If you go on this guy's Twitter. It's, yeah, I can't even make heads or tails of it. I'm like, what is this guy?

It's all cryptic shit. He'll tweet like a picture of an ice cream cone with an emoji of like a cucumber. And then he'll just like tweet the gif of Jeff Daniels shitting in dumb and dumb. It's like, he has to. Yeah. It's so bizarre. It's guys worth billions of dollars.

Yeah, he, his most recent tweet is anyone going to the movies tonight. And it's the gameStop movie poster because you know there's a movie about it. God damn, it's so cringey. But so he started to tweet cryptic shit in January 2021. He was taunting Jim Kramer because Kramer compared GameStop to Blockbuster And Cohen's tweets later became, it was kind of the impetus for a lot of faith in it. Yes, because a lot of these GameStop people became, kind of like QAnon adjacent where they were looking to him for cryptic messages and signs that like,

okay, he's telegraphing to us that this kind of news is coming or this. And now it's to the point where the stocks, you know, declined so much that people are tweeting at him, urging him to tweet something to help bolster the stock price. Even though the play is dead, it's like, you don't have that fervor anymore. Everybody's not clamoring to talk up, to buy it, and talk about it. That, that, it came and went. Right. I mean, that doesn't mean that anything can happen,

but man, that's like, that was a one time thing, but... But everyone was like, the fucking chewy guy's gonna save us. Which is, I mean, he created chewy, which is remarkable. Like, that's the type of person that you would want at the hell. He took on Amazon. He did, and he, he Amazon. He did and he he won

He won and he sold chewy to pets smart. Yeah for like three billion dollars. I Would think I think that's a pet stupid decision Well, then they spun it off and took it public now it's public Okay, simple CHW why maybe it was pet smart He was pretty petsmart so around that time was when it was PetSmart. He was pretty PetSmart. So around that time was when it was made known to me for the second time that GameStop short interest was 140%.

And you know what the short interest means? Wait, what data are we at now? This is January of 2021 last year. Okay, we're still early January. So most people don't even know this is going on. No. Right. Should I say when I found out about all this?

Yeah, when we get one. Okay, okay. Yeah. Okay. But so the short interest, 140%, that means that, you know, say that there's 10 million shares freely tradable, it means that 114 million shares are sold short. So more shares are short than there are shares available. So if you're short, you're fucked

because you've got to buy back. You can't buy back enough shares because they don't exist. Right. If I need to buy back 10 million shares, or 14 million shares, but there's only 10 million out there, that's a huge fucking problem for me.

I won't get into the specifics of how that happened because I frankly don't understand and I don't know. There's something called naked shorting where you, you sell the thing first without borrowing it to begin with. You don't own it. You don't own it. You're not even borrowing. You're just selling.

You're just even outside of this crazy stuff. Naked, naked shorting is Yeah, really danger. It's wild and it's yeah and The people who were the the hedge funds that were doing it to game stop were really just I don't know What the fuck they were thinking pressing their luck on like a five-dollar stock? That's really like dude. What is the upside here? Focus, put that money to yourself. Money baby. So when I learned that, I thought,

you know what, I'm gonna participate. Why not? I've got my IRA, I've got some cash in there. I bought 5,000 shares of GameStop at $16 a share. Damn, you know when I sold it? Like a day later, at $16 and 50 cents a share. Damn, you know when I sold it? Like a day later, at $16.50 a share. I made like $2,500 bucks. And buddy, I felt good.

I was like, damn, I just made $2,500 and like a day, got damn, I feel great. Nice work if you can get it. Yeah, you know how much that would have been worth at the peak? How much? Oh, last I had done the math, I think it was like 3 million dollars. That's fucking lunch for a meal, baby. Yeah, too bad, it's not lunch for you anymore, pal.

I would have been a goddamn stay at home co-host. You know, my consolation to myself is that there's no way in hell I would have held on that long. No, absolutely no way. Every one of these things, everyone goes like, oh, if I fucking, it's like, you I would have held on that long. No, absolutely no way. Every one of these things, everyone goes like, oh, if I fucking, it's like, you never would have held. Yeah, if I was the queen of England, exactly. I'd have a lot of corgis.

