A group of moderators from WallStreetBets have disclosed that they will be launching WallStreetBets 2.0 on a blockchain. This new version will be a decentralized pool for investors to use smart contracts to bet on stocks. The moderators intend to use this version to “pool their money together to have more power and influence in the market than the largest hedge funds.”
The WallStreetBets forum users led a bid to drive GameStop Corporation’s(GME) stock over 1,900% in January, which caused liquidations for some funds. The price rally affected funds like Melvin Capital and others that had taken short positions.
On the other hand, platforms like Robinhood decided to stop trading GME, DOGE, and other crypto-assets amid the market turmoil. Hence, the need for autonomy is the motivation for the use of blockchain for decentralization. The group claims on their website that “It is time to stop using a broken financial system that is archaic and inefficient. It is time to decentralize.”
Sam Bankman-Fried, CEO of the FTX exchange and quantitative trading outfit Alameda Research, suggested that the team may launch WallStreetBets 2.0 on Solana. Although the team has not disclosed what platform they will be launching WallStreetBets 2.0, the CEO has been a keen supporter of the Layer 1 blockchain system. If Solana does not work out, they could choose from other smart contract platforms like Binance Smart Chain or Ethereum.
Image Credits: Pixabay
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