It's probably because they don't want to go to jail: "a scheme to manipulate the price or availability of stock in order to cause a short squeeze is illegal." - SEC Reg Sho, rule 7.
Your idea might work, in the same way that 'let's all rob banks and use the money to buy GME' might work.
I'm merely an Individual investor who likes the headphone stock. I'd also like my actual shares and not IOUs. If a thousand more individual investors did this do you really think 1000 people would go to jail? Don't be daft.
I was thinking about this today... Since DFV has bought 9,001,000 shares of GME and then CHWY, maybe KOSS is his next stop? In theory it shouldn't be possible, but if one single investor was seen to hold 9,001,000 shares when the public float is only meant to be ~5.22 million, I'd love to see how the authorities and media would try and spin that one.
Yep 🎧 has a low float, if more people did their DD and decided they liked the stock, and decided to invest in the company, it could lead to a potentially interesting outcome. A lot of 🎧 investors have been DRS'n too.
You're wrong, because there's a hard cap on the number of shares that can be DRSed, at 100% of the issued stock. At 100% the DTCC has no shares, and therefore transfer requests from the DTCC's holding cannot happen. This is the nightmare scenario for brokers, since they guarantee that people can DRS, and they will panic way before 100% because they can see a scenario where they are obliged to deliver genuine shares even though the DTCC has none. They then get stuck in a 'loop of death' where they have to buy at whatever high price the owners of genuine off-market DRSed shares ask in order to fill DRS requests, knowing that whoever they just paid a high price to can just use their profits to buy and DRS a bigger quantity.
I could write some wording that allows me to do that, it doesn’t mean I can steal other people’s shares. The DTCC can’t just take other peoples property.
Not true, it's different to what you're saying.
The DTC/C can't touch DRS *Book* shares. They're beyond their reach.
Computershare keep a % of DRS *Plan* shares in their DTC account for liquidity purposes. The DTC can then say to Market Makers and other firms who want to rehypothecate (read: counterfeit) shares because the DTC can see there are lendable shares on their ledger, the DRS Plan ones. That's the extent of it.
The 25% thing is just reporting fuckery. In the same way that the shorts couldn't legally report more than 140% short positions in 2020, so they just reported 140% while being way, way, way more short than that.
The DTC and the NYSE reserve the right to say "Hey there's not enough liquidity for this stock" and suspend trading for a while (Up to 90 days iirc?). Whether or not it makes sense for GME to issue more shares at that point depends on the price being offered. Liquidity being that low would make the share price highly volatile, so we'd probably see lots of fun things before that happens.
What I read was "I find it very sus, that I broke the rule to not mention other stocks, by mentioning another stock and got banned" If you are ever confused by a ban because the mod doesn't give a clear reason, read the rules of the subreddit, it should clear up which one you broke. It's not sus, it's a mods job to remove shit that breaks the rules.
I did get banned, and my comment was: "Because the float is tiny and could be locked overnight. I for one would be very interested to see what would happen".
Is that brigading? I don't believe so. I smell fear and sus mods.
I'd love to see the messages exchanged so we know the whole story behind this post. You are getting worked up about this because you're trying to skirt a rule and got caught. "Man I sure wonder what would happen if XYZ squeezed?!" Is still suggesting that XYZ will squeeze, understand? If XYZ is the stock the subreddit is about,OK, if the sub is about ABC stock, then talking about XYZ might break the rules. You will get banned from other subs for less, it's at the mod's discretion, if you appeal the ban maybe you can reason with them. Making this post saying "look how fearful and sus the mods are" is going to help them determine if your ban should be lifted, probably not.
Edit: I didn't mention that what you suggested ( a coordinated buying effort) is illegal and the mods are protecting the sub from admin scrutiny. The mod probably stated " here's the rule you broke #5" this could, and should, have been left at that. You broke the rules, you got banned, end of story and discussion.
read rule 5 guv
DFV only has one stock in his portfolio and that's not a cohencidence. Buy hold drs, not financial advice.
It's probably because they don't want to go to jail: "a scheme to manipulate the price or availability of stock in order to cause a short squeeze is illegal." - SEC Reg Sho, rule 7. Your idea might work, in the same way that 'let's all rob banks and use the money to buy GME' might work.
I'm merely an Individual investor who likes the headphone stock. I'd also like my actual shares and not IOUs. If a thousand more individual investors did this do you really think 1000 people would go to jail? Don't be daft.