I would have sold it 19, your piece of shit. Yeah, well, it's funny you say it 19 because on January 13th, the night before, on January 12th, I'm laying in bed, it's like 11, 30 at night. My neighbor wasn't having, absolutely absolutely those cheeks are getting clapped. My neighbor's getting wheelbarrowed. She's screaming, I'm laying there in bed. I can't sleep. What is he doing? What the fuck is he doing? Is it his tongue? Is he going down on her? What position is

that? Is it his mushroom dick? What's going on? Well, I pulled up the chart for GameStop and I remember distinctly going, damn, this thing looks like it's about ready to pop. It was about $19 a share and I had a plan. I thought, all right, you know what I'm going to do? I'm going to log onto my work account first thing in the morning and I'm going to buy 10,000 shares of GameStop at 19. You know what I did, buddy?

I slept in 30 minutes and And in that 30 minutes, GameStop had popped to like 26 bucks a share. And then it had dropped down to like 24. And I thought, well, there's the short squeeze. It's over. I'm not gonna get in. So I didn't buy 10,000 shares. And I, and, I mean, we all know what happened.

Then it started to really go. And then, you know, 10 days later, we all know what happened. Then it started to really go and then it, you know, 10 days later or a week later, it's at 39 and I thought, well now I really missed it. Fuck, I would have made $200,000 by now. Criminy. Oh, and then, you know, it just gets worse. So January 19th, 39 bucks a share of Citron,

fucking Andrew left tweeted, that it was overvalued and, you know, he was talking some shit and that was a fatal mistake for Mr. Andrew left because at this time, it was fucking crazy where all bad news was good news, no matter what. So recurring theme for bad. It was a recurring theme where all bad news was good news. And if you were short a stock and you declared that you were short a stock, especially publicly like Citron did,

you were basically inviting everyone in their mom to squeeze you out of your position. Oh, I'm short this. Cool, everybody's now gonna go buy it because fuck you. And I mean, I'm not saying that Citron triggered this, but it definitely didn't help. All right, so before we get to the real pop, let's recap, because I feel like we're getting,

we're talking a lot about your personal experience. Sure. And let's explain big picture, picture what's happening with all these options and shorting, right? Yeah. So, GameStop was hovering around like $5. Some people had noticed that it was undervalued. Michael Burry, but really importantly,

this guy, Rory and Kitty, deep fucking, we come, Rory and Kitty, I think is his YouTube name. His real name is Keith Gill. And on Wall Street bets, he goes by deep fucking value. I think for a long time, they didn't know all these people were the same people. He started posting on Wall Street bets about this. And they were getting some attention. He was saying that I think it's undervalued. And he cited the short interest.

Right. And Melvin Capital at this point is really deep in their position. Melvin Capital is the hedge fund that was the most vulnerable because they were the most underwater with how much they had shorted. So at this point, by January 19th, and they are attached to... They are funded partly by Citadel, I believe. I'm not quite 100% sure, but...

Who's a big market maker? Who's like one of the biggest. Right. And what's happening at this point is the stock is starting to get bought up. And those who are short like Melvin Capital are in a really shitty position because they're already down hundreds of percentage points. Right. They're like really, Melvin Capital is betting that the stock is going to go down.

And it just keeps going down. And it's getting driven up by all this new interest. And it's getting exacerbated by all this influx of Robinhood traders who now have access to not only trading but options trading. Right. So they are buying thousands in the aggregate, thousands and thousands of call options, which then market makers have to hedge by buying more stock.

So it's this perfect storm of shorts having to buy people just buying and then them having to buy stock to cover their options positions because of all the options. It's called a gamma squeeze. And the pandemic kind of played into it too. You have a lot of people playing with these new apps. They have a lot of, there's extra money floating around from stimulus. Three times. Yeah. And people are saying, well, let me get on here and try my hand at some trading. Yeah. And it starts to really take off just like every day, it's making bigger news, bigger news, because the stock just kept going,

and I'm sitting there pulling out my hair, because I'm like, oh fuck, I would've had a million dollars now. I would've had a million in my work account and in my IRA. Also should we explain the importance of, I mean, we're gonna talk about this with Vlad, but Robin Hood was one of the first times that people had the opportunity to do these no fee trades. Yes.

