Hedge fund Melvin sustains 53% loss after Reddit onslaught

Re:Hedge fund Melvin sustains 53% loss after Reddit onslaught by robjan on Sunday January 31, 2021 @11:38PM (#25985594)

This was a common investment scam in the past. Create an email newsletter, split it in half and give opposing advice to each side. You then keep ramping up the fees to the winners until eventually they become one of the losers. Once the list gets too small, create a new entity and start again.

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Re:Hedge fund Melvin sustains 53% loss after Reddit onslaught by aaron695 on Monday February 01, 2021 @12:31AM (#25985840)

I think you'll find it's not a real implementation. OP's example requires 2^100 people ~10^30

It's a similar problem with the email list.

50+ years ago Scrooge McDuck also had this happen to him. He had a treasure map for gold (In Antarctica I think) which he got conditional on profit sharing and he found gold.

The map sellers ran this scam, sold heaps of different maps because someone would find gold.

I personally don't think Scrooge McDuck was just lucky though.

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Re:Hedge fund Melvin sustains 53% loss after Reddit onslaught by imtringued on Monday February 01, 2021 @03:52AM (#25986848)

I think this is the first instance of plot armor protecting exclusively against financial loss.

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