Elon Musk's Cynical Exploitation of the Market: Don't Scoop the Poop!


In the wake of Elon Musk's ongoing Pump-and-Dump with Doge, he's apparently seen fit to try its opposite, a Poop and Scoop, with Bitcoin.

Investopedia defines a Poop-and-Scoop as occuring "when a small group of informed people attempts to drive down a stock's price by spreading false information, rumors, and otherwise damaging information (“poop”) in order to then buy the stock at a lower price (“scoop”). If they are successful, they can purchase the stock at bargain prices, as the overall marketplace will have sold off the security, causing the price to fall dramatically. “Poop and scoop" is generally frowned upon by securities exchange regulators and can be prosecuted by the SEC."

Luckily, crypto generally isn't subject to the regulations of the SEC...

While the electronic vehicle market suffers from a shortage of batteries and raw materials, Musk and Tesla have made up for the shortfall with gains from Bitcoin:

"Tesla has made roughly $1 billion in paper profits from its investment into bitcoin, according to Daniel Ives, analyst at Wedbush Securities.

The company is “on a trajectory to make more from its Bitcoin investments than profits from selling its EV (electric vehicle) cars in all of 2020,” Ives estimated in a note published Saturday."

https://www.cnbc.com/2021/02/22/tesla-has-made-1-billion-profit-on-its-bitcoin-investment-analyst.html#:~:text=Tesla%20has%20made%20roughly%20%241%20billion%20in%20paper,2020%2C%E2%80%9D%20Ives%20said%20in%20a%20note%20published%20Saturday.

Rather than demonstrating a genuine concern for the environmental impact of mining Bitcoin, then, this disingenuous and reckless billionaire seems to be attempting a classic Poop and Scoop, driving Bitcoin's price down so that Tesla can buy more on the cheap and weather any storms in the EV industry (resulting in a wealth transfer from retail investors to Elon Musk). Notice that Tesla merely temporarily stopped accepting Bitcoin as payment, but didn't sell its bitcoin or say anything about making more purchases. Don't be surprised to see them announce that further purchases during the dip in the future, months after it's relevant.

Elon Musk--a man many would suggest is a narcissistic sociopath--doesn't care about the environment. As one of the co-founders of Doge said, he "is and always will be a self-absorbed grifter." This is merely an attempt to drive down bitcoin's price temporarily and further pump Doge. 

Musk seems to be following a two-pronged strategy of a Doge Pump-and-Dump and a Bitcoin Poop-and-Scoop.

So please, people, don't Scoop the Poop and sell your bitcoin to further enrich Elon Musk. HODL and Diamond Hands and all that... but maybe we should send Elon Musk to the moon!

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