Hey friends. thanks for watching. please note that this is a VERY simplified version of how short selling works. It's purely the concept. in real life there are all sorts of other nuanced dynamics that I didn't even scratch the surface on. but the concept remains the same and I hope this can help in some way if you are interested in understanding what's happening with the Game Stop situation. thank you all for being here. Lots more videos in the works. K bye!

Johnny is one of the most professional unprofessional journalists ever 🤣

They said 2021 will be awesome. Maybe that's why Johnny has 4 videos in like 10 days

The fact that a GameStop share went from $4 to $469.420 is definitely a pro gamer move.

They be pulling a Joker here: "It's not about the money, it's about sending a message."

This was good but Johnny’s breakfast crisis was the best drama I’ve ever watched.

Also, hedge funds shorted more Charizard cards than were ever printed. They borrowed all the cards, sold some and then went to the people they sold to and borrowed them again, as if they were new cards, without paying back the original owners. This crazy logic is why everyone is laughing at the hedge funds that got burned.

If every teacher explained the basics of topics like Johnny then I’m pretty sure kids would actually enjoy learning. Keep up the awesome content dude!

0:43 “I don’t fully understand this, but I feel like I need to be a part of it” I think that’s the real reason gamestop’s stock price has gone up

Johnny's journalism feels real. Like he's actually talking to me. Agressively.

"eventually people are gonna figure out how powerful they are and it will be interesting to see what we do with that" - Hank Green

I payed off my parents house because of this meme. Never thought scrolling Reddit at work would have actually been productive.

Nobody can become financially successful overnight. They put in background work but we tend to see the finished part. Fear is a dangerous component, hindering us from taking the bold steps we need in other to reach our goals.

"I don't know a lot about Pokémon." Suurrree 😉

Johnny getting his 💎🙌

Id love to see an updated version of this once the whole gamestonk saga is over

"Internet Trading Mob" God damn the news is fucking hilarious

The only journalist out there with diamond hands.

A week or two after this video released, McDonald’s now includes Pokémon Cards and now everyone is buying a ton of happy meals lol.

You need to update this for current GME situation. It gets much deeper

The pokemon analogy is uncanny: in 2008, a friend of mine at university was explaining to me the economic crash that followed the hedge funds crisis, using pokemon cards, and specifically Charizard ! This analogy is relevant !

Literally him : I dont need sleep, I need answers " : )

I NEED A PART 2, I BELIEVE IT IS VALUABLE! xD

Hedgefunds manipulating the market: "It's fine, this is the way it's meant to be" Hedgefunds getting beat at their own game: "NO, THIS IS WRONG, YOU CAN'T DO THIS!? HELLO!? FREEZE THE MARKET!?"

You forgot to mention they shorted the stock 120-140% thanks for the video 💕

I could sit and watch johnny for 5 hours in a row and understand everything he says but cant focus for 10 mins in class

I'm so freaking glad that a journalist like you exists, man. Thanks for this vid.

South Park covered that exact topic, the financial market craziness, the fact that money is based on "faith" (trust), etc, twelve years ago. The name of the episode was Margaritaville. "They didn't listen" - Randy Marsh

Just one detail about “why” it rallied that much. Hedge funds who were short selling and panicked started buying back the shares they borrowed. This is what drove the craziest rally. Reddit ppl have bumped the stock price a bit, but the drastic rise was due to the panicked of hedge funds having to buy at any price.

I've been trying to explain shorting to Kara for the last 72 hours.....thank you🙏

robinhood no longer allowing people to buy gamestop stock is just amazing. so you only like unadulterated capitalism when you win huh?

I have been literally trying to understand the concept of short-selling for years. You finally made me understand it within a couple of minutes of using a Pokemon example. Thank you!

You forgot to mention that Melvin Capital not only borrowed tons of Charizard cards, they sold tons of cards they didn't even have. And somehow that was legal.

2007, financial market screws people: Well, it is what it is… 🤷‍♂️ 2021, people screw financial market: But that's illegal! 😱

I was literally waiting for someone to explain this to me and I think I really got it thank you! You made this whole topic actually really thrilling!

I like how Johnny summarized this whole thing philosophically.

“Power resides where men believe it resides. It’s a trick. A shadow on the wall. And a very small man can cast a very large shadow.” - Lord Varys

Me: Doesn't understand this gamestop saga Johnny: Hold my beer

Hey Johnny are you able to do a runner up video to this one?

The Pokemon cards analogy makes me think you could make an entire video about the economy of trading card games and make it really entertaining.

One very important aspect you've missed is that the stocks are not borrowed for free. The broker charges an interest and they require a certain amount of collateral in the short seller's account. The interest is based on the price of the stock. That's why a short seller can't just say, "let me borrow the stock for one more year," and wait for the price to drop again. The higher a stock's price goes, the more interest they have to pay, the more money they need to put into their account.

My cousin invested 22k on GameStop ,some months ago.He made it big some days ago 👍

Sad (and good for you) that this explanation of shorting a stock is better than the ones of channels focused on finances!

THANK YOU for finally explaining what shorting is!!!!!!!!!! I could not understand the 15+ explanations but yours was clear

This guy bought gamestop shares for us. That’s dedication

The hedge funds also shorted way more shares than are available for trading

Great explanation man. Not only is it great info but as a video professional I love just watching your work. Keep up the good work, praying for you man!

