Roaring Kitty's Return: $586 Million GameStop Investor Sparks Market Volatility Amid SEC Scrutiny

Boston, Massachusetts, Massachusetts, USA United States of America
GameStop shares fell 40% during Gill's appearance on Friday despite his bullish outlook.
GME memecoin experienced significant volatility with almost doubled price before paring gains.
Roaring Kitty, also known as Keith Gill, returned to social media and revealed a substantial $586 million stock position in GameStop.
Roaring Kitty remains a significant player in the financial markets with over $500 million holdings in GameStop.
SEC is reportedly investigating GameStop call options trading activity around the time of Gill's social media posts.
Roaring Kitty's Return: $586 Million GameStop Investor Sparks Market Volatility Amid SEC Scrutiny

In recent days, the financial world has been abuzz with the return of a notable figure in meme stock trading: Roaring Kitty, or Keith Gill. The investor's influence over GameStop shares was once again evident as he attempted to present a bull case for the company during his livestream on Friday.

According to various sources, including Bloomberg and Coindesk, Gill returned to social media after a long hiatus and revealed his substantial stock position in GameStop. At the time of disclosure, it was worth approximately $586 million.

However, despite his optimistic outlook for the company's future prospects, GameStop shares continued to fall during Gill's appearance on Friday. The stock tumbled 40% for the day as investors digested first quarter earnings and a subsequent 75 million share offering from the company.

The meme token market, inspired by GameStop but with no affiliation to it, also experienced significant volatility. Solana-based GME saw almost doubled in price before sharply paring gains on Friday. At press time, it was down 50% over the preceding few hours but still higher by more than three-fold this week.

Gill's return to social media last month sparked a speculative frenzy for GameStop that extended to the memecoin market with multiple opportunistic tokens launching on the Solana blockchain. The trader, who gained notoriety for his role in the 2021 GameStop short squeeze, has faced scrutiny due to concerns about potential market manipulation.

The Securities and Exchange Commission (SEC) is reportedly looking into GameStop call options trading activity around the time of Gill's social media posts. Massachusetts securities division and E*Trade have also considered removing him from their platforms to protect their reputations.

Despite these challenges, Roaring Kitty remains a significant player in the financial markets, with his paper gains on GameStop reaching over $54 million during one trading session. His holdings in the company have now surpassed $500 million.


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Confidence

90%

Doubts
  • It's unclear if other investors were also targeted by Massachusetts securities division and E*Trade.
  • The exact timing of the SEC investigation is not mentioned in the article.

Sources

85%

The overall score is a weighted number that takes into account conflict of interest, bias, deception and other practices that undermine the credibility of the source. It is calculated as:
(Site Conflicts Of Interest + Author Conflicts Of Interest) / 2.0 * 0.2 + ArticleBiasScore * 0.20 + UniquePointsScore * 0.05 + DeceptionScore * 0.20 + ReadabilityScore * 0.05 + FallacyScore * 0.20

A score that takes into consideration the content for flow, interruptions with ads, and overt search engine optimization techniques that makes the content hard to understand

Roaring Kitty’s GME shares hit $1B, BTC open interest soars, and other news: Hodler’s Digest, June 2-8