And I think that was starting in maybe like 2019, but like earlier. Well, yeah, Robinhood launched way earlier than that. But I guess more brokerages started offering that option around 2019. Yeah, Schwab, I think, was the first time to say, okay, you got us. So a lot of people had this option.

Yeah. So really a perfect storm. It was really such a perfect storm. And it helped that GameStop at the time was a cheap stock. Because people can afford a $20 stock. They can afford a $40 stock, $50, you know, whatever. So the next week, January 26th, GameStop is now $7 bucks a share.

And it is now pretty mainstream. This is when the story starts really getting, people start hearing it. Yes, because it is now skyrocketed. Yeah, I'm getting people asking me, should I buy GameStop and you? So what was yours? Well, so we were on, I found out about it

in the same group chat we were in. Oh, yeah, yeah. And I think it was one of our friends who's very like-minded to me, was explaining that I should get in because the narrative had now become, if you buy GameStop, you can take part in taking down a hedge fund.

And you know me, man, it doesn't take much. You tell me, we got a chance to take down a hedge fund. I say, you know, sign me up. So I downloaded Robinhood. I'm not talkative loud about it. I got locked out. You did? I don't know if they were looking at my dad or what?

I couldn't get in. They knew you were an idiot. They said, this guy is a full blown moron. We need to protect him. So that was the first time I had even heard it was going on. And I think that was the first time a lot of people. Right. And with that comes a lot of opportunists wanting to piggyback off of that to promote their

own agenda. Surprise. Elon Musk was in on it and was excited. Elon Musk inserting himself into a major news story that has nothing to do with him. I know. It's surprising. Okay. He tweeted Game Stunk with an N and then Timoth. Polly Haapatia was on CNBC quite frequently talking about it and explaining it for the

layman. But then he was of course pumping his fucking spacks, his stocks that have all plummeted since then because he was saying like, listen, yeah, these guys did some shady shit, but not me. I'm actually really good. And by the way, I've got these stocks that I'm bringing because it was around the spack craze. It was this confluence of so much, so much speculation. Just it was, it was truly insane. Right. And then he took the opportunity to jump on the piling on Robin Hood, yes, after everything, which we can talk about because we'll get to that. He also made an options trade in GameStop and he made like 500 grand or something. Good for you, Jim.

And then Dave Portinoi too, of course, jumped on it and would later reveal that he lost 700,000 dollars. We'll talk about that in the aftermath of... What a fucking dork. Just such a dork. of course you lost 700 grain Because by the time you heard about it and jumped on you didn't know what the fuck was going on or what you were doing So it's we're talking about can we pull up the the headline of him? There's a great business insider article with one of my favorite. Oh, yeah, was it in did you put it in slack? Yeah, so this is from business insiderider. Bar Stools, Dave Fortnoise says he lost $700,000

on meme stocks like GameStop and AMC. Robin Hood CEO stole it from me and should be in jail. What a fucking weeny. Look at his dumb face. Go eat some pizza, shut up. Yeah, he took a break from rating every pizza fucking place in the goddamn country. Yeah, guess what?

It's all good. All of it. Even a bagel, but yeah, it's all good. No, I've had some really bad pizza. I've had bad pizza, but guess what? It's like sex, buddy. No, we disagree big time. Okay.

It's all good if you're in New York and New Jersey. It's good. Yeah. Same with the bagels. As soon as you start getting out of the tri-state Jersey, it's good. All good. Same with the bagels. As soon as you start getting out of the tri-state area, it's like real iffy. Have I ever told you my bagel joke? It's definitely the seagulls thing. Fuck, man.

