 Okay, welcome back. It's Friday, 29th January. We've had tons of questions on various different social channels for what exactly is going on. What is this situation with Robin Hood and all the brokers and what's going on with GameStop and Wall Street bets. So got the main man back again. Eddie Dommez. Eddie, how's the game? Hey, what a week. Yeah, I mean, incredible. But look, I mean, this is definitely much more up your street than mine. So I thought rather than me, try to explain this, you're going to do a far better job than I can. So get us up to speed. What exactly has been happening in terms of what happened last night with the brokers? So it's been an incredible week. And actually Robin Hood have taken a spectacular step in actually banning the trading of these retail favourites like AMC, like GameStop, because of the volatility. So really incredible steps that they've taken and they've actually been having to draw on credit lines and things like this from the major Wall Street banks that admit this volatility. So in terms of who's allowed to trade and things like that, the funds and hedge funds are still allowed to trade the stock and they are most likely making a killing. Now the shares were down so much up to 50, 60% in some of the names that AMC was down 53% on this announcement cost was down 43%. These average people, the retail traders that were making a lot of money and now potentially losing a lot of money. So the funds are not locked out, but the retail people are. So in kind of basic terms then, what triggered this action? Why did they have to do what they did, say Robin Hood for example? Yeah, so essentially the brokers were facing higher costs if the clearing houses, their kind of counterparties raised their margin requirements to protect their members from the increased volatility. So the broker Robin Hood, they don't have enough capital in terms of liquidity overnight and this was basically five billion in increased capital that they needed. And this just got too much for them basically. They tried to go too quickly, as we've seen with a lot of growthy tech names and deal with the consequences later. They usually have to put up one to 2% of that trade, but because of this volatility, they were having to put up five to 10% of each trade with the clearing houses. One of the things I saw actually late last night, GME surged 60% late hours and I just saw it, I think they're German listed, they're up nearly 90% now. So they've gone down 44. Now they're up 70, 80% again today. Robin Hood did say last night in the statement they would allow limited buys of these securities continue to monitor the situation. But presumably then more volatility is coming because this is the kind of taps going to come on and off, so to speak, is that the way that you see it? Yeah, I think the retail favourites have identified these targets and they're not, you know, particular targets, they can be anything. You've seen with Elon Musk and people tweeting about Bitcoin and Dogecoin, it's up 800%. So these were just some of the names for random reasons. We mentioned some fundamental catalysts, but this volatility could flow into any pockets of the market, mainly cryptocurrency, if you think about the decentralized nature of this kind of debate. So more volatility is definitely to come and I think this is the key point is there's got to be a consistent rule for people. You can't just say, you know, hedge funds, you are allowed to trade retail, you're not allowed to trade. That's not how it should work. There should be a kind of democratic approach to trading, right? It's a free market and, you know, some people may argue, is it a free market? You know, when we had, for example, in March, the Fed stepping in and buying, backstopping the credit markets, backstopping seemingly the equity markets. This is further fueling this kind of, you know, the suits versus, you know, the average people, house prices are all time high. So the free market is really taking or the idea of a free market mechanism is really taking a bit of a bit of a punch. And let's just remember Robin Hood's slogan, democratising finance for all, which is seeming pretty ironic right now. Well, you said it, but so what big players are against this move by Robin Hood? Yeah, so it's drawn even members like AOC said she would support examining a stock trading app. Robin Hood, they're a hearing against them. It's taken obviously Ted Cruz also a Republican, which has led to this kind of weird bipartisan agreement that this shouldn't happen. And obviously the names like David Portnoy has obviously felt extremely strongly about this, as you can imagine, and Shemath a very famous. I saw them in a Twitter spat, was it the point 72 guys at Cohen? Yeah, I mean, yeah, well this is this embodies the David versus Goliath story. Shemath tweeted very famous VC in moments of uncertainty when courage and strength are required, you find out who the true corporatists scumbags are, which is a pretty, pretty good gauge of the retail sentiment at this time. One of the things here is that prior to this episode, Robin Hood was a phenomenal success by many means is the lower barrier to entry, fulfilling their company course, Logan, I guess. But what we've seen, as you said as well is that this typically then they want to capitalize on that and the IPO, for example, surely, this is a significant bump to that ambition. Well, definitely so the IPO should have happened a few months ago, before this before they kind of got caught if you if you want to call it that. But this is definitely going to lead to a flux of people flooding out of this app, because it's really a far reaching issue and you've seen, you know, lots of movement from Wall Street best from Reddit saying look, let's, you know, let's leave Robin Hood. So they become the target themselves. Yeah, exactly. So it's been a really terrible week for Robin Hood, the early investors, for example, because they were all for Democrats, basically leveling the playing field for finance and financial trading and they've taken the complete opposite by suppressing people. So this is going to put a major spanner in the works for a potential IPO for sure. Okay, so I guess the biggest question now is, what next? Is there something specific? Yeah, so I think we need to definitely watch the situation as it evolves and let's take a look at where this kind of volatility, where the speculation next kind of rears its head. I think it's going to end up in the kind of cryptocurrency markets and the decentralized finance space, which some people may not be too familiar with. But this is a function of so many kind of social issues so much social unrest like we've seen over the last few years, and then the kind of the action from the central banks and the government's basically just flooding the system with liquidity and this speculation and this flood of liquidity is going somewhere, and it's kind of fueled by this coronavirus of course and the lockdowns and the frustrations from young people, particularly about baby boomers participating in equity market rallies, house price rallies, general asset price inflation, and they want to get a piece of it. So I would see that, you know, the crypto currencies that represent decentralized finance, basically, where all this volume is going to go. Okay, cool, well look, we'll wrap it there but as we did before, if there's any questions at all for Eddie, just drop a comment on this video. We're here to help. More than anything, I think a lot what this episode definitely has has shown because there was a few private group, what's that messages we were showing yesterday from different circles of generally young individuals new to markets and some of the stuff we were reading was was quite frightening so we do feel a bit of a responsibility to try and act as a as a sounding board to just get more informed about this type of stuff and so absolutely ask any questions. We're both happy to help. But cool. Thank you very much, Eddie. Thanks.