â¦and Big Book antitrust has arrived [Disclosures]( The Wild West of âSquid Gameâ [Matthias Clamer/Stone via Getty Images] Yesterdayâs Market Moves Dow Jones
36,053 (+0.39%) S&P 500
4,631 (+0.37%) Nasdaq
15,650 (+0.34%) Bitcoin
$62,994 (+3.35%) Dow Jones
36,053 (+0.39%) S&P 500
4,631 (+0.37%)
Nasdaq
15,650 (+0.34%) Bitcoin
$62,994 (+3.35%) Hey Snackers, The journey to financial freedom is apparently a roller coaster: A California man said he paid off his student loans by [eating]( lunch and dinner at Six Flags for seven years. A $150 annual pass goes a long, long way. Stocks jumped to record highs for the third trading day in a row, with the Dow closing above 36K for the first time. Pfizer and Under Armour were the latest companies to deliver strong earnings. Squid Squid scam: Trend coin plunges to nearly zero after scammers steal millions from investors âSquid Gameâ over... Halloween is past us, but trends based on [Netflix's]( "biggest-ever" new series aren't. A crypto coin called Squid [launched]( last week at $0.01. The âplay to earnâ currency professed to let buyers play online games based on the South Korean thriller. Three days later, Squid was up 44,100%, to $4.42. As it gained media coverage, Squid [soared]( 23 million percent between October 26 and November 1, hitting nearly $2.9K. Yesterday it crashed to nearly $0. - âRug pullâ strategy: It's assumed that Squid's creators sold all the coins for real money, causing the coin to plummet, from $2.8K to nearly $0.
- Scam vibes: Creators cashed out, stealing [$3.3M]( from investors who never had a chance to sell Squid coins because of a buy-only restriction imposed by the developers. Cracks in the honeycomb... There were red flags: a typo-ridden Squid website (âfrist game,â âneed pay the ticketâ) and a leadership team that didn't exist on [Google]( or LinkedIn â like: CEO Kevin Sam, "Founder of Squid Game." (BTW: Netflix reportedly said it was not affiliated with the coin). But Squid isnât the only parody coin thatâs surged recently: - Coin explosion: Creating alt-coins is relatively simple, and about 100 new cryptos are created daily, adding to the 13.5K already in existence.
- Coins can be listed on decentralized exchanges as soon as theyâre created, with virtually no due diligence.
- Coin crowding: In January, [Bitcoin]( made up 70% of total crypto value. Now it makes up less than half as trend-driven altcoins have gained traction. Two meme-inspired coins, [Dogecoin]( and Shiba Inu, are among the [top 10]( cryptocurrencies. THE TAKEAWAY It's a cautionary coin tale⦠Crypto markets and exchanges lack the controls and fraud protections that the stock market has. But SEC Chairman Gary Gensler wants the âWild Westâ of crypto to be regulated in the same way the SEC oversees securities like stocks and bonds. While regulation could take years, the Squid debacle highlights the unique risk of investing in crypto without conducting due diligence. Bookend Antitrust regulators push back against Big Books amid antitrust scrutiny Hardcover kind of day⦠The Justice Department is eyeing yet another antitrust crackdown. Yesterday the DOJ filed to [block]( publisher Penguin Random House from buying rival Simon & Schuster from [ViacomCBS]( a $2.2B deal announced last year. - Regulators argued the combined companyâs 27% market share would give it too much influence over which books are published and how much authors are paid. Penguin is the worldâs largest publisher.
- Both publishers insisted the industry is [competitive]( thanks to publishers of all sizes and ânewer entrants like [Amazon]( (yes, the worldâs biggest bookseller is also expanding its publishing biz). They plan to appeal the decision. Trust-bustinâs back⦠In July, Biden warned businesses across healthcare, tech, agriculture, and banking of plans to put an end to anticompetitive practices. But since then enforcement has been uneven. The DOJ blocked [American Airlines]( and [JetBlue]( from merging to form an airline with a 24% market share, but other mergers have sailed through: - Eat up: The DOJ allowed [UberEats]( to gobble up rival Postmates in a $2.6B deal that gave the company a 37% food-delivery market share.
- Sweet talk: The DOJ also signed off on a $26B merger between [T-Mobile]( and Sprint that gave the biz an estimated 29% market share.
- Plug in: The DOJ has allowed lots of Big Tech mergers and acquisitions. Most notably: [Facebook]( and Instagram. THE TAKEAWAY Not all antitrusts are created equal⦠Regulators can crack down on airlines and publishers with the same anti-monopoly rules theyâve used to prevent mega-mergers for decades, while more omniscient businesses like Big Tech have been harder to tackle. But Big Tech is poised to face increasing antitrust pressure. Numerous bills have been proposed to curb Big Techâs dominance, including a [bipartisan one]( in October aiming to prevent mega-platforms like Amazon, [Apple]( and Google from favoring their own products over those from third parties. What else we're Snackin' - [Flip]( [Zillow]( is ditching its home-flipping "iBuying" business after labor shortages and unpredictable home prices led it to lose $381M last quarter.
- [Out]( Yahoo became the latest US company after LinkedIn to pull out of China, as the countryâs pressure to censor intensifies.
- [Huh]( Elon Musk said [Teslaâs]( $4B deal with Hertz hasnât closed yet, while Hertz says Tesla has already started delivering cars.
- [Defaced]( Facebook is removing its popular but controversial facial-recognition feature as privacy concerns against the social giant escalate.
- [Cruising]( [Lyft]( shares jumped more than 12% after it reported that third-quarter sales soared 73% year over year as ride hailing rebounded and the driver shortage eased.
- [Galactic]( Amazonâs Project Kuiper is preparing to launch its first two internet satellites into space next year. ðª Thanks for Snacking with us! Want to share the Snacks? Invite your friends to sign up [here](. The Snacks Daily Podcast Under Armour shares jumped 16% after the athletic-apparel maker boosted its holiday sales outlook. [Tune in]( to hear how UA beat the âdiscount spiral of deathâ to protect its financial house. Snack Fact Of the Day [October was the highest-grossing month for the US box office this year, as movies like âNo Time to Dieâ and âVenom 2â fueled ticket sales]( Wednesday - Earnings expected from Qualcomm, CVS, Marriott, Match Group, Roku, Allstate, Etsy, Fox, MGM Resorts, Discovery, and GoDaddy Authors of this Snacks own: Dogecoin and Bitcoin, and shares of Apple, Netflix, Google, Uber, Tesla, Amazon, CVS, Roku, and Match ID: 1904853 Robinhood Snacks newsletters and podcasts reflect the opinions of only the authors who are associated persons of Robinhood Financial LLC (Member [SIPC]( and do not reflect the views of Robinhood Markets, Inc. or any of its subsidiaries or affiliates. They are for informational purposes only, and are not a recommendation of an investment strategy or to buy or sell any security, digital asset (cryptocurrency, etc) in any account. They are also not research reports and are not intended to serve as the basis for any investment decision. Any third-party information provided therein does not reflect the views of Robinhood Markets, Inc., Robinhood Financial LLC, or any of their subsidiaries or affiliates. All investments involve risk including the loss of principal and past performance does not guarantee future results. [Robinhood Terms and Conditions]( ⢠[Disclosure Library]( ⢠[Our Editorial Principles]( ⢠[Contact Us]( ⢠[FAQ](
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