Cointelegraph News Ltd. Editorial Staff Saturday, 08 June 2024 20:30
  • Unique Points
    • Trader Roaring Kitty could soon become a billionaire due to his investments in GameStop (GME) shares.
    • Bitcoin’s open interest increased by $2.02 billion over three days, totaling $36.92 billion on June 6, leading to speculations of a potential whipsaw effect.
    • A new U.S law grants the president significant powers to block access to digital assets, specifically targeting foreign entities linked to terrorism.
  • Accuracy
    • Keith Gill revealed in a Reddit post that he bought nearly $116 million worth of GameStop stock and 120,000 call options with a $20 strike price.
    • GameStop brought forward its first-quarter earnings to report a loss of $32.3 million and a slight decline in sales from the previous year.
    • Investing pros were transfixed by a meme-stock guru named Keith Gill, who goes by the Roaring Kitty online moniker, during Friday’s trading session.
  • Deception (50%)
    The article contains editorializing and selective reporting. The author makes statements about the potential market manipulation by Roaring Kitty without providing any evidence other than the increase in GameStop's stock price. Additionally, the author only reports details that support their position of potential market manipulation and ignores information that contradicts it, such as Marathon Digital selling a large portion of its mined Bitcoin to expand its fleet and improve efficiency. The article also contains sensationalist language with phrases like 'Roaring Kitty triggers another rally on GME stocks' and 'potential whipsaw effect'.
    • Critics argue that the law’s expansive scope could push users toward Know Your Customer-compliant, permissioned blockchains, effectively controlling the digital asset landscape.
    • The trader, known for the GameStop short squeeze in 2021, has seen his holdings rise in value after he announced a new $180 million investment in GME shares.
    • Experts suggest that while this might lead to short-term price corrections, it also shows increased speculative activity that could influence Bitcoin’s price volatility.
  • Fallacies (85%)
    The article contains several examples of informal fallacies. The author makes use of multiple quotes from various individuals in the industry, presenting them as expert opinions without providing any context or analysis. This leads to an appeal to authority and a lack of critical thinking on the part of the author. Additionally, there are instances where the author presents information in a sensational manner, such as with the example: “Roaring Kitty’s shares hit $1B, BTC open interest soars, and other news: Hodler’s Digest, June 2-8.
    • By the end of the decade, they [AGI machines] will be smarter than you or I; we will have superintelligence, in the true sense of the word.
    • Carefully balancing sensible regulation with strong research is the foundation of Switzerland’s success. […] Innovation needs freedom to be creative!
    • If people understood the ramifications of the shift in [Washington D.C.], the crypto market would be at new all-time highs.
    • We aren’t Ethereum maxis; we are scaling maxis.
    • The SEC knew it was in a corner on ETH ETF.” Bernstein
    • Bitcoin bull run’s ‘most important chart’ hits new $94T all-time high
  • Bias (100%)
    None Found At Time Of Publication
  • Site Conflicts Of Interest (100%)
    None Found At Time Of Publication
  • Author Conflicts Of Interest (100%)
    None Found At Time Of Publication

76%

The overall score is a weighted number that takes into account conflict of interest, bias, deception and other practices that undermine the credibility of the source. It is calculated as:
(Site Conflicts Of Interest + Author Conflicts Of Interest) / 2.0 * 0.2 + ArticleBiasScore * 0.20 + UniquePointsScore * 0.05 + DeceptionScore * 0.20 + ReadabilityScore * 0.05 + FallacyScore * 0.20

A score that takes into consideration the content for flow, interruptions with ads, and overt search engine optimization techniques that makes the content hard to understand