Well, okay. For those of you who don't know, it's why do seagulls fly over the sea? Because if they flew over the bay, they'd be bagels. So on January 27th, on January 27th, I'm out walking the dog after hours, like the market had closed, it was 1 p.m. and my buddy texted me and he goes,

Elon Musk is posting on Wall Street bets about AMC because AMC had started creeping up too. Get the dog in the car, I drive home real fast and I bought a fuck ton of AMC and I made like a hundred grand on it. Thanks to you, dude. You did? Yes.

And I felt really torn. I was like, fuck you Elon Musk, but also thank you so much. Because, you know, you made a hundred grand in like a day. Guess what? It brought me to break even for the month. Good. Because I was down like, I'm so fucking steamed right now. Yeah, I was very torn, but very excited. And I sent my buddy a hundred bucks on Venmo. I was like,

buy yourself some dinner, man. Thank you. Thank you for telling me this. Huge. Oh, it was so huge. But so then blackberry, bedbath and beyond, these are all the highly shorted stocks that all had a turn. It was just one after the other. It really indicates that these people are exactly our age. Just like every, it's like all things from when we grew up. Yeah, we got AMC, funny enough, AMC networks, the TV network whose symbol is AMCX also went up just by, by being associated with it. But pretty much any stock that had a high short interest went up just by, you know, by being associated with it. But pretty much any stock that had a high short interest went up.

And was a dying thing from like our childhood, blackberry, build a bear. Codec. Tootsie Rolls. Tootsie Roll. Iroba was one. Nokia. Yeah. My favorite Fizz, National Beverage Corp.

The company that owns La Croix, Virgin Galactic got squeezed. I mean, pretty much everything. If you were... Fossil, the God, remember those fucking watches? Yeah. If you were short anything, you were in trouble. And, you know, that's it right there. A bunch of shit got... Cos, K-O- KOSS got squeezed, 3,715% anyway. So yeah, it wasn't just game stop. Yeah, it started to spread to other things. And on January 27th, US, so get this, US trading volumes by Share Count on January 27th exceeded the peak set in October 2008 during the financial crisis and was the third highest in dollar terms

within the last 13 years. It was like everybody was trading stocks. Oh, it's wow, people went crazy. I wanted to actually, I feel like this is a good time to pull up some of those trending topics. Remember? Oh yeah. Because we were talking about how this is the first time

a lot of people ever heard about these things. And we have some Google, you can see the Google Trends. Like, oh, here we have GameStop. Just, yeah, what the, oh, massive spike, massive spike. Everyone's trying to figure out what the hell is going on. Short squeeze, people are looking at Robinhood, options, everyone's Googling this stuff, trying to figure out what the hell's going on. Yeah, and asking me,

right, should I buy a GameStop? Is it going to a 100,000? Look at this, it's the most Googled thing that day. In the entire country. Yeah, literally everybody was on their phones, Googling GameStop. Also, people, I'm sitting there Googling self-suck. How the hell am I supposed to do it?

Can remove rib self-suck? Question mark. Buddy, you can. So then the next day January 28th, GameStop hit a peak, $500 pre-market, and was sitting at a $33 billion market cap, which was the highest in the Russell 2000. And on that same day, Robin Hood halted purchases of GameStop, AMC, Blackberry, Nokia, and a bunch of others. And they limited the buys the very next day. So Robin Hood was just the first. Eatoro, Weeble, and some others followed suit.

So this is what we're talking about when we're talking, like we don't know when or if Rory and Kitty sold off. But yeah, he stopped, after a while he stopped posting his notes. Right. But he, so he, I think he had like a $50,000 stake and then it turned into $50 million. I think so. Yeah. Like it could have at some point.

I don't know if he ever, we don't really know exactly what he did. And it drove me in Noel Crazy because there were days he would post. He'd be up, like his position was worth $20 million. And it's like, sell, dude, sell. And then the next day it'd be down to 15. And we're like, you fucking moron. You just missed out on $5 million.

