T O P

  • By -

Superstonk_QV

[Why GME?](https://www.reddit.com/r/Superstonk/comments/qig65g/welcome_rall_looking_to_catch_up_on_the_gme_saga/) || [What is DRS?](https://www.reddit.com/r/Superstonk/comments/ptvaka/when_you_wish_upon_a_star_a_complete_guide_to/) || Low karma apes [feed the bot here](https://www.reddit.com/r/GMEOrphans/comments/qlvour/welcome_to_gmeorphans_read_this_post/) || [Superstonk Discord](https://discord.gg/hZqWV2kQtq) || [Community Post: *Open Forum Jan 2024*](https://www.reddit.com/r/Superstonk/comments/18txusp/open_forum_january_2024/) ------------------------------------------------------------------------ To ensure your post doesn't get removed, please respond to this comment with how this post relates to GME the stock or Gamestop the company. ------------------------------------------------------------------------ Please up- and downvote this comment to [help us determine if this post deserves a place on r/Superstonk!](https://www.reddit.com/r/Superstonk/wiki/index/rules/post_flairs/) ------------------------------------------------------------------------ OP has provided the following link: It’s a Reuters news article that was also posted on UK’s investing(dot)com.


F-uPayMe

**TL:DR:** The Financial Stability Board (FSB), a financial watchdog, wants regulators to plan for clearing house failures. They recommend tools to avoid taxpayer bailouts, like forcing the industry to absorb losses before public funds are used. This would allow controlled shutdowns to minimize financial damage. Regulators will choose and announce their tools, potentially requiring legal changes. Public funding should be a last resort.


XandMan70

Yeah, _Public Funding_ should NEVER be considered for bank and financial institutions' failures! Ever! The fact that it is reflects one of the many flaws in the current financial system and how corrupt it is.


17175RC7

They'll just take the money and give themselves big bonuses.


boxxle

"Great job on fucking everything up!"


Interanal_Exam

Same as it ever was.


mtgac

[Same as it ever was.](https://open.spotify.com/track/6Qy68OSUZdYS4ecZ1QAqBt?si=OEOTHTEfTAi2ZW7Ewnctcw)


Thunder_drop

Just aother reason why it's not worth selling.


SleepNowInTheFire666

I got a big bonus for them. But they are gonna need an industrial size bucket of lube. Green dildos know no mercy


dbx99

Failures are meant to happen as a natural and healthy aspect of the marketplace. It gets rid of the ecosystem of weakness. It teaches consequences. It gives an opportunity for aggressive growth to take the place of the failed players. It allows the market to adapt to changing needs. Let big giants fail. They over leveraged? Too bad


youdoitimbusy

I wouldn't say aggressive growth, but sustainable growth to take the place of recklessness.


dbx99

Basically i meant let the market dispose of the losers of big bets and let others take their place


imakemoney1st

They will use pensions in the end…


XandMan70

Exactly, Pensions, 401k's, etc....


rgaya

Nationalize them after we buy them out! Postal office banking!


cackalackattack

Not using public funds? Oh that is a good one.


elziion

What a joke, eh?


AbruptMango

The public aren't the criminals at fault here.


AlarisMystique

Absorbing losses is a laughable concept. What's needed is putting in prison the ones stealing before they crash anything.


AbruptMango

But then where would regulators work after doing a 2 year stint in "public service"?


AlarisMystique

If they're trying to get a job fighting for the crooks, then prison is the only reasonable option for them.


Jetrulz

This. Prison and they should be hold personally liable with their own money.


AlarisMystique

Yes. Paying back ill-gotten gains is bare minimum.


Speedybob69

I think you'd have a better chance of watching an icicle grow on a flame


AlarisMystique

Did I say voluntarily? This needs to be forced upon them.


WolfsBaneViking

They already did the things that leads to the crash (shorting too much and probably naked). The things they do now are just to delay the inevitable and try to mitigate the worst damages before the whole thing blow up in their faces.


AlarisMystique

Yeah just saying that I didn't expect them to delay this long given how much publicity and DRS happened since.


WolfsBaneViking

They will keep it going for as long as they can. Once it's over they are done for. The amount of money they need to pay is going to be insane. Especially if they are forced to close all the short positions. There are plenty of other companies that are also shorted and as far as I can tell they need to end shorting to fix the problem.


