Rafael Henrique | SOPA images | LightRocket via Getty Images
“Wallstreetbets” Reddit chat room, where retail investors are betting against short sellers, went private on Wednesday night, limiting access for outsiders.
“You must be invited to visit this community,” the page now says. As of Wednesday, there were more than three million forum members. The community assembled an army of budding day traders who went after strongly short stocks, boosted stock prices and squeezed short-selling hedge funds.
GameStop, a popular target in “wallstreet bets”, saw its shares jump more than 400% this week alone. The physical video game retailer has skyrocketed as much as 1,700%, while retailers continued to encourage each other to pile up.
AMC Entertainment, another hot topic in the chat room, was up more than 300% on Wednesdays alone, experiencing its highest volume ever.
A Reddit spokesperson said “wallstreetbets” moderators put the community on private.
“Reddit’s site-wide policy prohibits posting illegal content or soliciting or facilitating illegal transactions,” said the spokesman. “We will review and cooperate with valid law enforcement investigations or actions as appropriate.”
Many top posts in the chat room include screenshots of investors’ brokerage accounts, showing huge returns from trading GameStop and other names. Some of these avid investors conjure up short sellers in sometimes foul language and unsavory Internet memes.
The social platform Discord has banned the “wallstreetbets” chat room on Wednesday.
“The WallStreetBets server has been on our Trust & Safety team’s radar for a while due to incidental content that violates our Community Guidelines, including hate speech, glorifying violence and spreading misinformation,” said a spokesperson for Discord in a statement.
“Over the past few months, we have issued multiple warnings to the server administrator. Today we decided to remove the server and its owner from Discord as they continue to allow hateful and discriminatory content after repeated warnings,” the spokesperson added.
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