It used to be we only had to worry about black swan market events.
Once upon a time only Goldman could move the market 1 percent by trotting out Abby Joseph Cohen.
In 2016 the markets were introduced to blue and orange swans.
Trump (the Orange Swan) can go on TV and wipe out billions in Puerto Rican debt.
On Facebook (the Blue Swan), users see promoted ads like this all day every day that can drive stocks and in this case cryptocurrencies:
In 2017, a short seller with a few good calls can put up a video and report on their website and cut billions from a stock. I own Shopify, so I know of what I speak. Andrew does make some good points in his argument that the Company will have to respond to. The reason I have covered/owned Shopify since the 20’s is their product. Tom Tunguz explains it best here.
Scott Galloway talks of Russia weaponizing Facebook using a credit card and a few rubles.
This new era of Orange and Blue Swans will proliferate.
It is a market of stocks and not a stock market so while everyone is quietly herded into the index world, I expect more of this orange and blue swan behavior.
I am not blaming anyone just yet, but buyer beware as we shift into high gear in the negligent economy.
Also published on Medium.