Germany: Wirecard shares more volatile than cryptocurrencies

You don’t have to be an investor friend to find out what happened to this stock. Almost all media, especially in Germany, have reported about it. The brutal crash of the Wirecard share from June 18. That day, she experienced a shock fall of around 70% at the top.The next few days she staggered and finally dropped yesterday by a further 50%, a total of around 86% for the week. Such price fluctuations are rare even with cryptocurrencies.

 

What happened?

The debacle actually started in early 2019. In January of this year, the Financial Times published an article accusing Wirecard of falsifying documents, customers and sales at its Singapore office. A few days later, a second incriminating article came from the magazine, showing a document that allegedly demonstrates crime on a large scale. In another article on Wirecard, the Financial Times showed how the company is said to have systematically built a fraud model over time.The share price plummeted and fell from around $ 150 / share to below $ 100. Although the police subsequently examined the office space in Singapore, nothing further came to light. In mid-February 2019, Bafin issued a ban on shortening the Wirecard share or speculating on falling prices. It is so far unique in German history that such a decree was applied to a single company.