And the next week it'd be up to $35 million. And we're like, damn, I guess he's got fucking balls of steel. And then it's back down to 30 or 25 and you're like You fucking idiot sell and then back up to 40 million. It's just The man truly had diamond hands. I mean I Got it's marginal it's like 15 20 just take the fucking money yourself for life. Yeah his wife his poor wife Roaring kiddie sell Me That guy man boy that guy was probably plowing his wife. I'lling kiddie, sell! Mirror.

That guy, man, boy, that guy was probably plowing his wife. I'll tell you. You think so? Oh, yeah. Nice. She was probably hollering, hollering the game stop. She was saying, to the moon, oh God, I hate myself. Fucking hate myself. But so Anthony, check out this guy's last name, Denire. Anthony Denire. It's actually Denire. Denire. I'm pronouncing it wrong.

CEO of Weeble stated that the increased collateral requirements for their clearing house meant Weeble themselves were restricted from opening new positions. So this is the thing. This is what I'm talking about. This is the whole crux of everyone freaking the fuck out. Right. Everyone is tweeting about it.

Every like Congress person is crying foul play. I was, I was like, this is unbelievable. And there's still a lot to be explained for this. There is. And we will be asking that. But I think. I think the big thing is that everyone seemed to think that Vlad and Robin Hood got like a note

from Citadel saying, cut it off. Yeah. And they were like, okay. As if Robin Hood is the only fucking game in town. But they were also the, they were like the flagship. Right. And the story was that it was all these retail traders driving up the price. And they were the face of that, right?

So. And so it goes. There it's so. So what actually happened? So when you buy a stock, you don't own it right away. There's a two-day lag between buying it and actually having it clear. It has to clear. It takes two days for it to clear.

And in that two days, your brokerage is on the hook for that money, with what's called the DTCC, the depository trust and clearing corporation for equities, and then the options clearing corporation, or the OCC for options. So these clearing houses have to have enough collateral on hand to settle a member's outstanding transactions, or in this case, a member being the brokerages and the outstanding transactions being the purchase that you or I just made. So they've got to have collateral in the event that any particular member firm fails to prevent cascading failures of other members and they can demand additional collateral, which is called a margin call, from members if market volatility starts to increase.

So brokerage firms were claiming that the increased collateral could not be provided in time and as a result trading had to be halted. So the DTCC, for instance, increased the total industry-wide collateral requirements from 26 billion to 33 and a half billion. All right, well, just try to explain this in layman's terms. I mean, they do you you it was too risky and they needed to put up collateral to cover.

You got all these and especially if it's one sided because it becomes increasingly exponentially riskier for the clear. Robinhood also tried to get around this by raising a lot more cash. Yes, they did it one day, $3 billion or something like one billion. In a day. And it wasn't enough. It was enough, because then they opened trading back up.

Right. But then they had to shut it down. I don't know if they had to shut it down. I think that they made it limited. Right. It was like, you can only buy, I don't know, whatever the fuck limited meant at the time, X amount, no margin. Because that's the other thing is Robin Hood enables margin trading, which is they leverage up your money. You got a thousand bucks. Cool.

We'll give you five thousand. Right, which is part of the problem. I don't want to get into that now because I want to talk to Vlad about that. Yeah. I think that's a big issue. And it's not unique to Robin Hood. I mean, anybody can sign up for a margin account. Yeah, but I think Robin Hood at this time was defaulting you into margin accounts. Interesting. Which I think is really, and I don't want to touch on it because I don't want to talk to fly. Yeah. I'd like to know. So they raised a billion dollars and at the time, the conspiracy theories were flying. And there seemed to be what started as just this cursory kind of fringe conspiracy theory that some hedge funds were in trouble started to feel like a very real thing

because if indeed these hedge funds are caught short and it can squeeze infinitely higher, what are they going to do to cover their positions? They're going to sell everything else that they've got. in squeeze infinitely higher, what are they gonna do to cover their positions? They're gonna sell everything else that they've got. Didn't Melvin start doing that? Yes. Okay. So that actually did start to happen. Yeah. And the fear was that it was gonna basically destroy,

