No, there was no “reality” here

It was a pump and dump. Even if it wasn’t intended to be, which is doubtful, as soon as it got momentum with no clear mapping to material value it became a race to pump it before it dropped.

And that’s a safe move for HFTs and large institutions because they can exit their positions before retail sees the notification that the price crashed several minutes later.

But the idea that a company liquidated everything to buy probably 500-1000 low to mid level AI GPUs would make them a competitive infrastructure service is laughable.

Prices are at their highest, the hardware will depreciate very fast on this because Nvidia has already sold their next gen capacity, it’s the wrong point in the cycle to buy, and they have no expertise here at all. Even as a show company they used entirely hosted IT services. They probably don’t even have real estate to house their DC of they ever do get built.

The whole pitch was bad.