Is HedgeStreet closing shop?
Yesterday, I re-published on Midas Oracle the e-mail sent to the HedgeStreet traders and prospects. (Curiously, this e-mail was not sent to me, even though I am in their listing.) They wrote that their overhauling would lead them to propose soon “-new and exciting products”-. Well, I found that interesting.
However, today, one of my Deep Throats ( ) is telling me that it is all bullshit, actually.
- They are packaging HedgeStreet for a closing/fire-sale. Everyone is leaving, and only a skeleton crew is left.
- The CFTC has minimum capital requirements, which HedgeStreet is not able to sustain. They were burning $1m a month on 5k-10k of revenue, then tightening and tightening…- There’-s just no money left.
- UPDATE: Russell Andersson was laid off about 3 months ago. VP of finance leaving, VP of compliance leaving, etc. It is falling apart.
We will see.