50 Cent Uses Twitter To Make $8.7 Million In One Day

29 replies
You guys may of already heard or seen this but I thought I would share it anyway just in case you didn't.

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.

Jay-Z, another one of hip-hop's most successful entrepreneurs, also revealed new business venture this week. The "Empire State Of Mind" rapper invested in Buffalo Boss, a chicken-wing restaurant co-owned by his cousin, Jamar White. Located in Brooklyn, the eatery specializes in the organic and spicy appetizers.

http://a323.yahoofs.com/ymg/vivanash...EDToDf7h5mNews wasn't so good this week in several other music related news stories. After a six day pretrial hearing, a Los Angeles Superior judge has determined that Michael Jackson's cardiologist Conrad Murray will stand trial for involuntary manslaughter. Rockers Drowning Pool insisted upon clearing the air about their song "Bodies" and its connection to Arizona shooting suspect Jared Loughner who featured the track on his YouTube channel. The video used their song as the background music for an unpatriotic act. And the excitement over Britney Spear's return was nearly eclipsed by accusations that her new song borrowed, without permission, lyrics from a 1979 country song.

Wow. We must say, this is, hands down, the most impactful week in music all year. Let's hope new week will be able to live up to the hype. See you then.

Source:
Jan. 10-16: 50 Cent Uses Twitter To Make $8.7 Million In One Day - That's Really Week
#$87 #cent #day #make #million #twitter
  • Profile picture of the author Highkick
    Legend! Say what will about 50. The man is money making magnet!
    {{ DiscussionBoard.errors[3192181].message }}
  • Profile picture of the author KirkMcD
    And he may also be investigated by the SEC for stock price manipulation:
    Rapper 50 Cent may have momentarily gotten $8.7 million richer after encouraging his Twitter followers to invest in a money-losing penny stock, but now the hip hopper may be in big trouble with the Security Exchange Commission.
    50 Cent could face SEC investigation for tweeting stock advice, expert says « Entertainment
    {{ DiscussionBoard.errors[3197458].message }}
    • Profile picture of the author scott g
      Originally Posted by KirkMcD View Post

      And he may also be investigated by the SEC for stock price manipulation:

      50 Cent could face SEC investigation for tweeting stock advice, expert says « Entertainment

      But they won't. All he did was give an opinion/advice. His words just hold more weight than most He could have simply said buy "XXXX new CD!" And his followers would have.

      Very interesting post OP - Now that's a MONEY find :p

      CHEERS!
      Signature
      scott g
      "Whatever the mind can conceive and believe, the mind can achieve."

      {{ DiscussionBoard.errors[3198337].message }}
  • Profile picture of the author Jamaican2011
    Can they actually charge for that !!!
    {{ DiscussionBoard.errors[3198257].message }}
  • Profile picture of the author marigot
    He only violates insider trading laws if he sells the stocks and profits. If the stocks dump tomorrow, he has nothing. If he did not sell any stock, his "profits" are only on paper and not worth much in the event of a downswing.

    Personally, I do not know why people can't say whether they like a stock or not, assuming they do not have the intent of selling it.

    But where I think it might get tricky is ... how long does he have to hold the stock without investigation? For example, if the stock maintains its price and next month he sells... is that considered legitimate?

    And the other question I have is what is the difference between a sales agent or investment house taking their commissions for promoting one stock over another?

    Really interesting story, though, as it shows the power of Twitter.
    {{ DiscussionBoard.errors[3198299].message }}
    • Profile picture of the author Ryan Sorensen
      I don't know if he learned business from hustling on the streets, but that fool should write a book and call it "Turn 50c into $500 Million, The True Player's Guide to Wealth".

      I'd buy it
      Signature
      Sell your web-based business for the best price in the shortest amount of time through an experience broker. Reasonable rates, no upfront fees, and no risk to list at AcquisitionStation.com.
      {{ DiscussionBoard.errors[3198340].message }}
      • Profile picture of the author scott g
        Originally Posted by The Exciting Life View Post

        I don't know if he learned business from hustling on the streets, but that fool should write a book and call it "Turn 50c into $500 Million, The True Player's Guide to Wealth".

