Optimal Finance Daily - Financial Independence and Money Advice 3408: Trading Games by Nick Maggiulli of Of Dollars and Data on Smart Trading Strategy
Jan 2, 2026
Explore the cautionary tale of Atlas Trading, embroiled in a $100 million scheme that highlights the dangers of quick profits. Learn about the reckless bravado of ringleader Zach Morris and how extreme risks often lead to catastrophic outcomes. Delve into contrasting stories of legal risk-takers and the quiet professionals who build wealth without headlines. Discover practical financial rules that promote integrity over manipulation, and why a passive investing approach may be the path to steady success.
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Atlas Trading Pump-and-Dump Story
- Atlas Trading influencers ran a coordinated pump-and-dump that earned about $100 million by promoting stocks to followers and selling into the demand they created.
- Zach Morris and others publicly joked about getting caught, and those taunts now worsen their legal exposure.
Never Trade Using Followers As Exit Liquidity
- Don't use your followers as exit liquidity or entice them to copy your trades; those are explicit red flags for market manipulation.
- Avoid collusion, private signaling, and lying about positions to prevent legal and ethical disaster.
Avoid Cockiness And Public Bragging
- Don't get cocky or flaunt ill-gotten gains online because public arrogance becomes evidence in regulatory actions.
- Treat public statements as permanent and avoid joking about illegal behavior or regulatory scrutiny.