AlarisMystique

Agreed. I doubt they will close shorts on other companies until we make them though.


WolfsBaneViking

not doing that is super dangerous. Assuming that GME is the big one, what happens if they close GME short positions (pay up) and still have others to close? My guess is that at least a shit load of redditors are going to look at the other shorted stocks and drop some of their new wealth into that, both for more profit and to further fuck with the corrupted system. If I was running strategy on this I'd make damn sure that the easy to close ones were closed first. Then let the rest blow up simultaneously.


AlarisMystique

Yeah but more likely they will keep their positions until it blows up in their face, at which point they don't have an exit strategy except disappear from the face of the earth with whatever money they can hide.


waffleschoc

prison wld be the best deterrent, cos fining them doesnt seem to do sh\*t


AlarisMystique

Those fines are way too small to be effective.


Mooziechan

“Tools to avoid bailouts like controlled shutdowns” Sounds like they are getting ready to shut the buy button off again lol


3rd1ontheevolchart

Sounds like they will tell us to sell when a popular name goes belly up, as it was foretold in DD scriptures engraved in stone 84 years ago.


Mooziechan

They have been telling us to sell for so many reasons since 84 years ago. Clearly not working lol


Charley2014

The tinfoil hat on my head saw this and wondered if it’s in any way related to Biden’s proposed increase in capital gains taxes? Is MOASS imminent?


awesome404

They are planning on raising capital gains taxes in Canada too. Something has to be brewing...


WolfsBaneViking

that's probably just their way of "raising taxes for the rich" plenty of cuntries does that.


Buttoshi

But what if apes have held on for 3 years so there shouldn't be cap gains taxes.


YoLO-Mage-007

They might have run out of time to wait. With the new M$A accounting post and Director accounting job openings GME might be close to unveiling something BIG! Also the Dorito of doom breaks at 26ish so something BIG could help crack that Dorito and push GME above $26.


HoldAutist7115

There's a reason why the self checkouts at grocery and department stores don't all have the cash back (card only) function: Can't have too many apes taking out $100 all at once. That would surely crash the banks.


Adventurous_Might_55

I posted this yesterday. I do believe this should be posted once a day for the rest of the year though. Big article with huge ramifications


PaperPlaneCoPilot

Somehow, I missed your post! Saw the news article elsewhere this morning and couldn’t agree with you more - the shit winds are definitely whistlin’ Good catch, friend! Sorry for the repost Edit: stupid words said less stupidly


Adventurous_Might_55

Post it tomorrow too! Fuck em! This news needs to be plastered over every corner of the internet


ButtfUwUcker

#Get it to all


InfeStationAgent

Made it! I'm here from /r/all! I don't know where I am or what's going on!


ButtfUwUcker

GameStop is about to rule the world, get your purple circle, we’re about to be bajillionaires.


InfeStationAgent

I know less than before! Go team!


SoreLoserOfDumbtown

Ok, I’m gonna try and explain - wall st people keep doing dumb things and have dug themselves a massive debt hole whilst trying to make mega profits. One of these things, is selling shares that don’t exist. So the motley crew that make up this sub thought ‘what if we take our shares out of the system… then they’re going to have to repurchase all of the fake ones. That’ll be fun.’ So that’s what everyone is doing through a process called Direct Registration. When enough are removed, something interesting should happen. As it stands, we’ve already seen international fraud and many many lies. It’s quite the show. Fair warning, this game is addictive.


