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Bagholders Wanted In Golden Edge Entertainment Inc (OTCMKTS:GDEE)

Bagholders Wanted In Golden Edge Entertainment Inc (OTCMKTS:GDEE)
Written by
Alex Carlson
Published on
July 13, 2016
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Golden Edge Entertainment Inc (OTCMKTS:GDEE) is one of the more blatant promotions we've seen on the OTC Markets in quite a while. Their PRs are nothing but fluff, yet their stock price keeps climbing. We have seen this before and know that it never ends well. Today's buyers and holders will end up holding the bag while the promoters get rich.However, keep in mind that we're not saying to trade GDEE. There's a lot of money to be made getting in and out of promotions. Traders need to keep in mind that they can make money from both the long and the short side. This is where smart penny stock investors get rich. Never fall in love with a story!Golden Edge is one of the more infamous promotions. The company made waves last August when it was first promoted by Elite. For those that are not familiar with Elite, they were the most powerful newsletter group on the OTC markets. Their websites included finestpennystocks.com, smartstockchoices.com, smartstockwinners.com, BestAmericanStocks.com, and many others. What made Elite so powerful is that they had a massive database of names and followers. They even have other newsletters following their picks and then trying to pass off Elite picks as their own. Elite would blast their list several times a day trying to get as many buyers into their stocks as possible.Unfortunately, Elite has left a trail of victims that only the Wolf of Wall Street can admire. Their last picks have been Broke Out Inc (OTCMKTS:BRKO), Cloudweb Inc (OTCMKTS:CLOW), AgriEuro Corp (OTCMKTS:EURI), America Resources Exploration (OTCMKTS:AREN), and Midwest Oil & Gas Inc (OTCMKTS:MWGO). Here’s a quick recap. BRKO got halted. EURI, AREN, CLOW and MWOG all left investors holding the bag.What's amazing about GDEE is that all of its PRs are centered around a business that it JUST started. In the company's 8-K filed on June 22, it said:

The Company incorporated Big Data Media LLC as a wholly-owned subsidiary in the state of Delaware. The Company intends for Big Data Media LLC to provide digital media streaming. Big Data Media plans to begin broadcasting by streaming events that focus on education, entertainment and branding. The company will implement technology through in-house development, external acquisitions, and strategic partnerships.

The latest PR from the company is that they are now launching live streaming. The PR said:

Backed by television broadcast professionals, Big Data Media Streaming Service provides all the technical components needed for live and pre-recorded video streaming on a global scale. Services include equipment setup, cameras, lighting, encoding and data connections for live Internet broadcasting.

Notice the PR said nothing about who will be using their services. It made no mention of revenues or revenue potential. However, the company did try and tie in Amazon and Apple by saying:

The BDM live streaming ecosystem implemented a cloud application model, which utilizes the Amazon Elastic Computer Cloud (Amazon EC2). The service is well suited to the changing technology requirements of a growing live streaming service. EC2 allows for the monitoring and immediate reaction to usage spikes through scalable database, caching, data-warehousing, transcoding, storage, and backup. The BDM streaming solution provides support for up to 4K-resolution content with the latest codecs and formats. The system allows a high level of transcoding with transizing in conjunction with trans-rating to provide various sizing and bitrate options to the end user. The system can deliver content to the broadest range of player technologies and screens, including Adobe® Flash® Player; Microsoft® Silverlight® player; Apple® iPhone®, iPad®, iPod touch®, and QuickTime® player; Android™smartphones and tablets; a variety of smartTVs; and IPTV/OTT set-top boxes.

Currently trading with a whopping $49 million market cap, GDEE posted in the latest quarter ZERO revenues, a loss of $26000, ZERO cash, $7000 in total assets, and $91000 in total liabilities. Does this look like a company that's worth $50 million? We don't think so. Don't get left holding the bag! We will be updating Insider Financial as soon as we know more. For continuing coverage on GDEE and to get our latest alerts, sign up for our free newsletter today and get our eBook as an added bonus!Disclosure: We have no position in GDEE and have not been compensated for this article.

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