"REKT" is not an official term in the financial dictionary, but a slang term in the trading community. Derived from the English word "wrecked", which means devastated, "REKT" has evolved a unique meaning in the trading world.

Take for example a trader who has just lost most or even all of their capital in the blink of an eye - that's what a "wrecked" situation looks like. The term not only describes a large financial loss, but also includes the psychological impact that comes with it. A "REKT" trader may feel devastated, lose confidence, or even be traumatized to return to the markets.

While initially popular among crypto traders known for their extreme volatility, the crypto lexicon of the term "REKT" has now made its way into the world of conventional stock trading. This shows that the risk of financial ruin can occur in any type of market, reminding traders of the importance of good risk management.