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Comment by dreamcompiler | Hacker News Reader

Bitcoin is not a stock and has no fundamentals; GME does. There's no objective value metric for Bitcoin so it can float freely. But because GME is at least loosely tethered to the value of a real company, I'm confident that will bring the price back to reality.

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I don't follow the logic. Bitcoin has no fundamentals, so it can go as high or low as it wants.

GameStop has fundamentals. But you're free to ignore them; they're not hurting anything. GameStop has everything Bitcoin has, plus some extra things; it is therefore worth even more than Bitcoin is.

Said another way, it is nonsensical to claim that Bitcoin has no fundamentals. If you believe that (1) Bitcoin has "no fundamentals"; and (2) GameStop has fundamentals tethering it to a market capitalization of a few million dollars, what you're actually saying is that Bitcoin has fundamentals tethering it to a market capitalization of zero dollars.

> GameStop has everything Bitcoin has, plus some extra things

Including the ability to keep making losses in perpetuity, which would make it worth negative infinity.

No, it wouldn't. As a stock owner, fiscal losses by the company named on the certificate don't impact you at all.

The only way a business can keep running at a loss year after year and not be declared bankrupt is by raising more capital, i.e. by getting more money from its investors. The price of your existing shares will not fall below zero, but you (or somebody else) will be paying up for new ones.

One caveat is that the insane valuation could let the company raise enormous amounts of cash and attract talent. Perhaps enough to revitalize the company into something with a legit growth story.

I'd say this is very unlikely, but it's not beyond the realm of possibility that GME becomes like a TSLA or AMZN that is constantly trying to catch up to the absurdly high expectations of investors.

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