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Amateur Day Traders Liberate The Markets-Making The Rich Richer

“Amateur Day Traders” by the tens of thousands who are taking tips from #reddit and #daytrading rebels, and particularly, the financial market anarchists who believe you are inflicting pain on fat cat wall street hedge fund traders by squeezing their shorts and bidding up share prices of distressed or challenged companies (e.g $GME, $AMC and others) to astronomical prices, here’s the new flash: you are all actually making the rich richer.

YOU want to “stick it to the man” (i.e. wall street and hedge funds) by taking your stimulus money and unemployment checks and take it to a gambling casino where you can bid up shares in what any 8- year old would argue are grossly overvalued stock prices. That’s fine, because you think the shares you are all buying in unison is going to create a short squeeze and hurt professional investors who have bet against obscene tulip bulb style speculation.

Notorious Shark Tank Wizard Kevin O’Leary loves you. Elon Musk is cheering you on. Even the progressive politician Representative Alexandria Ocasio-Cortez is in favor of your being able to join the new generation of day traders to compete and bet alongside Wall Street professionals, who have been playing this game for years, but you were “excluded”.

What you don’t seem to get is that while your stock and option purchases are driving up the price, every share you purchase is making “the man” billions. Private Equity lenders-who extend loans to the distressed companies on your ‘short squeeze’ target lists made those loans with their having the option to convert the company debt into shares. So, now they are converting that debt into shares and selling those shares to YOU at grossly inflated prices.

Perfect example: $AMC lender Silver Point Capital (the fat cat capitalist firm run by multi-millionaires living in mansions in Greenwich CT) and the firm that makes high interest loans to distressed companies) made $100million in two days ON TOP OF the principal amount of their loan) thanks to the financial market geniuses who are playing musical chairs. And, thanks to you folks, the movie theater chain that was next to bankruptcy last month, sold $300million in stock at share prices the company had never enjoyed in the very best of their times to YOU! Sure, when the pandemic is over, all of you are headed straight to the movie theaters so you can spend $50 for tickets and a box of popcorn and share the crowdsourcing experience with your peeps. What are you going to do with your 70 in TV screens and your streaming subscriptions? Oh, you’ll keep it all with the profits you made day trading? Sounds good

Don’t believe that your intent to cause pain to the rich wall street fat cats is backfiring a smidge? Try reading the facts.

And, the company executives who own shares in these companies are now celebrating, as this is their once in a lifetime opportunity to sell those shares to morons who have put nonsensical prices on them… once the Reddit community starts looking at insider share sale activity (when they are reported at end of the quarter), maybe you’ll scratch your heads and ask yourselves “what the f–ck” did i accomplish, other than turn millionaire executives into billionaire retirees?

Think this is nonsense? OK, Chewey.com founder and recent Board Member for GameStop made $3.6 BILLION in four days this past week–all thanks to the folks who are hoping to “stick it to the man” and other millionaire “capitalists” in some kind of “Occupy WallStreet 2.0” initiative.

Perspective: GameStop’s CEO George Sherman, who Ryan Cohen had said was “out of touch with the new movement toward e-commerce” and proceeded to buy 10% of the company at $7 in November and joined the board in effort to help them pivot), made $400mil this past week. The guy who is out of touch made $400 million in three days, thanks to the RobinHood and Reddit Day Traders Rebellion. Meanwhile, GameStop stores remain shuttered, hundreds of furloughed employees remain out of work, and video gamers are stepping up their purchases at alternative online stores-or buying direct from the manufacturers.

GameStop does not make electric cars, they don’t manufacture magic mushrooms, they are a 30 year old retail store. Ok, when the pandemic is over, one hundred million redditers are going to flock to those stores and buy new stuff. Sure you will.

On behalf of all of the fat cat private equity firms and distressed lenders who have made really big bets on distressed companies with bleak futures, you are to be thanked for making them even richer.

“Creative Designer” for Crypto Fraud Firm Seaquake.io”https://www.linkedin.com/in/selen-katz-0043821a0

Now you should get sucked into a real scam..Click on left image..Go ahead!

When the music stops (meaning when the prices of the shares you bought at wildly inflated prices) fall back inside of 10 seconds to realistic prices that make sense (based on the real value of the company; as measured by sales, profit margins, net income, and assets vs. liabilities), all of you crusading day traders who were determined to screw the establishment will inevitably lose your money in this “occupy wall street v.2.0” campaign folly.

Or, you will have unloaded your shares on the way down to another “comrade in arms” and “believer in the cause” who is as misguided as you. Ever heard of the “greater fool theory”.