I mean, the worst case scenario felt like it was gonna take down the entire market. And all of these apes, these games. I don't know if I buy that. I bought it. It felt like a very real possibility. Well, so this was the problem for me. It seemed like no matter, it was very hard to get an actual read out what was going on

because it seemed like there were a thousand different takes on it and everyone's take was based on what they wanted to happen, right? So it was like, you know, I would read, you know, someone who's pretty economically left and it was framed as this like, this is a good thing, like, you know, this is sticking it to the man, this is like, blah, blah. And then you would read like, I don't know, like George Perks, who is like an institutional investor talking about like, all these people are stupid. They're not, this is not what they think it is. And so he's right. Uh, yeah, I think looking back on it, we can talk about it.

We're going to get to the aftermath of it. But I think he was right in a sense that it didn't work. But I don't know if he was right in the sense that like, in a sense that it didn't work, but I don't know if he was right in the sense that like, they were still trying to prove some kind of point. Right. And I don't know if it necessarily matters that they were right or wrong. Yeah. Because in the end, the bad guys win.

Like this is the real world. The bad guys figure out a way to win. And whatever you want to believe, they ended up winning because the stock ended up coming back to earth. But you had another opportunity, like it came down to 50 bucks and then it bounced back up to like 400. Right. So I mean, plenty of people had the chance to get out and they fucking didn't because at that point, so many people were indoctrinated into truly believing that all you had to do was hold on and you would bring down this. Oh, yeah.

I mean, should we jump ahead a little bit and show some of those screenshots? Oh, wait, wait, should we do the, should we cover the losers real fast before we get to that? Yeah. So Melvin Capital suffered a loss of 30% of its entire funds value. And by the end of January, they were down 53% on all their investments. And they had to get bailed out by Citadel to the tune of $2 billion. .72 asset managements. Wait, well, they added $750 million. Who was the biggest? According to you.

Oh, Andrew left, motherfucker. He had, he had called short a stock that I was in years prior and caused me to lose a little bit of money. But he lost a fuck ton of money. I don't know how much. Some, some firm called D1 Capital lost four billion dollars. Another one lost, short sellers lost a total of $6 billion according to sources. Yeah, and then Morgan Stanley, they said that there was a number of hedge funds who had to do these, to have to sell off to cover their positions and lost all of my leverage. So, so I mean, it did, you know, they did fuck over some funds. Yeah. But I think to your point about it not working, we have this little section where we looked

at, there were some big winners on this. There were some huge ones. And they weren't all retail traders. So, of course. So, first one we've got GameStop chair. Well, this one's not that huge. But, you know, Kathy, Raybick and Paul Fernandez, they sold off and made $1.4 million. And then another board member, Elizabeth Dunn, cashed in 156 grand.

The CEO, GameStop. Yeah. Uh, he was briefly a billionaire because of all this. You guys made a new billionaire. Yep. Good job. Uh, send Vest management. They bought a 5% staking game stop when shares were $10 and made a profit of $700 million. They exit their position when Elon Musk tweeted Game

stocks. Smart. Oh, another, you know, this is how you know, it's a populous movement when BlackRock makes out like a band. Oh, yeah. No kidding kidding man. They had roughly a 13% stock in games. Oh steak worth 2.6 billion dollars at its peak unreal So there were some big winners here. I think we can skip ahead cuz wait wait The church of Jesus Christ of Latter-day Saints The Church of Jesus Christ of Latter-day Saints, bought 46,000 shares of GameStop in 2020 and saw the value of its investment, jump 900%. Goddamn.

That's a lot of Jesus cookies or whatever. That's a lot of new wives for some guy there. Oh boy, yeah, you could buy a hundred. You're putting an addition on the house. Yeah. Good for them. So yeah, all that is to say, it's kind of unclear what the...

Yeah, you take down, you cut off one head and four more are gonna grow out. Right, because just because one fund is going under, does not, I mean, somebody's gonna be making some money. Black, I would rather, fucking BlackRock made, yeah. It's funny because we were joking about it before. It's with Neil Young moving to Amazon. Yeah, yeah. There's nothing you get, we're fucked. looking about it before, it's with Neil Young moving to Amazon. Yeah.

