Kardashian Wipes $1.3 Billion from Snapchat Value with Single Tweet
Kylie Jenner suggests no one uses app anymore on Twitter, stocks crash
One of the Kardashians has been blamed for $1.3 billion being wiped from Snapchat's value in one day.
Kylie Jenner posted from her official Twitter account that she believes no one "opens Snapchat anymore."
The market reacted with a mass sell of Snapchat's shares causing the social media app's value to plummet on Wall Street.
Throughout trading hours, prices fell and closed 6% down on the U.S. stock market following Kylie Jenner tweet.
Snapchat’s new redesign has been controversial and has garnered a lot of negative attention recently.
The event has certainly highlighted the power and influence popular celebrities can have on the economy.
The entrepreneur and Kardashian half-sister tweeted to her 24.5 million Twitter followers on Monday, “sooo does anyone else not open Snapchat anymore? Or is it just me… ugh this is so sad.”
With over 300,000 likes and nearly 64,000 comments on her tweet, Snap shares quickly nosedived and dropped to a low of 8% down before climbing back to 6% by the end of trading hours.
Jenner later tweeted a defense of the app eleven minutes later, saying, “still love you tho snap … my first love.”
However, the damage had already been done.
Snap shares were already in decline after more than a million people signed a Change.Org petition named “Remove the new Snapchat Update” and called for the app to scrap the new design.
It states, “Many users have found that it has not made the app easier to use, but has, in fact, made many features more difficult...Many ‘new features’ are useless or defeats the original purposes Snapchat has had for the past years.”
The mounting pressure forced Snap to release a statement, which doubled down on its new look and features and can be read in full below:
"We hear you, and appreciate that you took the time to let us know how you feel.
"We completely understand the new Snapchat has felt uncomfortable for many."