"We'll start from the beginning.
The reason any company trades on a public stock exchange is simple: to raise capital for growing and operating their business.
However, unlike the traditional IPO (initial public offering) route, which takes longer to complete and has significantly more regulations associated with it, TMTG elected to go public through a SPAC (Special Purpose Acquisition Company). That SPAC deal, in this case with DWAC (Digital World Acquisition), will be consummated with a merger between DWAC and TMTG in a few months and raise capital for TMTG through the assets DWAC holds and what will hopefully be an elevated share price for DWAC. Once the deal is completely finalized approved, DWAC will most likely trade as TMTG (but if you ask me, MAGA or TRMP would be more badass, lol).
However, after the initial definitive merger agreement between DWAC and TMTG was announced on 10/20/21, it's standard for SPACs to go through an additional round of fund raising called a PIPE, which stands for private investment in public equity. Instead of doing a secondary offering, which is what most companies who started trading after a traditional IPO do and simply means the company issues more shares to the public on a stock exchange that in turn raises more money for the company, most SPACs elect to raise that money privately through PIPEs.
A PIPE allows large, private investors to come in and receive shares at a discount. And like a SPAC deal, PIPEs are quicker and more efficient to execute, which means capital can be raised faster for newer companies like TMTG who need it a little more quickly. So, is that bad for regular retail investors like us? No! At least not if the terms of the agreement are favorable to them! Companies have to provide an incentive for large, institutional investors to invest in their company, which is why most PIPEs are provided at a STEEP discount and are usually offered for ONLY 10$ A SHARE, which is near SPAC's NAV (net asset value). In other words, most PIPEs are only priced near the net amount of cash most SPACs have on hand and create SIGNIFICANTLY more dilution for current shareholders than the one being announced for DWAC.
However, DWAC/TMTG were able to secure what could turn out to be the HIGHEST and GREATEST PIPE deal in the history of SPACs thanks to retail APES AND HODLERS like us who proved to big investors how VALUABLE they believe TMTG really is and can become. According to this article, https://www.reuters.com/markets/us/exclusive-trumps-social-media-venture-seeks-1-billion-raise-sources-2021-12-01/, our PIPE deal would be anchored to the 10-day VWAP average. This is the break down:
10-day anchored VWAP: 45.98$ (The Reuters article mentioned the 10-day anchored VWAP as the benchmark to price the PIPE).
20% discount (according to the article): 45.98*0.2 = 9.19. 45.98 - 9.19 = 36.79$.
IF they price the PIPE ANYWHERE near that range, it's HUGE for us.
It would make it the highest priced PIPE for a SPAC EVER and mean FAR LESS dilution for shareholders! A high PIPE price like the one being offered to DWAC means it can issue or sell fewer shares to hedge funds and still receive the same amount of capital (1 billion) it’s seeking for those shares.
In other words, fewer shares being issued to investors to reach their capital raise target would mean current shareholders are diluted less and not more like in most other PIPE deals. Therefore, the fact that they were most likely able to strike a deal at elevated levels is amazing news.
According to that article, Trump called hedge funds and family investment offices up in person and asked them to invest large sums north of 100 million. THEY COULDN'T say NO to the former PRESIDENT OF THE UNITED STATES! This news regarding the PIPE couldn't be any greater considering I was expecting a far more limited investment in the 20-25$ range to be announced (which would have still been much, much higher than most PIPE deals). TRUMP REALLY CAME THROUGH FOR HIS INVESTORS HERE!
A quote from the article: “Digital World shares soared on Wednesday, as investors welcomed the news that the PIPE could dilute existing Digital World shareholders less than they expected by pricing at a level much higher than the customary $10 per share seen in most mergers with blank-check firms.”
Ironically, some idiots over at r/SPACs got this deal completely wrong are getting ready to short DWAC because they think the high PIPE price is bad for us, lol. They're literally thinking about this deal backwards! I thought that sub had more OG SPAC investors who actually know what they're talking about!
Some quotes from over there:
u/paperpeddler: Cant wait to short in the am
u/AlwaysBlamesCanada: This makes no sense - the price should be tanking
u/Tfarecnim: So what you're saying is buy puts first thing in the morning, got it.
u/FUPeiMe: So logically people are piling in after hours so they can be first in line... to be diluted.
HAHAHAHA. What makes it even more sad is how many upvotes those idiotic comments received!
GOOD LUCK WITH THOSE PUTS!!!! HAHAHAHAHA!!!!! MAKE THEM PAY. BUY. HODL. BURN ALL SHORTS TO THE GROUND!!!!
To conclude, the fact that large institutional investors would NOT ONLY invest in DWAC but agree to invest in DWAC at SUCH ELEVATED levels that completely exceed any TRADITIONAL PIPE deal is HUGE news for us and EXTREMELY BULLISH!!! I couldn't be happier with this deal."
