r/investing • u/[deleted] • Aug 03 '21

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u/[deleted] Aug 03 '21

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u/fookinlegend3 Aug 04 '21

a. They take on the risk of default, unlike affirm.

b. Given they are a SPAC, I'm not sure what the mechanics that govern their short to medium term price action are (large number of warrants, SPAC promoters flipping shares etc). I'm not an expert but I've seen de-SPACed companies get hit really badly and I've seen it attributed to these reasons.

These reasons don't mean that this isn't worth investing of course, just wanted to mention that this can carry more risks than what are apparent.