Not a very altruistic thing to do to a fellow comrade in arms, but you really don’t care, do you?

Because you are not a crusader, you are not aligned with a movement, you merely want to be included in the new generation of maverick day traders and turn a quick profit so that you can invest in another fractional bitcoin.

BTW- anyone who has the notion to join a mob and storm the SEC building in Washington to protest trading halts when share prices move to extremes, you should ask your parents (or your baby sitter, or your parole officer) whether that makes any sense.

Good luck and God Bless the next generation of ‘online traders’ whose objective is to screw the establishment. Remember, GREED IS GOOD!

When you discover first hand that your behavior left you down and out, you can hope that those fat cats will have a job for you to clean their back-up swimming pool in their 3rd luxury home.

Or MarketsMuse will be happy to hire you to post to their financial industry news platform

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SBA Bailout Funds Going to Firms on FBI Watchlist

PPP and EIDL Fraud is as rampant as COVID-19. According to the front page story appearing in the New York Times April 26 edition, hundreds of millions of dollars in SBA bailout funds that were intended by the US Treasury to assist small businesses impacted by COVID-19 via the Paycheck Protection Program and EIDL Loan Program have been siphoned off by public companies, private equity-backed companies and thousands of small businesses, many of the latter don’t really exist other than in name only.

To many financial crime investigators who are fluent in the failings of US government’s effort to support businesses that have suffered from the pandemic, it is no surprise that tens of millions of dollars have gone to scamsters and fraud artists, including those who have been recently indicted or have been under investigation by federal law enforcement and federal and state regulatory agencies.

Shocking?! Nah. According to one senior investigator from The Financial Crimes Enforcement Network (FinCEN) “However well-intended, the PPP and EIDL loan programs created the perfect opportunity for serial financial fraud artists to exploit loopholes that a teenager could drive a Boeing jet through. PPP and EIDL fraud is rampant.”

In addition to the assortment of rogues that were outed in the above-referenced NYT coverage, it appears that individuals running a so-called fintech company called Seaquake.io, which claims to “specialize in digital asset infrastructure” along with “crypto currency trading applications” and profiled here and other online media outlets back in October, are back at it again.

Informed sources have indicated having direct knowledge that Seaquake.io principals Andrew Katz and Matthew Krueger, who have been cited in federal court for an assortment of investor fraud and wire fraud allegations, had recently filed SBA loan applications for as many as six different Seaquake entities, including Colorado-registered Seaquake Inc., Seaquake Manager LLC, Seaquake LP, Wyoming-based Seaquake OPS LLC, and a California entity, Seaquake Capital LP. Each of these entities list both Andrew R. Katz and Matthew Krueger as controlling officers.

And, it was revealed that Seaquake OPS LLC, the above-referenced Wyoming entity did in fact apply for and did receive a Paycheck Protection Loan of $22,813 through Wells Fargo Bank, National Association, which was approved in May, 2020.

AVEM Ventures LLC, a Colorado entity identified along with each of the above in a federal civil court action, lists Katz as the controlling officer and a Kenneth S. Katz as the registered agent. This entity is also believed to have applied for loans and grants intended for businesses that have been impaired by the COVID-19 pandemic.

There is only one problem, the company is a scam, according to a former business development executive for Seaquake, who worked for the company while he was also registered with Finra as a senior executive for San Francisco based brokerdealer US Capital Global. That former employee (his tenure lasted all of 7 months and he has since moved to the role of ” Director, Digital Wealth Solutions” for Apex Clearing Corp.” has stated “Seaquake is not a real business; the product(s) they claim to have are “nothing more than vaporware”; they have no employees drawing salaries other than Katz, (who recently added his wife Selen to the ‘payroll’, though it would appear that her full-time job is that of an Instagram influencer, along with Krueger and UK-based Dylan Knight, who is listed as the chief technology officer on corporate documents. This is all despite claims made on the company website as to having multiple employees; “a canard”, according to one source who says the “serial fabrications made by the company are advanced further by fraudulent representations made in an assortment of investor solicitation documents the company has sent to dozens of individuals and fund managers.”

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Seaquake’s Matthew Krueger (L), Andrew Katz (R)

Katz was seen in December vacationing at a resort in Cabo with his swimsuit model wife, a Turkish national whose opportunity to apply for US citizenship comes on the third anniversary of their marriage, August 2 2020. How the US Immigration and Naturalization Service (INS) or Department of Homeland Security view applicants who are married to accused money launders is only something those agencies can respond to. In early March 2020, the couple was spotted posing for photos on the beach in Southampton, New York. It is rumored that Katz is now hiding out in New York City. Neither he or his San Francisco-based partner Krueger, both accused of defrauding at least several investors, including a Florida-based family office this past August, have made themselves available for comment.