Wall Street is putting its foot down as ‘Roaring Kitty’ strikes again

CNN News Site: In-Depth Reporting and Analysis with Some Financial Conflicts and Sensational Language Krystal Hur Friday, 07 June 2024 11:57
  • Unique Points
    • Keith Gill bought nearly $116 million worth of GameStop stock and 120,000 call options with a $20 strike price.
    • Gill's paper gains on his GameStop position reached over $54 million during one trading session.
    • His holdings in GameStop have now surpassed $500 million.
    • The Securities and Exchange Commission is looking into GameStop call options trading activity around the time of Gill’s social media posts as concerns arise about potential market manipulation.
  • Accuracy
    • ][The Securities and Exchange Commission is looking into GameStop call options trading activity around the time of Gill's social media posts as concerns arise about potential market manipulation.][][Former SEC commissioner Michael Piwowar stated that there is nothing obvious about Roaring Kitty's actions that is currently against the law.]
  • Deception (30%)
    The article contains selective reporting as it only reports details that support the author's position about Roaring Kitty's potential regulatory scrutiny. The author does not disclose any sources for her information and makes no clear statements of fact, instead relying on speculation and innuendo. The article also uses emotional manipulation by implying that Gill's actions could be considered unethical or even criminal, despite the lack of evidence to support these claims.
    • It’s unclear whether any regulatory action could quell Gill’s staunch supporters or embolden them even more.
    • The Securities and Exchange Commission is looking into GameStop call options trading activity around the time of Gill’s social media posts as concerns swirl internally that his trading activity could be considered manipulation, according to the Journal.
    • The Massachusetts securities division is probing Gill’s trading activities.
  • Fallacies (85%)
    The author makes an appeal to authority by mentioning the Wall Street Journal's report about regulatory scrutiny of Gill's trading activities and the SEC and Massachusetts securities division investigations. However, no formal fallacies or dichotomous depictions were found in the article.
    • ]The Securities and Exchange Commission is looking into GameStop call options trading activity around the time of Gill’s social media posts as concerns swirl internally that his trading activity could be considered manipulation, according to the Journal.[
    • An SEC spokesperson told CNN that it ‘does not comment on the existence or nonexistence of a possible investigation.’
  • Bias (95%)
    The author expresses a clear disapproval towards the actions of Keith Gill, implying that his activities could be considered unethical and potentially manipulative. She also mentions that regulatory bodies are looking into his trading activity. These statements demonstrate a bias against Gill.
    • An SEC spokesperson told CNN that it ‘does not comment on the existence or nonexistence of a possible investigation.’
      • But Wall Street is still taking notice.
        • The Massachusetts securities division is probing Gill’s trading activities.
          • The Securities and Exchange Commission is looking into GameStop call options trading activity around the time of Gill’s social media posts as concerns swirl internally that his trading activity could be considered manipulation, according to the Journal.
          • Site Conflicts Of Interest (100%)
            None Found At Time Of Publication
          • Author Conflicts Of Interest (100%)
            None Found At Time Of Publication

          86%

          The overall score is a weighted number that takes into account conflict of interest, bias, deception and other practices that undermine the credibility of the source. It is calculated as:
          (Site Conflicts Of Interest + Author Conflicts Of Interest) / 2.0 * 0.2 + ArticleBiasScore * 0.20 + UniquePointsScore * 0.05 + DeceptionScore * 0.20 + ReadabilityScore * 0.05 + FallacyScore * 0.20

          A score that takes into consideration the content for flow, interruptions with ads, and overt search engine optimization techniques that makes the content hard to understand

          GameStop Tumbles 40% as Trading Icon Roaring Kitty Returns to Livestream

          CoinDesk Krisztian Friday, 07 June 2024 17:15
          • Unique Points
            • Keith Gill, known as Roaring Kitty or DeepF'ckingValue on social media, returned to his livestream for the first time in years on Friday.
            • During Gill's appearance, GameStop shares continued to fall despite his attempt to present a long-term bull case for the company.
            • In a Reddit post on Thursday, Gill revealed his stock and options position was worth $586 million at the time.
          • Accuracy
            • ]GameStop shares tumbled 40% after a first quarter earnings report and a 75 million share offering.[
            • Keith Gill returned to social media last month after a three-year hiatus, sparking a speculative frenzy for GameStop that also affected the memecoin market on the Solana blockchain.
          • Deception (70%)
            The article does not make any editorializing or pontification statements by the authors. However, there are instances of selective reporting and sensationalism. The article focuses on the negative impact of Roaring Kitty's return to livestreaming on GameStop's stock price without mentioning the positive aspects of his bull case for the company. Additionally, it highlights the sharp price increase and subsequent decrease in a meme token inspired by GameStop, which may not be directly related to the article's main topic but still adds sensationalism.
            • At press time it was down 50% over the preceding few hours, though still higher by more than three-fold this week.
            • Shares continued lower during Gill’s appearance as he attempted to lay out his long-term bull case on GameStop. They’re currently lower by 40% for the day.
          • Fallacies (85%)
            The authors make several statements that could be considered inflammatory rhetoric, but they do not directly commit any formal or informal fallacies. However, they do make a dichotomous depiction by implying that the return of Roaring Kitty to his livestream is the sole cause of GameStop's stock decline on that day. They write 'Prior to the livestream, GameStop (GME) shares tumbled 25% in the morning hours of the Friday session... Shares continued lower during Gill’s appearance as he attempted to lay out his long-term bull case on GameStop. They’re currently lower by 40% for the day.' This implies that there is a direct cause-and-effect relationship between Roaring Kitty's livestream and the stock decline, which may not be accurate.
            • The return of Roaring Kitty to his livestream is the sole cause of GameStop's stock decline on that day.
          • Bias (100%)
            None Found At Time Of Publication
          • Site Conflicts Of Interest (100%)
            None Found At Time Of Publication
          • Author Conflicts Of Interest (100%)
            None Found At Time Of Publication

