Twitter Banning Fake Account Impacts Share Price

[FrgMstr]

Twitter is banning fake accounts at a quick rate (70M in May and June) and it looks as though that is impacting its stock price. While that 9% decline this morning has knocked off about $3B of its valuation, you could certainly suggest it never should have been of value in the first place. So does allow fake accounts falsely prop up your share price?


(Reuters) - Shares of Twitter Inc (TWTR.N) fell 9 percent on Monday after a report said the social media company had suspended more than 70 million fake accounts in May and June, which could lead to a decline of monthly active users in the second quarter.

 

[gigaxtreme1]

Who inflates their user numbers. Moi?

 

[TrailRunner]

Even after the drop it’s still up ~50% for the year. That’s kicking the crap out of crypto.

 

[Rob94hawk]

Twitter is aids.

 

[Jagger100]

fake accounts are far greater than 70M. I'm going to guess 'fake accounts' is a way of silencing people they don't like. Probably those who they've banned already but don't want the discussion to go back to justifying the original ban.

 

[Pieter3dnow]

If they deleted all accounts how many people would sign up to Twitter again ?

 

[Conker]

Most of those fake accounts are bots used to make people artificially famous and popular. There are services out there for this kind of social engineering.