Trading On Twitter | A Potential Game-Changer?

I’m Scott McGregor, @Scottrades on Twitter, this is the Hot Wallet Podcast. With some news for my Fellow Financial Twitter, or FinTwit Addicts. Let me Tell you, Twitter is my most used app, it’s not uncommon for me to put in 2 solid hours on Twitter on a daily basis, I just love it and yes, I pay the 8 dollars for the checkmark. But I do it cause people make fake accounts of me and try and scam my followers. But anyways…onto the news I want to share with you. 

An online Trading Brokerage named eToro announced today a partnership with Twitter. This will allow users of Twitter to see real-time prices of Stocks and Crypto using CashTags. Cash Tags are like normal Twitter Hastags but with the Dollar sign in front and usually represent a stock. So on Apple, for example, it would look like Dollar Sign and then AAPL. these are clickable and, for active investors, give you a chance to see what people are saying about a stock or Crypto. This can be both helpful and harmful for an investor because, most times, other people's opinions can creep in and sometimes cause you to get spooked out of a stock because some posts a chart of something and they think it’s going lower and then they draw a bunch of lines and you think, oh this person knows something I don’t and then you can’t get back in. Other times it can be helpful when you learn something new, and it informs your decision, so Trading with Twitter open has to, in my opinion, be balanced with a strong and backtested strategy, and anyone who lets other people influence them should keep working their system before caring what the chatter might be. But if there’s breaking news about a company or stock, most times, Cash Tags can tell you what you need to know. And the fact that they are REAL TIME I think, is huge. Because Twitter is Real Time. In most cases, as an active investor, you have to PAY for real time Price information for stocks. Most websites only give you quotes with a 15 minute delay. 

If you’ve used Cashtags before and listening to this on Youtube… let me know in the comments below. 

Twitter may soon also allow eToro users to buy Stocks and Crypto through the Twitter App, which would be a big deal. Though eToro isn’t available in all countries yet, including Canada, It has over 400 Million users, and giving them all access to the market and a brokerage account could make it a major player overnight. The biggest exchange in the world, the Crypto exchange Binance has 90 Million Users to give you some context. 

This could also give Twitter users the ability to send and receive payments. If you’re able to Buy Crypto on eToro and you have a wallet address, all of a sudden, you’ve just onboarded a ton of new users to Web3. 

Elon Musk has talked about making Twitter into an app Called X - labeling it The EveryThing App. He wants you to be able to communicate, collaborate, commiserate, and consume goods and services all in one place. This could be a big leap for Social Media, generally, and if it works out, it could spur other Social Media giants to integrate Crypto, Web3, and Payments into their stack. Instagram is already one of the world's biggest marketplaces. Imagine if you could buy something on Instagram, like a concert ticket, then turn around and sell it on Twitter. With Blockchain that is hypothetically possible, Ticketmaster is already one of the biggest mainstream NFT issuers. In 2022 they partnered with Polygon and put out over 70,000 Digital Collectables to Superbowl ticket owners. But I’m getting ahead of myself. 

The barrier to entry is one of the biggest things stopping people from doing self-investing, and while you should always talk to a registered and certified financial advisor to plan out your goals, allowing people to connect directly to the stock market or the Crypto market with an app they already use could open the flood gates to more people taking control of their financial future, and I think that’s a good thing. 

We’ll follow this story and see how it plays out. Until then, I’m Scott McGregor, @Scottrades on Twitter. I’ll see you in the Metaverse.