More trouble for JP Morgan and Goldman Sachs as the Facebook scam unravels.

For those of you who bought into the hype around Facebook going public I have only to say one word: Bubble!

That is what banks do and that is what they have done again and after the dotcom bubble collapse the housing bubble you should have known better.

A social network platform is a place were people gather to exchange trivial, not so trivial and down right important information and not a place were you can shovel endless amounts of crappy ads on. In fact as soon as I get “friends sending me ads their binned and I suspect I’m not alone. Zuckerman may have build a great site and revolutionised social networking but if he so much as thinks about charging it’s users there are plenty of competitors to take over.

So when JP Morgan and Goldman Sachs announced they were going to take Facebook to a whole new level you should have been a bit  more than just all out paranoid. You should have smelled a bubble from a mile away.

Never the less millions of people bought the hype and spend ridiculous amounts of money ($ 38) per share only to find them devalue faster than a facebook entry can be posted.

Now it turns out that both Goldman Sachs, JP Morgan and the “Zuck” may have been scamming the process and some of the investors have taken issue with that.

It spells big trouble for the already beleaguered banks and their CEO’s

 

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