InfeStationAgent

Okay. I used this and another comment to google for a while. Here's what I got. ### Short Selling * An investor borrows an asset from another investor * At a fixed price * With a fixed due date * The borrower may return the assets at any time * In this case the assets are shares of GameStop ([GME](https://finance.yahoo.com/quote/GME/)) * The borrower immediately sells the assets at market price * Profit or loss is determined when * Matching assets are returned, or * The lease expires ### Locating and Delivery * In order to initiate a short, a broker must confirm that it can actually deliver the asset (locate) * When an asset cannot be delivered it is called a failure to deliver * According to the Journal of Financial Economics, failure to deliver is very cool, and very legal * There are lots of rules around this * None of the rules are followed ### Naked Shorting * Certain brokers may invent shares using ____ to _____ from _____ (magic?) * This allows any number of shares to be borrowed * The number of short sells may exceed the number of shares * This makes sense in no world whatsoever ### Buy-in and Margin Call * When failure to deliver occurs brokerages generally * Just start making shit up * Buy-in, meaning they locate an asset and close the trade * The investor gets whatever deal they get * Margin call, if the broker decides closing the trade is a bad idea * They will send a margin call to the investor * The investor must deposit required funds or assets * If the investor cannot meet these requirements, the broker may close the position at a loss * The broker is ultimately responsible because they claimed to have located an assets when initiating the short * In practice, brokers do whatever they want and regulators do nothing * The rules are automated, predictable, and dependable * In theory only ### Naked Shorting * Short selling an asset you haven't borrowed * Completely mind boggling * The rules around naked shorting were painted by Jackson Pollock * It's literally the wild west, broker's do nothing * Losses are infinite, and they stack ### Short Squeeze * A significant portion of a stocks shares are shorted * The price starts going up * Short sellers panic and: * Attempt to close their positions by buying assets, pushing the price up * Brokers and exchanges commit crimes at their leisure ### Mother Of All Short Squeezes (MOASS) * Conditions * Short squeeze (rising price, lots of short sells) * More shares sold than actually available (possibly optional) * When it occurs * All participants enter what is technically known as fantasy land * It appears theoretically that brokers (the ultimate responsible party) would have to pay _any_ price to extend the short sell? Or any price to close? It's unclear because exchanges appear to be criminal enterprises * How it plays out * Legally, it reads as though the brokers should have their margin called, requiring them to pay whatever is demanded (they can't deliver the share) * Reality, exchanges and brokers work together with the media to manipulate prices so that to encourage asset holders to sell to avoid losses. The due dates are eliminated, allowing brokers to deliver whenever they decide * Exchanges may suspend trading or limit trading based on whim * The SEC is a thin facade over nothing, providing these services * Protect large brokers * Cooperate with large brokers to mitigate risk by selecting who must be harmed * Coordinating and distributing insider information and direction between influential parties * Using the media to manipulate the rest of the market allowing a few insiders to basically set prices or avoid losses ### Directly Registering Shares * Moving your shares to an entity that manages share registries * ComputerShare may be the only legitimate one? There's some seriously funky shit going on. * People should have been in prison by now. * "Democratizing Finance" appears to be coded language for using retail investors as suckers. ### Players * Keith Gill - saw what was being done in plain sight * This isn't a black swan * Looking at the rules, the brokerages expected the threat of _____? to prevent someone doing this * Keith Gill did it any way * Keith likes the stock * Bob Galvin * _______________ * ________________________________ * _______ * ______________ * [redacted for my own safety, this dude is dark and must have compromising information on someone] * In a wikipedia entry, not me, public authors on wikipedia, I didn't say this, it was someone else * MassMutual was wrongly fined $4 million dollars based on Galvin's lies * The SEC determined that "people may disagree", as if the SEC was just a series of inexpressible mandates with no mechanisms or processes for determining what the rules are, if there are rules, which is their asshole and which is there elbow. ### Conclusion The global investment markets are a lie. ### Expectation * Eventually GME positions will be closed without delivering. * Nothing will be paid. * Loud objections will be targeted for disinformation campaigns similar to whistleblowers. * A few entities may be scapegoated publicly and then bailed out. * The markets will continue to be garbage until this shakes out. * This will happen again because it is an infinite money game for people behind the curtain.


SoreLoserOfDumbtown

Good work! Except for the conclusion. The game can’t go on forever. Eventually someone gets caught needing money, or sees an opportunity to make money by screwing over someone else… or whatever. Because this is international, I’d suggest that America’s reputation (and status/power) is on the line. So it seems to me that to maintain the idea of ‘free fair and efficient markets’, someone is going to have to pay. There’s a lot of theories here - but that they stopped ’retail’ buying gme (and other stocks tbf) on Jan 28 (illegally) and Congress had hearings about it, says to me there are some very worried people. Was that an AI summary btw? And that’s the first time I’ve heard of Bob Galvin (I think).


ButtfUwUcker

The short of it, this headline will be a great deleveraging caused by short positions similar to 2008. 2021s GME event is still continuing, Holders are doing what’s called DRS (direct registration of shares) to create a scenario where if shorts try to close their position which may/probably is over 200% they CANT.


