50 Cent Uses Twitter To Make $8.7 Million In One Day
Rappers have been known to influence interest in fashion trends, alcohol brands, and luxury automobiles. This week hip-hop mogul 50 Cent added the stock exchange to the list.
In just one day, 50 Cent’s promotion of the publicly traded H&H Imports, Inc. raised the company’s stock price from .10 to .39 per share.
The G-Unit head urged his 3.8 million Twitter followers to invest in the company. “TVG’s stock went from 5 cent to 10 in one day,” 50 wrote about the subsidiary of H&H. “You can double your money right now. Just get what you can afford.”
50’s fans responded immediately, purchasing $50 million worth of the penny stocks. The New York rapper made $8.7 million from those exchanges.
Last October, 50 Cent received 30 million H&H shares in a private placement, the New York Post reported. Just days before encouraging his followers to purchase the stock, he premiered a joint effort with TV Goods, Inc., a set of headphones called Sleek By 50.
Using his influence to generate so much activity for a company in which he owned stock prompted some experts to speculate whether or not he may have violated insider trader laws.
Jonathan Macey, a professor of securities at Yale Law School, does not believe 50 Cent did anything wrong. “How can they call it a take if he didn’t sell his stock?” Macey said in an interview with Esquire. “All he said was that it’s a great company.”
Let’s hope Macey is right. But to be safe, 50 has since deleted from his Twitter page all of the messages.