• ArbiterXero@lemmy.world
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    2 months ago

    That’s the gimmick…. They’re worth billions “in theory” based on the last known price times the number of shares available.

    …… but it’s only actually worth what someone will pay for it……

    So the second they go to sell, they’ll find out that the “last sale price” was wildly inflated.

    Sometimes they take small handfuls and sell it to “themselves “ to try and make it look like the stock is moving and selling for higher than it’s actually worth.

    This is the difference between “on paper” and “liquidity”