          94%

          The overall score is a weighted number that takes into account conflict of interest, bias, deception and other practices that undermine the credibility of the source. It is calculated as:
          (Site Conflicts Of Interest + Author Conflicts Of Interest) / 2.0 * 0.2 + ArticleBiasScore * 0.20 + UniquePointsScore * 0.05 + DeceptionScore * 0.20 + ReadabilityScore * 0.05 + FallacyScore * 0.20

          A score that takes into consideration the content for flow, interruptions with ads, and overt search engine optimization techniques that makes the content hard to understand

          Risk Appetites Roaring Anew in Wall Street’s Unflappable Markets

          Bloomberg News Now Denitsa Tsekova, Sunday, 09 June 2024 03:46
          • Unique Points
            • Investing pros were transfixed by a meme-stock guru named Keith Gill, who goes by the Roaring Kitty online moniker, during Friday’s trading session.
            • Keith Gill commanded a crowd with his near-$300 million position in GameStop Corp.
          • Accuracy
            • ][The Roaring Kitty's position in GameStop is] near-$300 million[[CNN]:
          • Deception (100%)
            None Found At Time Of Publication
          • Fallacies (100%)
            None Found At Time Of Publication
          • Bias (100%)
            None Found At Time Of Publication
          • Site Conflicts Of Interest (100%)
            None Found At Time Of Publication
          • Author Conflicts Of Interest (100%)
            None Found At Time Of Publication

          78%

          The overall score is a weighted number that takes into account conflict of interest, bias, deception and other practices that undermine the credibility of the source. It is calculated as:
          (Site Conflicts Of Interest + Author Conflicts Of Interest) / 2.0 * 0.2 + ArticleBiasScore * 0.20 + UniquePointsScore * 0.05 + DeceptionScore * 0.20 + ReadabilityScore * 0.05 + FallacyScore * 0.20

          A score that takes into consideration the content for flow, interruptions with ads, and overt search engine optimization techniques that makes the content hard to understand

          Roaring Kitty was poised to become a freshly minted billionaire until GameStop threw a monkey wrench in the plan

          Yahoo Finance Christiaan Hetzner Sunday, 09 June 2024 03:47
          • Unique Points
            • Keith Gill planned to celebrate becoming a GameStop billionaire in real time with his fans during a livestream.
            • ,
          • Accuracy
            • ]GameStop announced plans to issue up to 75 million shares onto the market[
          • Deception (30%)
            The article contains selective reporting as it only reports details that support the author's position about Roaring Kitty's plan to become a billionaire being disrupted by GameStop. The author also makes editorializing statements such as 'That came crashing down on Friday after the company announced plans to issue new stock.' and 'As a result, Morgan Stanley’s digital brokerage arm, E*Trade, has reportedly considered whether to remove Gill from its platform to protect its reputation.' These statements are not facts but rather the author's opinions. The article also contains sensationalism with phrases like 'speculative ball of yarn' and 'market manipulation'.
            • The company said in a surprise regulatory filing shortly before trading began that it would unload up to 75 million shares onto investors, cutting short an anticipated market rally in the title.
            • Morgan Stanley’s digital brokerage arm, E*Trade, has reportedly considered whether to remove Gill from its platform to protect its reputation.
            • Had Gill decided to exercise his options on his 12 p.m. Eastern livestream, he would have sent brokers scrambling to create millions of shares out of thin air.
          • Fallacies (85%)
            None Found At Time Of Publication
          • Bias (100%)
            None Found At Time Of Publication
          • Site Conflicts Of Interest (100%)
            None Found At Time Of Publication
          • Author Conflicts Of Interest (100%)
            None Found At Time Of Publication