The Revelation of Flourishing: The A-share market in the 1990s and the cryptocurrency circle are so similar.

CN
1 year ago

The money bag will change, speculators will change, stocks will change, but Wall Street will never change, because human nature will never change.

Author: Psyduck Fomo

(V God recently said not to use leverage of more than 2 times. Bao, who also used 2 times leverage for financing, went bankrupt. V God's remarks two days ago also hinted at Bao's outcome yesterday)

Original text from "Reminiscences of a Stock Operator":

What happens in the stock market today has happened before and will happen again in the future; Wall Street never changes, money bags will change, speculators will change, stocks will change, but Wall Street never changes, because human nature never changes.

  • Jesse Livermore

Main Storyline 1:

Shenzhen gang leader Qiang went to Shanghai to manipulate the market with the concept of acquisition and speculation on stock 601, then Bao, using illegally raised funds + insider information (in exchange for interests with Li Li), followed the rhythm of the Shenzhen gang and profited.

  1. Before confirming 601, Bao determined three stocks through the "three no" sector, which refers to stocks with no national, legal person, or foreign capital themes. The biggest feature of this sector is the small market cap and all shares are in circulation, making it easy for the main force to collect chips in the secondary market. Isn't this just like meme coins? Why are both retail and institutional investors so keen on this "three no" sector? The recent popularity of NFTs is also an extreme manifestation of the unequal distribution of chips between individuals and institutions. Anyway, it's all about storytelling. While your institutions tell stories with technology and data and quietly unload, why don't we just go straight to the point and speculate on a worthless coin?

  2. Qiang, who studied in Japan, had never heard of the concept of acquisition in A shares during the early stage (corresponding to the real-life battle between Bao and Yan), and applied this concept to manipulate stock prices, focusing on geographical arbitrage. In the history of the cryptocurrency market, early users who took advantage of the price difference between China and the US in BTC, later used 200 years of experience in CeFi to complete the transition to DeFi within 5 years, leading to the prosperity of the ETH ecosystem (29b TVL). Similarly, English teacher Li Xiaolai and Jack Ma were able to profit from geographical arbitrage. This once again illustrates that language is not just a language, but a gateway to understanding the operation mechanism of another world.

  3. Illegal fundraising + insider information is so similar to the early days of the cryptocurrency market. The wealth in the cryptocurrency market is all made from the wind. While you are still debating whether this thing is legal or not, smart people have already rushed in. The prosperity of the cryptocurrency market is also a grassroots victory. The early development stages are rough and gray. Do you want to wait for high-quality development to join in at this time?

Main Storyline 2:

As a distributor for a clothing company, Bao started with an initial capital of 120 million. In the end, he was left with nothing by Qiang, who originally planned to sell Bao's position high and then buy low, just like when Bao picked up Mr. A's position. As a result, Qilin Club took over Bao's 30 million position, leaving Bao with only a piece of land in Chuansha (which was later sold to Disney's Chuansha Fox Lingna Belle). Qiang failed to buy low because he lost 30 million due to high selling and was imprisoned.

  1. Qilin Club became the biggest winner. Dr. Wu's quote: "There is nothing in this market that cannot be traded, even a coffin has a price." Originally, Qiang did not obtain the qualification of an underwriter for listing and planned to manipulate the market by himself, but he was still educated by the giant whale Qilin Club. Is there any difference between this and the entire market going to pick up Mr. A's position? In the cryptocurrency market, there are also events such as the bankruptcy of Three Arrows Capital and the FTX explosion, which repeatedly reshuffle the market, leaving only the madmen who can remember Bao on Huanghe Road. Indeed, there is nothing that cannot be traded. The BTC ETF event is playing out the drama of institutions such as the SEC and Matrixport.

  2. V God recently said not to use leverage of more than 2 times. Bao also used 2 times leverage for financing (which is equivalent to going bankrupt, and the chips were given to Qilin Club). V God's remarks two days ago also hinted at Bao's outcome yesterday.

The ending of "Blooming Flowers" is indeed reminiscent of "Dream of the Red Chamber", with its past revelry and the fate of many people on Huanghe Road and in Shanghai. In the end, when the guests and hosts were all happy and the music stopped, the prosperity faded, leaving behind a desolate scene.

Some Other Interesting Content:

  1. When Bao first came to the foreign trade on the 27th, there was a crowd outside waiting in line, while the staff inside leisurely drank tea and pasted stamps.

  2. So-called stock analysts promoted that stock 601 would soar, and investors like Xiao Jiangxi believed it, entering the stock market with their life savings, only to be slaughtered. What's the difference between these stock analysts and the so-called wealth management centers of major banks/securities research institutes/KOLs in the cryptocurrency market? Do their research reports really help users make money?

  3. Miss Wang raised the cost price to grab Bao's Walmart foreign trade order, originally expecting to lose money, but ended up making a small profit due to the rise in exchange rates. Why did Miss Wang dare to gamble on the exchange rate? It's because of the hint from her mentor, Jin Kechang, from the 27th. These people with connections and inside information make money, while at the same time, there are grassroots like Xiao Jiangxi and Mei Ping lamenting the unfairness of fate. If you chase after Miss Wang as your idol, it's indeed a delightful drama. Her mentor is Jin Kechang, her partner is Bao on Huanghe Road, and there's also Wei, the leather factory boss from Wenzhou pursuing her, living a prosperous life. But in the end, the audience realizes that they are Mei Ping.

  4. If there is a sequel to "Blooming Flowers", Bao will engage in foreign trade (real estate) and speculate in A shares (cryptocurrency).

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