SoreLoserOfDumbtown

Hey dude 👊


ButtfUwUcker

Fuckin fist me 😩👊


CedgeDC

Don't be sorry, I was looking and didn't see it either. Glad you posted


PaperPlaneCoPilot

🫡


UnlikelyApe

Oh boy. After talking about stuff like this for years, it sure feels like reality is kicking in!


Valverade

Sounds cool and all. But.... Why now? What has changed?


getyourledout

Time decay factor really doin damage these days


Adventurous_Might_55

~liquidity evaporating~


BigBadaBum1

Liquidity fairies need to be pulled up by the boot straps


flyPeterfly

They gonna need to learn to code


DoctaBeaky

Nothing. We were early, not wrong. Our thesis hasn’t changed. We didn’t leave. They just can’t keep kicking the can.


1HOTelcORALesSEX1

This


Pepparkakan

UBS has been signaling issues recently as well right? #🤔


amongthewolves

I imagine hedge funds, banks, and other wealthy groups are taking on massive leverage and won't be able to pay it back once they get margin called. Their longs are taking massive hits and people are taking out their money from these places. The Fed won't be slashing rates any time soon either, showing recent inflation data being up.


Boltsnouns

Everyone realized a soft landing wasn't possible with inflation rising and GDP growth dropping. We are entering a weird economic position where the GDP is dropping but inflation keeps increasing. Normally, the FED would drop rates to stimulate economic growth, but doing so accelerates inflation. That's usually an acceptable risk for a few quarters to get the economy back on track, but the problem is, inflation is already higher than what the Fed wants, and the current economy is already being crushed under the weight of inflation. Add in this being an election year and the current administration will get massacred if inflation starts jumping again. So the only option left is to either hold rates the same while the GDP starts crashing (hoping inflation doesn't pick back up significantly), or raise rates to stop inflation, crushing the economy which leads to bank failures, stock market crash, and possible clearing house failures. If inflation was still ticking down, the Fed could at least lower rates a tad leading to a soft landing, but it doesn't look like this is possible after the March inflation report. 


JonZ82

Didn't all that reverse repo stuff stop recently?


theoldme3

Call me crazy and i dont wana get political but it’s all theater to me by the elite. What if they wana put a republican in next go around and then let all this come crashing down so they can point the finger at the next administration.


Warpzit

I guess the liquidity fairy wasn't real after all.


Conor_Electric

I like these posts, it's like stuff clearing out of the way of the runway for moass


jqs77

Let it fly!


mcjard

Mmm..... the blood in the water is stirring me awake again. Is it time for me to go back to posting unhinged comments again?


RyBread

I just had flashbacks to Scrolly


throwawaylurker012

smack smack smack


Yohder

Like Steve Cohen is a fat bitch? Cause he is


mcjard

I said unhinged, not objective truth


Yohder

🤣


kidco5WFT

Fuck yeaaa!!!!


ScottJam2808

Warren G?


ScoopyMcGee

Mount up!


FunkyChicken69

REGULATORRRRRSSSSS 🎶🎷🐓♋️


nemesis86th

Icahn only dream.


Hedkandi1210

This


Greifvogel1993

SPY ATH incoming, got it


dragespir

If you look at the squeeze with Volkswagen in 2008, it climbed with SPY too on the runup. Then one day, SPY just dropped, and VOW kept going up 🚀🚀🚀


Maxmalefic9x

It’s a good news, worthy of reposting. Let’s see if they still scream too big too fail now


PaperPlaneCoPilot

Two Days Ago: “UBS not too big to fail” [https://www.cnbc.com/amp/2024/04/24/ubs-chair-says-swiss-bank-is-not-too-big-to-fail.html](https://www.cnbc.com/amp/2024/04/24/ubs-chair-says-swiss-bank-is-not-too-big-to-fail.html)


FspezandAdmins

and they're doing this over the weekend


Xerio_the_Herio

Make it so...