        I'd buy it

        The first half of the book would be about "how to sling crack rock!" Lol! Just watch the movie :p
        Signature
        scott g
        "Whatever the mind can conceive and believe, the mind can achieve."

        {{ DiscussionBoard.errors[3198363].message }}
      • Profile picture of the author 100Bandz
        Originally Posted by The Exciting Life View Post

        I don't know if he learned business from hustling on the streets, but that fool should write a book and call it "Turn 50c into $500 Million, The True Player's Guide to Wealth".

        I'd buy it
        He has a book written with Robert Greene,

        It's called 50th law of power.
        {{ DiscussionBoard.errors[3198472].message }}
      • Profile picture of the author stormdore
        Originally Posted by The Exciting Life View Post

        I don't know if he learned business from hustling on the streets, but that fool should write a book and call it "Turn 50c into $500 Million, The True Player's Guide to Wealth".

        I'd buy it
        LOL.... Love it!!! (And I'd buy it too )

        Terri
        {{ DiscussionBoard.errors[3212421].message }}
    • Profile picture of the author bgmacaw
      50 Cent needs to talk to Martha Stewart and Wesley Snipes about what happens when you're celebrity and provoke the Federal leviathan.
      {{ DiscussionBoard.errors[3198457].message }}
    • Profile picture of the author Sam Fitz
      Originally Posted by marigot View Post


      But where I think it might get tricky is ... how long does he have to hold the stock without investigation? For example, if the stock maintains its price and next month he sells... is that considered legitimate?
      Interesting story and good summary. And good point - I too am curious where the line is drawn. I don't see him selling all of it, but I also don't see him keeping all of it for more than a few months. It will be interesting to see how it pans out.
      Signature
      MARCH MADNESS - HIGH QUALITY BACKLINK EXPLOSION!
      Launched: Friday, March 1, 2013 @ 3:00 PM PST
      Explode your traffic, explode your income!
      78% off this BRAND NEW, SERPs-ENHANCING WSO
      only for a limited time!
      {{ DiscussionBoard.errors[3200410].message }}
      • Profile picture of the author FriendlyRob
        If this was a stock that he owned, but did not disclose that he owned the stock, then he likely committed a crime.
        Signature

        See What I'm up to Now The New Blog

        {{ DiscussionBoard.errors[3200801].message }}
        • Profile picture of the author Roell
          50 cent is a businessman first..rapper/actor second.

          He is a hustler at heart. If you need some good lulz check out his twitter account. During the most recent storm on the east coast he actually assembled a crew of neighborhood kids and started shovelling driveways with them.
          He is simply using whatever tools are available to him to convert into $

          I admire because he came up from the streets of Queens, from a broken family, surrounded by violence and negativity but refused to settle. He kept his focus clear and refused to quit until his target was acquired.
          {{ DiscussionBoard.errors[3201298].message }}
          • Profile picture of the author jasonsluck
            I was just thinking. If someone has the funds, they could probably find an upcoming "internet star" and form a joint venture or pay them to do something similar. I will explain. Instead of having the person promote a stock, they could promote a site with a content locker, or promote a clickbank or cpa offer.
            {{ DiscussionBoard.errors[3211619].message }}
  • Profile picture of the author stanislavlem
    Nice post...
    {{ DiscussionBoard.errors[3198355].message }}
  • Profile picture of the author sweetgal
    Banned
    [DELETED]
    {{ DiscussionBoard.errors[3198375].message }}
    • Haha, thanks for sharing, gotta love 50's creativity to make money. Saw the other news about him, how he'd shovel snow for others and have them pay $100 for taking a pic? Awesome.

      @sweetgal: You gotta keep in mind that those "gurus" don't even have as many followers as 50 got, they're also not as widely known as he is. You're comparing apples with oranges.
      Signature
      [ENDORSED BY LMC]
      Stop Building Backlinks The OLD Way, Use >THIS< Instead!


