/biz/ - Business & Finance

Just went another 600 into GME JAN 18 calls
what the fuck am i doing

>>13543827
I would still argue that fixing the direction of incentives fixes the problem at a core fundamental level, rather than simply adding checks and balances to a flawed system. Ethereum itself fundamentally relies on incentive based market Dynamics, and for good reason, because it works. Right now I see a major potential for tyranny through the moderation system, because there is incentive to do so.

Making drugs and alcohol illegal did not stop boot leggers and drug smugglers. Legalizing/regulating ensured there was no longer enough of an incentive, as there was no longer profit in breaking the law. This is not the best example, but I'm tired.

Point being, removing the incentive to abuse the system below the incentive of using it properly works FAR better than outlawing exploitation.

I am looking for a flaw in the "pay to ban" method I have proposed. If there is not one, and it is simpler, and would achieve the desired result, why not use it?

>>710335

anyways since that guy is taking too long I'll come out and say it.

what do we want to be doing when prices are high? we want to be selling! yes! of course! and furthermore, the markets are very liquid when IV (aka option prices) are high!

in summary, look for high IV stocks. (you can look up how to calculate a little something called IVR to get a better handle on IV)

when is speculation (aka IV, aka option prices) running high? usually events, such as earnings.

my current strategy is find companies with earnings about 45 days away and sell strangles, and profit off of that implied volatility.