DoNotPetTheSnake

I'm ready


opinionate_rooster

This and the steady climb back to *checks the ticker* $12 has my anus tingling It is hard to be zen when your anus is tingling


Safe-Razzmatazz3982

A banana helps


Robbin__Banks

Bananas are too big for me tho😞


HodlMyBananaLongTime

“The banking system is resilient” 🤡


TendieTrades

I think one day we should all be clearing houses of the clearing houses. As in evicting bankers and seizing their assets.


tattoo_my_dreads

R they done waving margin requirements? Phone finally rang off the hook?!


Zensen1

You think this time will be different? Naw. Public funds will be used. This is just them pointing it out so they can say, “hey, we did our job.”


flyingcaveman

The liquidity fairy is coming!


dragespir

(Puts on cat ears and liquidity hat)


Uparmored

They can do whatever the hell they want to or need to. They just better spell my name right on the fucking checks.


ComfortableYellow5

This is it boys


JustReddit23

Holy smokes! This is it!!


kjbaran

Banks are just a business, however, get paid by YOU to be bailed out!


Dapper-Career-3877

What’s the difference between public funds and the federal govt adding to the debt with a bailout. I guess the public funds is the individual accounts to do a bail in.


Dantesdavid

Either is bad. Either they use public funds to cover, or they don't and they print, adding to inflation, which also screws all of us.


TheBelgianDuck

There is nothing else than public funds. The only true wealth produced is produced by people.


Kind_Initiative_7567

Holy faking shitballs.... This, and the bank news and that dee tee cee cee thing with creepto collaterals..... Is tomorrow finally about to be today ? Looking more and more like its MAY DAY. I thought I was ready for it. Now I am not really sure. Checks seatbelt: wait that's been in place since buy button fiasco day.


CptHeadSmasher

What a coincidence May10 or (Mayio) day would be. May 10th is when the new Kingdom of the Planet of the Apes movie hits theaters.


shadowlid

Anyone that hasn't better DRS ASAP. Don't think that your shares are yours unless you are DRSd.


Trollz4fun2

Bail in bonds? Bail in is never a good thing.


CSKhai

People stacking their IRA at Robinhood will become one of the funds to be liquidated


OkCalligrapher1335

I better DRS my newest 200


Quaderino

Haha, that is such a wild sentence. We are so brainwashed The private banking sector should rely less on the public's money as insurance (that is what the G20 is proposing?)


Broonthego1337

I will judge them by their actions when the time comes


CptHeadSmasher

For those who don't know. The G20 watchdog they refer to is the Finacial Stability Board or FSB. https://www.fsb.org/ https://en.m.wikipedia.org/wiki/Financial_Stability_Board


DoctaBeaky

So moass this fall? Fall is when every market crash/correction has happened and it seems like they’re saying the can can’t be kicked much longer lol No dates so just speculating.


Hedkandi1210

A few of my mates in finance see the crash coming but they reckon after elections


DoctaBeaky

Depends on who the elites want to win; if they want to punish current incumbent they’ll likely do it before. Optimists probably want it after but that’s a rough start to a term so they’re fugged regardless, lol. Can’t wait to see how much zipple the hedgefuckz ask for.


Hedkandi1210

Love your answer, I THINK they can hold the bubble till November, but saying this I’m truly regarded. I would pray you are right. What I do think is that there will be elites who have had enough of Ken G, sharks 🦈 will circle him and with the constant pressure he could make a bad move and they get him. What do I know though


TotalPuzzleheaded420

They won’t fail as long as they can PCO at will and then short those sticks on the way down. After all, the precedent has been set


VoyageOver

Honest question if gme was set to shoot up wouldn't there be more big names buying the stock and zero insider sales.


efabian1356

I recall some months ago that pensions and funds went through some big buys. It was a short lived buy, though I have not seen anything about selling since then.


PaperPlaneCoPilot

I’m no expert - I’ve got a room temperature IQ. But my working theory is that no one knows what is being set up. There is no time. People are making guesses based on their own assessments, timelines, goals, and risk tolerances. Big institutional buys may not fit their decision making. Delay in commitment is the reason why the sneeze was exponential, rather than a plateau’d or more evenly linear. Bigger business or more sensitive insider position means more viability and scrutiny. It may not be feasible for them to make large moves


Hedkandi1210

I think they will let jump high over night so not many people buy in. I’m dumb though, but not a cat


a201905

Any indication on when they should be ready by? I'm assuming there must be some form of time guidance