Let's go DWAC!!!!
I assume you mean this in a non-Biden way . . . so gave you my updoot!
To the moon!
What does DWAC stand for?
https://www.marketwatch.com/investing/stock/dwac
High quality post, thanks Pede. I am all charged up for DWAC to the moooooon!
Great info, thank you. Me and my four shares are headed to the MOON!😋🌕🚀
You are welcome, Great attitude!
Awesome post, great breakdown, thank you. 💎 ✋ into the future. I am buying in as i have the monry and this is my only multi year play right now
5 shares here, will join you on the rocket!
Hell yea brother small stacks gang rise up! Kek WWG1WGA
It's like we are pushing this damn rocket ourselves. We are the fuel frens!
My 60 will be waiting for you there.
When it starts picking up speed and ready to break into space they will (like last time) halt trading. This is something they should NOT be allowed to do but they do it. They did it a few days ago to Twitter stock when cock beard said he's stepping down, the stock fired up the after burners and the stopped it.
Although I believe fuckey is happening, here are the current rules for trading halts:
"Under current rules, a trading halt on an individual security is placed into effect if there is a 10% change in value of a security that is a member of the S&P 500 Index, Russell 1000 Index, or QQQ ETF (exchange-traded fund) within a five-minute time frame, a 30% change in value of a security whose price is equal or greater than $1 per share, or a 50% change in value of a security whose price is less than $1 per share"
Investopedia:
https://archive.ph/ECzcZ
Now if the hedgies have insider news, they could benefit from a halt by allowing them time to prepare for a ladder attack to keep the price down like they do so with GME.
On the other hand, a halt can benefit the average investor who would otherwise be subject to buying at an inflated price due to high volatility.
Honestly, I was shocked at the 30-minute halt on DWAC when it began to moon shoot. I’ve seen 15 minute halts tons of times before. Is it normal to halt for 30?
It did, but the first halt was a solid 30 mins. Once it began trading again, all my charts and even live quotes were not updating on Webull or Public apps. Then it began halting normally for 15 minute chunks. I felt like something was definitely suspect when it happened
It was a pain in the ass trying to get in with all those halts. I was moving money around, putting orders in while it was halted, then it spiked and I didn't have enough funds to cover the order, so I was constantly readjusting. Bought in multiple times during the frenzy, and currently hold 60 shares, but at an average of over $100/share thanks to the last 10 I bought. I'd still be buying more to average down, but my broker flagged what I was doing as "suspicious" and locked my account. I can't buy anything right now, only sell, so I wait.
Trading always halts if it moves x% in yTime. A halt is not some outside manipulation
I'm thinking most of those comments re shorting DWAC are most likely hedgefund shill/trolls. At least the top rated comments. The rest could just be idiots, but I don't think so. I guess we'll have to wait/see the next few days and watch what happens here, but I suspect, he's gonna raise the capital he needs in record time. And make A LOT of people happy in the process.
I'd short DWAC at 90 if not for the 'never bet against Trump' simply cause the game is rigged and we have no idea whether or not trump is using it as leverage or as a enterprise since we already has billions.
3D chess is too hard for me, but I know a sacrificial pawn when I see one. Sure it can also be a queen if it makes it across the board.
Yup..
Looking good. Thanks for sharing this. Between GME and DWAC I am good and set for the moon.
Mouthbreather here, so please bear with me. Is the merger guaranteed to go through? I didn't invest early on because someone mentioned that we're only guaranteed back $10 per share if it doesn't happen. I know nothing about SPACs and this seems risky to me, especially at these prices, because there are outside factors beyond buying/selling that can screw us over.
It is the Stock Market. Nothing is guaranteed.
Truth Social release date (Feb. 21, 2022) aligns with this Q post. Jack, formerly of Twitter, is also mentioned. Stay tuned could refer to the digital media component of DWAC.
https://qposts.online/post/797
💎 🚀
Thanks for the info, I am new to the market but I have been doing everything I can to position myself favorably when everything goes down. I am doing DWAC warrants just to increase my share holdings since I don't have a lot of money to throw at it all at once. You bet your ass I am in on this though. I could use some help with Phun. They seem to be tied to this deal but I don't know what prices they could hit? Or could they get merged into DWAC?
I'm in PHUN too. Please share any response you get, fren!
Massive gargantuan unheard of levels of big dink energy.
Interesting to see that DWAC is about half the share price it reached two days after the initial offering in October. Based on the info in this post, and the price record to date, it seems like a good time to buy!
I'm contacting my retirement portfolio manager to see about putting some into DWAC.