The San Francisco branch of BBVA Compass Bank, the bank of record for an assortment of Seaquake enterprises, had no comment has to whether they facilitated EIDL loan processing or payments to the Seaquake’s alleged criminal enterprise.

One can only hope that FBI and SEC efforts lead to a long-term quarantine for these individuals.

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Trump to Shut Dept of State and Open Dept of Sex; Melania To Head

TRUMP CAMPAIGN SPECIAL REPORT: GOP NOMINEE VOWS TO SHUT US DEPT OF STATE AND REPLACE WITH US DEPT OF SEX;  FIRST LADY MELANIA TO GIVE HEAD AND “LEND A HAND”

DONALD TRUMP TWEETS “MY NEW US DEPARTMENT  WILL BE PROFITABLE STARTING DAY ONE!”

(MarketsMuse Exclusive)- Donald Trump, the GOP Presidential Nominee announced today “Because our foreign policy is such a disaster, during my first 100 days as President, I will not only build a really big wall along the Mexico border, I hereby vow to shut the U.S. Department of State until someone can figure out what the heck is going on with our foreign policy and at the same time, I will appoint my wife and First Lady Melania Trump to sit on my staff as Secretary and lead a newly-created US Department of Sex.” Mr. Trump vowed this would be a Cabinet-level role and “unlike every money-losing US Government agency, my new department will be “profitable starting day one!”

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Selen Katz, “Creative Director” for Seaquake.io

IF YOU LIKE THIS COVERAGE, CLICK ON TO READ ABOUT SEAQUAKE CRYPTO SCAM UNCOVERED BY MARKETSMUSE: 

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photo by Ale de Basseville

In a series of 140-character tweets pushed out late Saturday night by Donald Trump after the NY Post revealed uncovered the plan, the Republican candidate eviscerated the foreign policy strategy initiatives of the Obama administration and declared, “Let’s face it folks, #SEX is the ultimate influencer when it comes to global diplomacy. All of the world’s great leaders have been swayed by legions of  Eastern European models and consorts, and Melania is well-trained to lend a hand to my administration; trust me!.” Added Trump, ” We will immediately reward the vast number of under-educated white males in our country who have been so cheated by the rigged system and whose votes are so important to our country!” Trump went further to state ” I hereby pledge that my wife Melania will administer hand jobs to every single uneducated white male who votes for me in the national election.” In a follow-up tweet, Trump stated, “These will be the GREATEST hand jobs ever administered, and you can trust me when I make this promise!”

Trump also suggested that Estonia Government Bonds issued in 1927, long considered to have little value after Russia annexed the country in 1940, would “soon be worth much more than original face value, much more!”

Despite the fact that Mr. Trump has been a direct party to more than 3700 civil law suits during his business career, he insists that the promise to have his wife perform manual sex on under-educated white male voters is “a legal contract that I swear on my son Baron’s head, is a binding agreement that I will co-sign and one that I will not breach and she will not breach!”

In a late-breaking tweet made Sunday morning, Donald Trump said “This promise does not have to be limited to only under-educated white males, Melania will also provide manual sex to any woman who votes for me! This proves that I truly love and respect all women!”

Trump advisor Paul Manafort confirmed that “Donald Trump’s plan to create a revenue-producing US Federal Department of Sex could easily wipe out trillions in US national debt within the first two years of a Trump administration.”

Steve Mnuchin, a former Goldman Sachs partner who was recently appointed National Finance Chairman to the Trump Campaign

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Trump Finance Head Steve Mnuchin (c)

stated, “Winning and making money and making America great again is our focus. Many people on Wall Street know that Melania is a perfect role model who can lend her own hands to lead a profitable US Government initiative that can wipe out the national debt in a few easy strokes! Mnunchin added, I personally hope that other Trump family members will want to join in this program!”

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Donald Trump offering Hitler-style salute

How this latest pledge on the part of Donald Trump’s effort to be elected will impact financial markets remains unclear. According to one CNBC commentator, “From a global macro perspective, I don’t know how the markets will react to Trump’s promise, but I can tell you that most of our Squawk Box talking heads are going to putting out buy recommendations on this new plan and most viewers of CNBC will likely be impressed!”