Reddit's cofounder said that at first the company felt like 'a homework assignment that got out of hand' rather than a business
www.businessinsider.com
Reddit's cofounder Steve Huffman said in its early days he filled up most of the site with content using different accounts until it got more users.

Now the social media platform is aiming for an IPO in the first quarter of 2024 with a valuation of $15 billion, and has been in talks with potential investors like Goldman Sachs and and Morgan Stanley, per Bloomberg.

  • airportlineEnglish
    91·
    1 year ago

    Do not do this unless you’re prepared to lose money

      • chicken@lemmy.dbzer0.com
        3·
        1 year ago

        there is no theoretical limit to how much I could lose

        Isn’t there normally collateral you put in and then if it goes up too much your collateral gets liquidated, but that’s the end of it? It is definitely at least possible for your maximum losses to have a cap when shorting.

          • chicken@lemmy.dbzer0.com
            2·
            1 year ago

            I am really skeptical that this is how it works, like if such a rapid rise happens someone is really going to go through a legal proceeding against thousands of retail investors individually to collect money they may or may not have? Seems more likely that the possibility is accounted for by the loan being virtual in some sense, the exchange holding the ultimate legal responsibility, and compensating with an extra penalty if you hit the liquidation number and insurance.

              • chicken@lemmy.dbzer0.com
                1·
                1 year ago

                The GameStop stuff illustrates exactly what I’m talking about here though, all those people on Robinhood getting force-sold because their ownership of stocks was virtual and the ones actually on the hook to finalize things were the exchange’s creditors.

                Naturally for a big player putting billions on something they are going to be doing it directly and thus have full legal liability and unlimited potential losses like you say, but I expect losses are probably limited to the collateral amount for regular people in most circumstances, because otherwise it would be a ridiculous mess for the party providing the loans to them.

      • CancerMancer@sh.itjust.works
        2·
        1 year ago

        The only reason some groups can afford to short stocks is because they expect government bailout if they screw up.

        That and they can just kick the can down the road forever, theoretically.

    • Omega_Haxors
      1·
      1 year ago

      Capitalists insider trade. They act like they don’t, but all one has to do is look at the Nancy Pelosi index to see that’s definitely not the case.