Before the entire Nasdaq stock market crash, it was an unprecedented period of prosperity for the new Internet economy.
It has been seven years since the World Wide Web was first born into this world. During these seven years, the Internet has fascinated countless young people around the world with its instant global information, e-commerce, two-way communication, and vast content. It has grown rapidly, brought about various new business models that were previously impossible in the traditional world, and attracted investments from countless venture funds.
The gold rush atmosphere of the "new economy" inevitably attracted capital competition, and the resulting extravagant spending has become a phenomenon that many other industries in the world can hardly match.
The companies that received financial funds spent lavishly, developing a large number of commercial facilities in one go, providing luxurious vacations for employees, and granting stock options to senior executives. When the company went public, they immediately became millionaires, tens of millions, or even billionaires, purchasing luxury yachts, villas, and estates, and then investing this wealth in more Internet companies.
Almost all cities in the United States are playing the Internet promotion card, such as building cultural circles and commercial areas that fit the Internet image to attract Internet entrepreneurs. Not only the United States, but all countries have similar initiatives, seeking to become the "next Silicon Valley" or "Silicon Valley of their own country."
However, few people see that behind this prosperity is actually the irrational pursuit of huge American financial capital. When something becomes a craze, a large amount of money is invested in it. The snowballing capital expansion has made the entire market lose its sense of crisis, or always feel that it is not the last snowflake in the avalanche.
Under such irrational circumstances, most investors use high leverage to invest, that is, they borrow a large amount of money from securities companies to buy stocks. In this way, as soon as there is a slight decline, the securities companies will force them to cut their losses in exchange for enough cash to repay.
If we look at the Nasdaq in 2000 again, we will find that it is actually a powder keg. The only difference lies in when the match will be thrown.
Ironically, these truths, which had already been raised at the time, were drowned out by the hype of "great analysts" on Wall Street who asserted that the Nasdaq would exceed 6,000 points.
The truth lies in the hands of a few people. To put it another way, it may be that in the face of greedy human nature, only a few people can exercise restraint and reflect.
March 7, 2000.
Dow Jones Index 10,229.14
The Nasdaq index closed at 5,006.78, breaking the 5,000 point mark.
This is undoubtedly a window of time. Blue Dot went public with wind and rain, and it was late at night in China, across the ocean.
Deng Yu, Liao Miao, Jiang Ling, Kang Ming and others were all in the Tianxing Dao Pavilion at this time, planning to stay up all night.
Cheng Ran did some exercises at home, but finally gave up. He wanted to pretend to be calm like Xie An when he crossed the Fei River, but in fact, he could not really calm down.
Because even though I know this history, I still have the feeling that I am part of it, which is a unique state of mind.
Cheng Ran remembers an American TV series that left a deep impression on him. The protagonist was a child who traveled through various important periods in American history and witnessed celebrities of the time. His participation led to famous events in the world, such as a war, the birth of a famous book, and the eternal love and hate between celebrities... Although I can't remember the name, I was fascinated by it at the time, and I felt like I was wandering in history with the protagonist...
It's like breathing with the world.
Now on the computer screen and even in the eyes of all those who are looking at the stock curve chart of Blue Dot with the US code "ANDL", the opening price of Blue Dot's stock is $2.
In the U.S. third board market, many companies have stopped trading and liquidity is very poor. If it were not for the Internet boom, no large institutions would have been interested here because they look down on such places. If companies listed on the main board buy stocks on the third board, it will immediately affect investors' perceptions, making them believe that the company's performance is poor and that it has come to this "refugee shelter."
The prosperity of the Internet has created the same level of heat in the third board market today. Most of the funds and large investment institutions that used to look down on this area have actually transferred some of their resources and enthusiasm from the Nasdaq market, where they had no place to go, to the related technology companies on the third board.
The average share price of companies in the OTC market was only $0.09, and many of them were priced at less than $1. Blue Dot’s opening price of $6 was considered very high.
Computers refreshed, stock prices soared.
$7.
Cheng Ran rubbed his eyes and decided to take a nap.
Soon the phone rang. When I picked it up, it was Zhao Qing's voice, "It's above $9."
I believe that at this moment, the eyes of everyone in Blue Dot Technology at Tianxing Gym would pop out of their heads.
Before 1999, the US regulatory authorities’ requirements for information disclosure in the OTCBB market were almost a “relaxed horse” period, and listed companies did not need to disclose any information at all to trade in the market. After 1999, the information disclosure rules came into effect, requiring listed companies to submit quarterly and annual financial reports. It is precisely because of this rule that companies in the third board market at this time that can be supported by complete and beautiful financial reports will also receive great support in disguise. Therefore, Blue Dot Technology’s actions and orders in China are all operations that Cheng Ran has tried every means to put into the shell.
All these previous actions came in handy at this time.
For emerging technology stocks with impressive performance and development potential, even in a "slum" like the OTC market, do you dare to say that they will not be the next Microsoft that emerged from there
No one expected that the chief director of this capital drama was hiding in an ordinary residential building in Chengdu, watching the fire from the other side of the river.
With every refresh, Blue Dot’s stock price soars.
$9, $12, $16, $19.
When Zhao Qing called, he could be heard breathing heavily on the other end of the line, "22 dollars!"
Yes, all the preliminary preparations have been done, and Cheng Ran has done everything he can. Now in Rongcheng, he can do nothing except wait like everyone else.
After breaking through the $22 limit, it did not stop and the blue dot continued to move upward.
25, 28…
30!
When this number finally stopped at the closing price, in the office of Tianxing Dojo late at night, a group of young people stood up from the table, first hugged each other, hugged each other deeply, then high-fived each other, and hugged each other and rubbed each other's heads.
From $6 to $30, it means that Blue Dot’s stock price skyrocketed 500% in just one day!
Bluedot's market value increased overnight.
Dollar!
Like all things that will remain in legends, these people in Blue Dot are young people who are full of youth and enthusiasm...
Overnight, he became a billionaire.