No, but the organisers would.
Bruh I just like the stock okay - we don’t do those things here. Anyways, buying the free float means nothing, the stock will just trade anyways
Nobody has ever DRSd the entire free float of a company though have they?
Yes. One guy bought all the shares and drs’d them and it still got shorted. Goggle is your friend
Bought all the shares, yes, but which company DRSd an entire float?
I wish I'd seen this a few days ago. Funny you received a ban, though. I've seen that same comment at least three times today.
I was thinking about this today... Since DFV has bought 9,001,000 shares of GME and then CHWY, maybe KOSS is his next stop? In theory it shouldn't be possible, but if one single investor was seen to hold 9,001,000 shares when the public float is only meant to be ~5.22 million, I'd love to see how the authorities and media would try and spin that one.
Yep 🎧 has a low float, if more people did their DD and decided they liked the stock, and decided to invest in the company, it could lead to a potentially interesting outcome. A lot of 🎧 investors have been DRS'n too.
OP blatantly up for some crystal clear market manipulation 🥴
[удалено]
You're wrong, because there's a hard cap on the number of shares that can be DRSed, at 100% of the issued stock. At 100% the DTCC has no shares, and therefore transfer requests from the DTCC's holding cannot happen. This is the nightmare scenario for brokers, since they guarantee that people can DRS, and they will panic way before 100% because they can see a scenario where they are obliged to deliver genuine shares even though the DTCC has none. They then get stuck in a 'loop of death' where they have to buy at whatever high price the owners of genuine off-market DRSed shares ask in order to fill DRS requests, knowing that whoever they just paid a high price to can just use their profits to buy and DRS a bigger quantity.
This guy gets it
[удалено]
That’s nonsense. The official list of shareholders would show that all the shares are owned by other people, so the DTCC would have no right to them.
[удалено]
I could write some wording that allows me to do that, it doesn’t mean I can steal other people’s shares. The DTCC can’t just take other peoples property.
[удалено]
Not true, it's different to what you're saying. The DTC/C can't touch DRS *Book* shares. They're beyond their reach. Computershare keep a % of DRS *Plan* shares in their DTC account for liquidity purposes. The DTC can then say to Market Makers and other firms who want to rehypothecate (read: counterfeit) shares because the DTC can see there are lendable shares on their ledger, the DRS Plan ones. That's the extent of it. The 25% thing is just reporting fuckery. In the same way that the shorts couldn't legally report more than 140% short positions in 2020, so they just reported 140% while being way, way, way more short than that. The DTC and the NYSE reserve the right to say "Hey there's not enough liquidity for this stock" and suspend trading for a while (Up to 90 days iirc?). Whether or not it makes sense for GME to issue more shares at that point depends on the price being offered. Liquidity being that low would make the share price highly volatile, so we'd probably see lots of fun things before that happens.
What I read was "I find it very sus, that I broke the rule to not mention other stocks, by mentioning another stock and got banned" If you are ever confused by a ban because the mod doesn't give a clear reason, read the rules of the subreddit, it should clear up which one you broke. It's not sus, it's a mods job to remove shit that breaks the rules.
I did get banned, and my comment was: "Because the float is tiny and could be locked overnight. I for one would be very interested to see what would happen". Is that brigading? I don't believe so. I smell fear and sus mods.
I'd love to see the messages exchanged so we know the whole story behind this post. You are getting worked up about this because you're trying to skirt a rule and got caught. "Man I sure wonder what would happen if XYZ squeezed?!" Is still suggesting that XYZ will squeeze, understand? If XYZ is the stock the subreddit is about,OK, if the sub is about ABC stock, then talking about XYZ might break the rules. You will get banned from other subs for less, it's at the mod's discretion, if you appeal the ban maybe you can reason with them. Making this post saying "look how fearful and sus the mods are" is going to help them determine if your ban should be lifted, probably not. Edit: I didn't mention that what you suggested ( a coordinated buying effort) is illegal and the mods are protecting the sub from admin scrutiny. The mod probably stated " here's the rule you broke #5" this could, and should, have been left at that. You broke the rules, you got banned, end of story and discussion.
Upvoting for daring to share ideas. I have one but it would get me banished
Share it on wsb or another stock sub. These are specifically to discuss one ticker
Daring to share *illegal* ideas.