How GameStop Was Effective Marketing for Penny Stocks and Equity Crowdfunding
- March 10, 2021
- Posted by: Kirsten Campbell
- Category: Blog
As we can see on Google Trends, over the past 5 years in the US, the interest in penny stocks surged, courtesy of Reddit trading and GameStop, among other factors.
Come stay awhile
The Reddit market mayhem sent people searching for Wall Street alternatives, and the residual interest appears to have landed in the penny stocks arena of the OTC market. This is noteworthy because consumers are creatures of habit. And since habits are habitual, it’s reasonable to expect that a number of lookie-loos who stumbled upon penny stocks during the surge, will educate themselves, then invest in microcap stocks.
Even though people may want to change their behavior, actually getting them to pull the trigger is tough. In this instance, Reddit traders did the heavy lifting by motivating other retail investors to seek out new opportunities. People taking action is the best way to change their attitude.
Middle fingers up
Misfit investors piled into GameStop as a vehicle to “punish” the big wigs on Wall Street for the residual 2008 recession rage and a number of other indiscretions. This seething fury is completely understandable, and it bubbled under the surface until GameStop traders released the pressure valve.
Equity crowdfunding has been red hot since the spring of 2020, and this ecosystem, along with the OTC market, maaaay, just may, be a salve for disillusioned investors seeking less volatility, generational wealth and a productive way to flip off the establishment. What better way to screw over Wall Street than by taking your toys and going to play in another sandbox? With only about 8% equity left for grabs by the plebs, retail investors can’t hope for much anyways.
Bringing those investment dollars to small businesses seeking equity crowdfunding, for example, is a win-win. Retail investors receive much more bang for their buck, and communities and local people benefit from the influx of sweet, sweet cash. Plus, the big money guys seem to hate it. Shouldn’t that be enough? 😉
As the dust settles
With record breaking interest in penny stocks, and equity crowdfunding bursting out of the gate already this year, retail traders have practical options to park their money. In the Wall Street adjacent ecosystem though, consumers have more investing options to suit their lifestyle and values.
Let the stampede begin.