Many, many frens on this board, have no idea where to start! If you have had nothing to do with shares etc., it’s like talking to us and it’s going way over our heads. Now. I can tell you everything about Gold/Silver, but move off that and I have no idea. Someone said just open an account? Have no idea what that means. Someone said, use an online firm and again I have no idea what that means. Someone said, transfer that from that on that date, no idea what that means. And I’m in Australia so what may apply in the US, may not apply here. While I would love to be able to help out my children and grandchildren, I really want to thank 45 by being part of this. I want to be part (just like going back on the gold standard) of the little people that said ‘enough is enough thieving from us’ and watch them lose like what the apes did to them with GameStop. Love Wall Street Silver btw.😀. But, at the end of the day I want to slap some money down on the table and say a bit thank you to 45 for giving us courage to fight these globalists.
Perhaps others here can chip in on personal experiences.
For now, he is what a quick search led to:
{
How to invest in US stocks from Australia (2021)
If you want to buy and sell US shares from Australia, you need to sign up with a stock broker with access to Wall Street. Your cheapest and easiest option is to join an online share trading platform that offers US-listed stocks.
As of 2021, there are at least a dozen online trading platforms in Australia with access to Wall Street's New York Stock Exchange and NASDAQ. However, there are some big differences in terms of costs and features. Read on to find out more.
Buy US shares in 4 steps Compare brokers making sure it has access to US stocks. Open your account by providing ID. Fund your account by transferring money from your bank account. Search and select the shares you want to invest in and start trading."
}
https://archive.ph/wip/vHPLq
Thank you!
Aussie smooth brain here. Im with eToro, free to join, they ask a list of questions before you can join .... google the answers & say yes when they ask if you have traded before. eToro list US shares, not all, but DWAC & GME are listed.
I have friends who buy shares through their bank, no idea how that works tho.
Im cash poor thanks to the gov mandating me out of work, but am keeping an eye on DWAC. This is a great place to learn, especially when high qual posts like this one pop up, which is sadly not often enough, thanks OP, great stuff. Do some research on all those terms, I had no idea how the stonk market worked when I started, nothing. Getting my head around how shorting works caused a brain implosion, the whole naked shorting gig drove me to crayons. Yet still I know next to nothing, its a huge subject & hard to get your head around especially if your brain isnt wired in a financial kind of way & mine certainly isnt. PUTS is more of a golfing term to me, Ive tried to get it but gave up.
Remember never spend what you cant afford to loose.
Thanks so much. Lots of Aussies here which is great. I saw NAB had a broker section. I don’t know how many times - not here so much but other platforms where I am hard on people that expect answers without putting in any research, and I’m doing the same thing. 😟. Shame on me. I just needed a jumping off platform and one website I found gave a 5 step process and it was simple and I got my head around it. Simple for newbies. My brain can process my bank account spending, but step outside that and 😵💫. My daughter showed me about crypto’s but while I put a minimum to it, it still is a mystery. Same as Telegram! I have been on boards over the years but do you think I can understand Telegram? Nope. 🤪. I agree. Op took time out of his day to help me and I really appreciate that. I plan to spend a good time over weekend to bite the bullet and learn. But I have been given some good stepping off hints thanks to OP and yourself. Many thanks again!🐨
Google up a local brokerage acc.
Apes all over the world on superstonk use different brokers. It doesn't matter that much,just don't use robbinhood.
This is music to my ears! Been looking for the bottom to buy more shares and offset losses to date. Seems to be just about time to move on this. Thank you fren!
what is a good trading platform to use for buying stock
Fidelity seems to be one of the best currently
Any idea what DWACU is?
Not sure which one to buy.
DWACU:
One share of DWAC.
Half a share of DWACW.
It’s if you want to purchase both in a bundle. Its share price will always be near 1 DWAC + 1/2 DWACW.
For example, at the time of my comment:
DWAC is $46
DWACW is $16
DWACU is $54
If I buy dwacw will it also convert into whatever stock Potus determines?
What’s the benefit or differences between? I bought both on the first day. I’ve been on a personal strike for 20 years and only support patriot products so I want to see what’s more beneficial of a stock to buy.
DWAC can only go as low as $10 if the merger fails. Not $0.
DWACW, on the other hand, has added risk of going to $0 if the merger fails.
If, if, if.
The warrants become real shares in September. So if you’re willing to hold on that long, you’re effectively buying shares for a huge discount.
I’m willing to take the risk on warrants, so about 2/3 of my position is DWACW, and 1/3 is DWAC. By September, both will become TMTG, equally.
I’m like you. I’m very excited to support a company my conscience can rest easy on. This is very good.
I’m sitting on my 10 shares…I can HODL a looong-time. I’d still like to take it off my TDA account, but Computershare is out, correct?