Yeah. There's nothing you get. We're fucked. Yeah. It's someone's gonna make out fine. And you're still gonna be diamond-handing fucking GameStop. Yeah. Oh, yeah, let's look at the games.

Yeah, it was crazy watching this all happen in real time. And I think I got very invested in this, you know, people started, we have some Wall Street bets reactions here, because there was a big narrative on Wall Street bets of that like this was us sticking it to them. Like people were talking about what happened to them and their families during the 2008 financial crash

because of, you know, greedy investors and institutional investors fucking with the world economy. And so you have things like this, this we've got his name blocked out, but I've been saying it all goddamn day, fuck these motherfuckers. These pieces of shit crashed the economy and cost my father and laws job right after he shelled out for his daughter in my wedding. My guy, my guy never worked steady again and died worried that he didn't do enough

for his wife, fuck these pieces of shit. Another guy says, my wife got laid off in 08 and is yet to regain full 40 hour a week employment with healthcare. We are nearly 40 years old. She had a shitty 40 hour job with no real benefits until until about five years ago. And now she has a job she loves, but it's it's less than 30 hours and doesn't qualify for benefits. She's insanely hardworking and talented. I'm getting into this for her for her.

Fuck the suits. And then we got one more. She's insanely hardworking and talented. I'm getting into this for her for her fuck the suits. And then we got one more. I remember when the housing collapse sent a torpedo through my family. My father's concrete company collapsed. Almost overnight, my father lost his home, my uncle lost his home. I remember my brother helping my father count pocket change in our kitchen table. That was all the money we had left in the world. While this was happening in my home. I saw hedge funders literally drinking champagne as they looked down on the Occupy Wall Street protesters. I will never forget that.

My father never recovered from the blow. He fell deeper and deeper into alcoholism and exists now as a shell of his former self, waiting for death. Jesus. This is all the money I have and I'd rather lose it all than give them what they need to destroy me. Taking money from me won't hurt me

because I don't value it at all. I'll burn it all down just despite them. It's so misplaced. I mean, I get it. It's not misplaced. I don't think it is misplaced. I don't think they care, right? I think you're talking about someone

who they and their families lost everything. I wish I actually pulled it up. I don't know how hard it is to find, but I know exactly what the image of this champagne. I know exactly what video he's talking about. It's fucking, it's so disgusting. It's so annoying. It's like, I remember seeing it when it was happening and just being like, I want to bring a fucking banker snack. It's just so, also, you guys fucking won. You don't have to fucking like, yeah, piss on everyone.

You guys got your bailouts. You guys got your big payouts. Nobody went to jail. And people are fucking pissed because they got nothing. They got their whole life taken from them. Yeah, it's inhuman. And you guys can just, it's so fucking,

we'll find it on another episode and play it. It's, but I feel terrible for all these people because yeah, like you said, it's not misplaced. Their hearts were in the right place, but I don't think that they clearly didn't fully understand. Not only like if their plan had played out and if they had ironically, they would have crashed the market themselves

and would have caused further damage. They would have caused another 2008, 2009. I don't know if it's possible. If all things played out as they had planned, it would have caused further damage. They would have caused another 2008 2009. I know if it's possible. If if all things played out as they had planned, it would have destroyed. We have the video here. Well, it's oh yeah. And so you have all these, I think they're like a nice restaurant that overlooks that overlooks like Zucati Park. And they're all just like laughing and drinking champagne. Any of all these people down here protest. Oh, this dork taking a picture with this water and his straw. Fuck, these people forever. Yeah, I want to hang out up there though. Not me. I mean, can you

imagine how nice those bathrooms are? I'd be in there. You know what I would do? You know what I'd be doing, Emile, to do my part. I'd be chugging that champagne and just peeing all over the seats. There you go. Peeing all over, or on the toilet paper rolls. I would be. Can't wait their butts.