      >Let Me Build HIGH QUALITY Backlinks For You!<
      {{ DiscussionBoard.errors[3198410].message }}
  • Profile picture of the author GarrieWilson
    It was also an FTC violation. He didn't have disclaimers about results. e.g. Double your money.

    -g
    Signature
    Screw You, NameCheap!
    $1 Off NameSilo Domain Coupons:

    SAVEABUCKDOMAINS & DOLLARDOMAINSAVINGS
    {{ DiscussionBoard.errors[3198474].message }}
  • Profile picture of the author Apollo-Articles
    Excellent post, I was thinking $8.7 million was alot of itunes downloads!

    Sam

    Apollo Articles
    {{ DiscussionBoard.errors[3198516].message }}
    • Profile picture of the author BloggingPro
      Originally Posted by Apollo-Articles View Post

      Excellent post, I was thinking $8.7 million was alot of itunes downloads!

      Sam

      Apollo Articles
      LOL I was thinking the same thing.

      I don't think he's going to like what the SEC has to say about this. Yes its damn genius he can mention something on his twitter account and make some cash, but at the end of the day it could prove to be a mistake because of stock trading rules.
      Signature
      You're going to fail. If you're afraid of failure then you do not belong in the Internet Marketing Business. Period.
      {{ DiscussionBoard.errors[3198641].message }}
  • So I guess that means we can't drive traffic to a company that we invest in, huh?
    {{ DiscussionBoard.errors[3198607].message }}
  • Profile picture of the author E. Brian Rose
    This isn't necessarily insider trading. Just because you own stock in a particular company does not mean that you cannot give advice on it. If that were the case, then anybody on CNBC or Bloomberg would be prohibited from having a 401k.
    Signature

    Founder of JVZoo. All around good guy :)

    {{ DiscussionBoard.errors[3198671].message }}
  • Profile picture of the author JonAlfredsson
    Thanks for sharing. I totally agree. Although it’s social media and is a way of promoting your business, he clearly used it on a different nature. Well, let’s wait for the development of this case.
    Signature

    {{ DiscussionBoard.errors[3200364].message }}
  • Profile picture of the author shizah
    I'm really surprised more celebrities/well known people aren't doing what 50c did with Twitter and promote stocks that they own.

    Probably some SEC Reg that we don't know about and why they aren't doing it. If not, then 50c is brilliant!
    {{ DiscussionBoard.errors[3211686].message }}
  • Profile picture of the author turkdawg
    that's a VERY smart move on his behalf! & VERY strategic i must say!
    {{ DiscussionBoard.errors[3211716].message }}
  • Profile picture of the author garyv
    I'm willing to bet that a crime was committed here, but the FTC will have to work to make the connection. This type of scheme has been going on for quite some time, and it's perpetrated in many different ways.

    Microcap stock fraud - Wikipedia, the free encyclopedia
    {{ DiscussionBoard.errors[3212203].message }}
  • Profile picture of the author stormdore
    slrmarketing - I don't usually cause controversy... I'm a pretty laid back person, but that is absolutely unnecessary and offensive. Please remove your post.

    Terri
    {{ DiscussionBoard.errors[3212428].message }}
  • Profile picture of the author Dwight Anthony
    Sounds like a borderline pump and dump. Imagine having a list that big that was as responsive as that? You wouldn't have to do anything else but promote anything you wanted.
    {{ DiscussionBoard.errors[3212434].message }}
  • Profile picture of the author jasonsluck
    On another note, this case study could serve as an example of what we marketers can do. We can set up a joint venture with a semi-celeb, etc, depending on your connections and do something legal and big.
    {{ DiscussionBoard.errors[3290040].message }}
  • Profile picture of the author DylanJames
    This is a tricky one. He didn't violate any of the FINRA laws since he didn't charge for the advice. He was just making a suggestion. He didn't sell the stock, but he might have problems when he does. One thing I do know is that it is completely against the law, ex-drug dealing rapper or not, to say "you can double your money" or any indication of or implication of returns that are not guaranteed. If a stockbroker did that he'd be out of a job and possibly in cuffs in a matter of hours.
    {{ DiscussionBoard.errors[3290067].message }}

Trending Topics