There are a lot of losers in the sorry tale of Luckin Coffee, which, it turns out, will not be the next Starbucks. Led by Andrew Left, there are a bevy of big-name hedge funds nursing their coffee, among them Lone Pine Capital, Horseman Capital and RenTech. But the biggest loser, aside from any now-former Luckin execs who may or may not find themselves in a Chinese prison at some point, appears to be a 28-year-old Italian trader with the unfortunate nom de Reddit of StopFapForever, who is sitting on a 95.25% loss on Luckin, turning what had been €235,000 into €11,000.
He apparently he went all-in on Luckin and lost his entire life savings in the process. “Now I’m broke af,” he wrote, posting this screenshot of the carnage….
When pressed by the mob as to why he would take sink all that cash into such an obviously sketchy position back in January, StopFapForever, who says he still runs two business that should allow him recoup the losses within a few years, did his best to explain.
“It was before corona, lockdown and fraud,” he said. “Nobody knew back then. It went from 17 to 51 in 2 months from Nov to Jan. Could have just kept going instead of explode.”
After getting hammered overnight, he shared the expensive lesson he learned. “I’m gonna just invest in ETFs, gold and bonds for the rest of my hopefully long but quite useless life,” he said.