If you’re going to hold, you can direct register your shares and physically own them. Then you have to sell them through a stockbroker but it won’t be an instantaneous sell that way.
Right. I’ll just leave em on TDA. Tx 👍🏽
Correct it's not listed on computershare.
Is it too late to buy in? I have 5 shares at $18, but I don't want to raise my average by adding now. Help a newbie out please.
Not sure. There are probably some are bag holders that got caught during the last big spike and purchased shares above $150. Then you have others who are just catching the news this AM that will buy just to the fear of missing out.
Treat it like a casino, only invest in what you are willing to lose.
My gme average was 48 now its around 175. It's called averaging up,and I would do it again.
Friend of mine missed gme at 5 dollers a share so he wouldn't buy at 48,so he missed completely.
Yep. I started buying AMC in January at $9. I was hesitant about paying a higher price of $12 in May, but went ahead and averaged up. Then sold most of my shares in the June price spike for a $43k profit.
Even if GME doesn't go to the moon, and it "only" hits several thousand $ per share, then the current price (under $200) is a freaking steal.
Canada. Keep telling that to my friend but he thinks he missed it.
Although I would not use it as my exchange, webull has a nice free chart under their 'trade' tab. Type in the symbol 'DWAC' in the top right box. Select the time interval of 5min & add the indicator of RSI. then watch some videos on reading candle chart patterns & RSI indicators. Rayner Teo has some good info out there that is available for free. I used his videos to learn back in 2017 when cryptos were taking off.
You make it sound like a PIPE Dream.
This should be PHUN!
Hell yeah, I have some already and had put in another buy for this morning because I feel like it will only get better from here and I don't know that much about investing in stock but anything Trump puts his name to, I am in.
GME is the only play
Nah,brah. GME has been neutralized. No MOASS to come there. That should red pill many though. You might gain a little.
Not neutralized
You really think so? How has it been neutralized. The problem seemed too big to neutralize.
Neutralized, lol. As every cabal financial news source continues to pump out articles trying to con people into selling their shares.
I bought more Tuesday, yay autism!
Plot twist, Jack goes to Truth and reveals hes been a white hat all this time
The overall stock market is bearish. Investors are sitting on their money all around. The way I look at it, Facebook/Twitter/Google have been collapsing. On the other end, DWAC has been stable and even went up a little. This is a great sign for a run when the market becomes healthier, or when there is another undeniable catalyst.
Also, people not in our sphere may be underestimating the company. It may be similar to when people believed Amazon would only sell books. With DWAC, or TMTG, people seem to only focus on the social media component. There is much more potential to it than that.
February is the full release. Beta is before that, but it’s unclear whether it will be open to the public or only those invited to test it out. I’m not informed yet on any numbers for pre-order.
This Q post may interest you. The date of the post aligns with the full release date of Truth Social, and the contents connect pretty clearly.
https://qposts.online/post/797
If stay tuned and Jack’s nervousness does refer to DWAC/TMTG, then this has been in the plan at the very least since 2018.
Hit the road, @Jack !
High quality post and many high quality comments. Thanks to all of you for continuing to educate those of us who are new to the stonks.
Any questions, I will do my best to answer. Great name, by the way! Faith over fear - always.
Roger that. MOAR. HODL.
Dude, post this on wsbets.win this is great insight!
Thanks, someone over there already has. They linked the original reddit as well as this thread.
https://wsbets.win/p/140c4rLPk0/dwac-a-complete-breakdown-of-wha/
Good deal. Hodl!
I would check out the comments on reddit, but i'm sure they'd all be something "orange man bad, even if it makes me .50c i wouldn't associate to orange man bad who wrekd the universe"
I just took a peek and they are all speaking about technical analysis. If you are seeking TDS entertainment be sure to check the comments under yahoo finance.
PHUN is also moving. Most of the DWAC stocks are moving.
Holding onto my 45 shares to the moon. Thought that number was appropriate.
Ive been thinking, the employees at cuckbook and twatter i bet are pissed. 50,000 employees. Maybe not 100% but imagine what happens when the TRUTH comes live? The smart ones that didn’t sign up for the bullshit are not going to go down on the ship, some will which is fine, they’ll paint themselves as Anti-American anti-truth telling and no one will want to hire that attitude. TMTG and Truth Social are going to need to expand and hire. Maybe DWAC acquires them somehow. Those who are anti-MAGA will quit. More Patriots hired to replace. Hell I bet Trump could get 100,000 Patriots in a month without those employees. Mmm coffee thoughts
Does this have to do with Rumble
What is the price per share expected to go up to?
Couldn't get in til Day 2 thanks to shitty job I no longer have, so I'm fucked twice
Qeq
16+ shares bought around $120. Really hoping we go to the moon!