Where did the money actually go? Are these small startups or individuals that have gone bankrupt that totalled this amount ?
In: Economics
The value of something is hypothetical until it’s sold. Right now, I own a house. The value of it has fluctuated over the twenty years I’ve owned it. That means my net worth has changed. But when my house was worth $900k, there was no material difference then when it was worth $700k.
With stocks, it’s even more volatile. If you sold right at closing, you might have a realized loss, meaning you sold the stock for less than you bought it. But if you still own it, you have an unrealized loss. The value could still change. But it’s all super fake. The value is based on the last trade. If someone sells one share at a low price, every other share is valued at that price.
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