Robinhood created to launder Phantom Shares? (Paper Trading Hybrid)

I had some dots floating around in my head, so I thought I'd see if any of them connect.

Something that I've always wondered is if it's possible for RH to be a self contained in-house system that plays /off/ of the stock market but not /with/ the stock market. It would essentially be a paper trading account except with using real money: all of your purchases would only be against the change in a stock's price action but wouldn't influence it nor contribute to actual volume. This is how Cryptos work on Robinhood, so maybe stocks work in a similar fashion and all their clients are only playing with phantom shares.

Theory: Robinhood is used/created to launder Phantom Shares

Dots:

Robinhood is funded / closely tied to Citadel

Troubles with proxy voting for the upcoming $AMC/$GME shareholder's meetings on RH. (fake shares = no vote) a.) People don't get notified for it b.) People don't have the option when manually searching c.) If someone does receive the proxy vote it's only for a portion of the shares they own.

A lot of people seem to have issues transferring out of RH. Multiple times I've seen people state that their transfer was rejected by RH without a given reason nor even a notice of the rejection.

WHY?!?!?

Because they don't have the real shares to give to the new brokerage ...

Naked shorting happens and from what we've been able to see: it happens a LOT. These phantom shares need to exist regardless and I'd imagine those who create them are always looking for ways to mitigate their risks*:*

This would give less exposure to naked shorting since they have a contained platform to store their phantom shares on, so less risk of consequences such as being margin called, fined, or even having the price rise since they'd essentially be able to control the buying/selling pressure from RH users. Robinhood's target audience seems to be newer investors or at least investors that are more casual and less likely to request a share recall or notice/care about a proxy vote, so that is another form of less exposure.

Extra dots:

This would also explain

Robinhood's incentive to pioneer the movement of no transaction fees. Waiving a fee would not only bring traffic, but it also makes people less prone to asking question and more prone to accepting answers.

The reason Robinhood allows for margin so easily. If you have a margin account then that is a perfect excuse to disallow proxy statements. It also makes it a lot more likely for people to stay on the platform since other brokerages often have much higher requirements.

Why Citadel pays for Robinhood's order flow (?) Less of a backing, but who knows.

The actual reason Robin Hood halted trading in January If you remember back in January, Vlad for some reason could not answer why they had to halt trading and specifically said it was NOT a liquidity issue. My theory is that Robin Hood houses all of Citadel's Phantom Shares and when users buy/sell they either place money against the price action of a stock held by RH, or maybe RH connects users to one another so that it's buying/selling Phantom Shares with one another. Maybe in January the volume was so high that Robin Hood was /running out/ of Phantom Shares to provide for their clients and didn't want to buy real shares and/or they wanted to contain them within RH and not release/sell them into the free market. Also with that kind of volume they would need to report the trades, so if they weren't wanting to trade on a large exchange then halting trading would be an excuse to have lower reported numbers without questions.

This would also explain the reasoning they slowly began allowing specific quantities of shares to be purchased even though the valuations didn't seem to be a factor. (Allowing people the ability to purchase x100 of a $30 "memestock" but only x10 of a $10 one,)

Maybe this is the same reason they've been halting D.O.G.E.COIN during rallies. (Not fake coins or anything, but maybe they're just under-supplied?) 5. NEW (I wrote this as a draft a few weeks ago but this is a new developement)

Someone (HFs?) seems to be hiring bots to spam YouTubers and whatnot to "SWITCH TO ROBINHOOD"

Why? It must somehow benefit them heavily for people to do so. Yes they can halt trading in the event of a squeeze, but I'm not sure if they're extremely concerned about people /buying/ during the run-up seeing as they're trying to get people who ALREADY HAVE SHARES to switch to RH and bring their shares with them. If they transfer their shares back then as far as I'm aware they wouldn't need to cover them since it would once again be under their control.

Combine the above with the new NSCC rule changes discussed here: https://patriots.win/p/12iNe9g0DB/the-uberrich-are-about-to-get-an/ and it sure seems like some heads are going to roll ....