Wirecard (WDI:DE), an insolvent Fintech that is in the process of being sliced and diced and sold piecemeal, saw its shares jump by over 100% today. Yesterday, Wirecard was bouncing around at €0.30. Today, Wirecard experienced a significant jump in volume while rising in price at one point to €1.84. That’s some pretty outlandish pin-action for the failed firm.
Currently, shares are trading around one euro with trading volume of over 70 million. As far as we can see, there is little news to be driving shares higher.
On eToro, shares in Wirecard earned a spot in the top ten “instruments” available to trade in regards to change in trading volume.
Beyond being called the “scandal of the year in Germany” it appears that Wirecard could be experiencing a bit of a pump that may be followed by a dump. Who knows.
Meanwhile, the entire debacle continues to vex German regulators and policymakers who have passed tougher compliance requirements to avoid another Wirecard.
According to Reuters, new rules enable BaFin to announce publicly at an earlier stage of an investigation into a regulated entity. Additionally, auditors will have more independence from a client firm. They may also be held liable if they miss critical information similar to what was apparently ignored in the failed Fintech.