Hi just wanted to say I love all your videos and I really appreciate how you were able to cover this topic but explain in a way that makes it a lot easier for people to grasp. I really admire you and your work, and I'm excited to see what you have in the works for the next year ❤

This has been the funniest drama in a long time!

So, the rich people were clearly displaying class solidarity in this episode. As they do.

Wow this was so helpful. I have been trying to rap my head around this idea. Visuals really help me connect the dots as well as your clear explanation. Thanks Johnny!

This was SUPER helpful with the Pokémon explanation. Thanks so much!

Finally someone who can explain this madness in terms I understand! Cheers Johnny, great presentation as usual!

The Big Short has Margot Robbie to explain KZfaq has Johnny Harris to explain

MINE TOO!!!! The Big Short is just toooo good - wish there where more films like that out there

God I fucking love your filmmaking. I spend so much time trying to do what you make look effortless

The "Value" of the company doesn't move the price, but people does. "Perceived Value" would be the term! Thanks Johnny!

Johnny explaining Gamestop drama is the best start to this week

Great video, many thanks! I like your format

Was there ever a follow-up to this? I'd love to see Johnny's subsequent analysis.

This is driving me nuts. 3 vids in 1 week? Man, I’m thrilled for 2021

"Value is what a bunch of people think value is" - Johnny Harris

My 10-year-old brother just watched this with me and understood it (the pokemon got him very interested) - which really shows how well you explain things! Thanks, Johnny, and hi from Denmark!

There were certainly a bunch of people who invested in Gamestop as a meme, but there were also just as many people who invested because they had an emotional connection to GameStop and didn't want to see it shorted. For many people, GameStop provided them with many of the games that shaped their childhood and they have fond memories of visiting their stores. To see out of touch suits hoping the company that helped build your childhood dies so they can get rich...that's gonna piss a lot of people off. And it did. That's what was beautiful about the GameStop stock surge. It was one of the first times the stock market was affected by emotion rather than math.

Best explanation about this topic so far. Loved it! It would be great to see more of these videos about finances and other varied topics. Keep up the great work Johnny!

the public, when rallied together, is always more powerful.

Very good way to explain short selling. Teaching something is harder than learning something.

You just made it so much easier to explain shorting 🙌🏼🔥

Yesssssstonks!! You’re forgetting the part where they were allowed to borrow and short more Charizard cards than actually exist 🙃

"I don't know a lot about this... so first thing i'm gonna do is buy gamestop shares" 😂😂😂

This really explained everything for me. Thanks so much.

The way you explain things is always informative and soothing. Thanks for the vid!

Kind of a sweeping generalisation to say all people on r/wallstreetbets are misogynistic. Thanks for that

I wish my high school teachers would have taught me about stuff like u just did !!!!

Thank you for such a simple yet effective explanation!!! This is awesome.

You've really inspired me in so many ways that would take so long to explain. But in short thank you so much, really you've done so much for me.

Finally someone that's using reddit screenshots in dark mode! Thank you

I bet Johnny has like 10 Charizard cards at home. 😂

Any planned follow up video on this? Would love to see your take on the remaining fallout and maybe similar instances. Thanks!

Thanks for explaining it. Your presentations are always very clear.

I was watching this unfold and was like, “Johnny needs to make a video on this so I can understand this chaos.” Sooo thanks 🙃

The true nature of our entire monetary economic system, (as expressed in Dollars, Pounds, Marks, etc) is really a shared illusion which is only as stable as our expectations that future currency will be of roughly equal value to the last 'dollar' we earned. Yet few realize, by virtue of inflation alone, that the future value of those 'dollars' always declines.

“Vlad the stock impaler” - elon musk

First time I heard someone explain the financial market & feel like I understand it a lot better... for the most part. Honestly, really impressed with how you broke it down into layman's terms!

I love how this is explained in understandable terms Cuz it's hard to understand the stock market

This guy is has been killing it for some time and I think his doing a great job at journalism infused with a sick editing experience and sound design.

Thanks, your example of short selling is very easy to understand. 👌🌟👍

need to updated video, much much worse than we thought when you made this. great video

Mental note: This video has zero maps

Hey Johnny, please let the world know what is going on in Myanmar. A lot of people are picking sides, due to their recent national crisises, without knowing the full story.

Just watched the Big Short for the first time the other day and now this video pops up? Amazing!

Has it already been a year since that episode? Perhaps another video explaining if anything has happened from Government investigation (if any)? and how did your gamestop stocks do in the end?

Elon has gained monopoly in stocks. His one tweet is enough to raise the stocks from $5 to $1500

it's eye opening to think any group of people could effect the market so easily

Its been 5 months now could we get an updated video and explain everything that happened with this

I agree with all of this except for the Robinhood part. The reason why they stopped trading was not because Citadel had a huge stake in it. But rather because they didn't have the funds to sustain such large trades. They needed to raise money prior to resuming trading for these meme stocks.

I just watched that movie you mentioned and showed clips of "the big short" last night! It was fantastic. It's available on Netflix in Canada if you have a VPN.

Work at a bank and its hilarious everyone was talking about it that whole week. Even in different office "cliques" everyone was talking about the same topic.

I knew nothing about how this worked so thanks for explaining Johnny

"To understand this you have to understand Pokemon cards." Oh well ok say no more