A cybersecurity agency discovered that bots had been selling GameStop inventory on social media earlier than and after the inventory’s frenzied rise final month, Reuters reported. Massachusetts-based PiiQ Media says social media bots promoted Dogecoin, GameStop, and different “meme” shares in posts on Fb, Twitter, Instagram, and YouTube. The agency estimated that tens of hundreds of bots participated, but it surely’s nonetheless unclear how a lot affect they’d or didn’t have on the rise and fall of GME and different shares.
Shares in GME skyrocketed in January as Reddit customers on r/wallstreetbets rallied across the inventory in an try to squeeze hedge funds that had wager in opposition to the online game firm. PiiQ instructed Reuters it detected “patterns of artificial behavior” in GameStop-related posts simply earlier than the January 28th chaos via February 18th.
PiiQ didn’t analyze Reddit visitors, and Reddit CEO Steve Huffman said in a hearing earlier than the Home Monetary Companies in February that the platform had not detected any important bot-driven exercise or overseas actors on the subreddit as a part of the GME buying and selling hype.
The Securities and Alternate Fee is investigating the GameStop saga, and the Senate Banking Committee plans to carry a listening to on “the current state of the stock market.”