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Let's get -- that flash crash caused by a fake tweet sent after the Associated Press Twitter account was hacked.
Twitter is now working on what they call a two step security solution to help reduce incidence of hacking but let me backtrack a little here's what happened.
The tweet said there was an explosion at the White House computers programmed to read news bulletins so all the words explosion.
White House that would keep -- read those woods.
That triggered instant selling now I think it was a 147 points down and a couple of minutes.
Chris Jessie is -- he's the CEO of -- back so hook he knows what he's talking about was social media.
I gotta tell you Chris I found that ridiculous it I think it was repeats its exasperated.
It is exasperating it's disconcerting and frankly.
You mentioned that algorithms are attached to the activity in the continent it's happening on Twitter I think that this is a huge mistake we're learning a very big lesson.
The past few weeks within social media.
Have been a coming of age if you will for social media whereas a couple years ago.
It almost seemed like a tinker -- but we now we're realize -- lost in bombings and how we had this flash crash.
And we're learning is social -- much more powerful than perhaps he's really previously indicated I've been quoted as saying.
And is a little out there but I said that social -- much more spiritual awakening rather than a technological one meaning it's visceral.
It happens instantaneously when you're getting people tweeting its tweeting exactly what they're thinking there's no filter people are not cure reading the content that they're posting.
And certainly we shouldn't have algorithms.
Behind listens to this kinda.
The problem is actually swing markets it's it's usually probably rhythm is the problem if that misinterpreting.
A fake tweet.
And you lose a 150 billion dollars now what can do about that change down over the you could certainly change the -- -- I don't think the algorithm should be attached to Twitter all listen I think Twitter is an interest in new source I think you're getting recent C.
You're getting frequency you're getting the different demographics that the news is coming through Britain kill.
Twitter implements simple.
Two factor security -- -- set ups that FaceBook has two factor security set -- and -- not having it.
But but it would have it easy way to.
Or is it the Associated Press you know it's perhaps it's a little bit of both right that you can you can't.
Take you can't tell a computer driven program and say ignore all -- -- -- press ignore news you can.
Do that can't do that's of this is why we need to have stop gaps in place this is why we need to have process flu and has the -- -- bands I believe there are numerous youth groups that are implicated in this.
It's Twitter on one and it's anybody that's making.
Any sort of major trading based on an algorithm based on information out where the reason why they're doing it.
It because they realize the Twitter indicates sentiment.
Right you could see if people are skittish at sea of people happy could see if people are upset.
And their statistics I mean there's certain times of -- certain tough points during the week where people are certain words are being posted more often people are saying you know happy things and wow this is great and wonderful.
And then as the markets dip and people tweeting different types of content that's work it's all want to -- you say these computer driven programs operated by the big investment is now.
Take them off.
Don't relate and that's what they've done that I I think it's it's it needs to be examined it definitely needs to be examined because it's so visceral and it's so guttural and things that are happening -- an instant.
If something's -- god forbid there's another terrorist attack in god forbid tweets that are happening -- Twitter posting negative commentary and perhaps it's near major financial sector do we really want that to immediately affect what's happening with the with in the stock market that we will don't want it but it will it will be willing to -- no retreat we asked me to -- I said at the beginning -- I was exasperated off on this ridiculous -- -- -- -- on the other side of the Cohen is.
You gotta live with this you can't just get rid of social media.
As a force in the financial market you can't do that whether you like it or not social meeting is happening to you to me this cultural shift.
This is not just the technological -- this is why go big and I say.
This is more spiritual awakening this is us connecting its human beings whether it be Twitter whether -- FaceBook -- -- interest instead Graham what Everett is.
This is us connecting on connecting dots on a different level by this technology it needs to be paid.
Very close attention to it but it's still people like me for example who will -- You know.
I'm not so sure -- like I'm necessarily I don't to show I'm gonna invest in that -- right right might lead to the big guys it yet.
Chris I'm out of time without it this is a fascinating subject if it really is combatants is against him thanks so much -- -- -- --
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