I don't know, I would not want to be in there. But yeah, we don't necessarily know what would happen. I think these people saw an opportunity to tank a hedge fund and it felt fucking good. Yeah, and they thought that it would work. And honestly, when I was trying to put money in, I was like, all fucking drop $400 and lose it. I don't care if I get to like participate. It's funny because then you lose it. You're like, fuck. That hurts. Cause $400 is a lot of money. You wouldn't set $400 cash on fire. No, because

if I said, that wouldn't help me take down a hedge site, right? That's the thing. But if someone was like, give me $400 and I'll ruin this hedge fund, I'd be like, take it. Yeah. But yeah, it's just it's funny when people thought that they were, they projected onto Melvin capital the entire 2008, 2009 housing market crash. It was like, oh, yeah, these are the same people. And they're not. I mean, they are because they're part of some, they're part of the same speculative bubble that brought it about. And they're agreed once again, was putting them in a precarious position that people wanted. Hey, you know what? you may not be the exact people, but you are a Jason and you're once again trying to,

you know, use your greed and your resources to fuck something. So, you know what, if I got a chance to fuck you, I'm gonna, like you said. And it's just heartbreaking that it didn't play out as people wanted it to. I think it's heartbreaking that people's livelihoods are so wrapped up in these decisions of these people

who don't give a shit about them, and then it's like, you know, when they become too big of failed. When we send the economy into a tailspin, it's just like, I mean, the 2008 financial crash has a lot to do with like a lot of the reason we're here now. Yeah. You see, you know, the Tea Party becoming popular after all that, and the Republican Party becoming

more and more, like, I don't want to say populist because I don't think that's actually what it is, but, and then kind of taking control, and, you know, people thinking they're like fighting back against the establishment, but really we've just turned into this like hateful, horrible regime. And there's so much leftover resentment from 2008 that we're still reeling from. Personally I have plenty of hate for everyone. I hate both player and game. I hate indiscriminately indiscriminately. I love that about you hate hate hate hate hate hate hate hate hate hate. I think we should wrap it up, man. I don't even care about crypto corner this week. Oh, I mean, we can't talk about crypto corner right now. So is there anything else we want to say to tie a bow around this entire saga. We are going to we are going to revisit it a little bit next week. We have not talked about

the aftermath that in that meaningful way, I hope we will do it because a big part of it was this congressional hearing, which Vlad took part in. So hopefully we can talk to him about that a little bit. Yeah. Um, yeah. Beyond the lookout for that, that'll be a real fun one. That's gonna be our biggest interview yet folks. Yeah, it's gonna be nothing like the Graham Stefan episode. Yeah, oh yeah, just a heads up.

You know, because we let a lot of people down with the Graham Stefan episode, but we're, you know, this is a guy, you know, we're gonna do our best to be as fair and understanding and knowledgeable and educational as possible. Oh, with Vlad? Yeah. Oh, yeah, because they haven't begged us to have them on.

Yeah. We're doing this because we want to talk to them and we have some real questions for them. I thought Graham was their best buddy. Yeah, that too. So in the meantime, until then, thanks for him. I thought Graham was their best buddy. Yeah, that too. So in the meantime, until then, thanks for watching. Do us a favor. What do they got to do, Emil? Well, there's so many things,

we're supposed to say it at the beginning. What? Like and subscribe. We did this time. Oh. But do that. Like and subscribe. Comment.

If YouTube hasn't taken it, I mean, if Spotify hasn't taken us down yet do rate us I think we can get those ratings back when we when Hillary Clinton spot gets gets taken down and it will yeah. You and me both buddy. Radeus five stars yes because five is the best. I just got the you and me both. Yeah nice.

Thank you. Five stars for everything only nice comments on YouTube. Yeah That's it that's really it and kill your parents Quit your job. Share your pants leave a comment leave a comment. Yeah, share this video or Spotify thing follow us on socials and so on We love you. I've been covered at all. This is it's such a huge job. Yeah, we got a thing. Yeah, we got this Love you. Bye on. We love you. You've been covered at all. This is it. We got to think we got this. Love you. Bye.