There seems to be many contradicting ideologies in this site regarding the DWAC stock and that being the case, shilling and sliding and manipulation is going to be a piece of cake for hedge funds and other groups with nefarious purposes.
As a disclaimer, none of this is financial advice, do your own research, and WWG1WGA. You are free to make whatever decision you want.
One of the most jarring contradictions I see is people claiming to selling high and buying back in at a lower price. And it appears a good majority here agrees with this sentiment and probably doing it themselves. I have been with the GME saga from the start and I can tell you that this strategy benefits no one but yourself (in a very short term sense) and the hedge funds who are shorting the stock.
The outstanding shares of this company is only a 1/3 of what Gamestop is. With the volume we are seeing with this stock, we should have secured the outstanding shares by now. But instead, the vast majority are seeing this as a day trading opportunity and moving on once the excitement dies down. Yes we can blame the hedge funds all we want for using dark pools to hide buy orders, and short selling to drive down the price, but a good deal of this can be blamed on retail investors as well.
There is a reason why GME apes' mantra is BUY AND HODL. No where does it mention any selling and buying back into the stock to raise your share amount. Hedge funds are currently shorting the shit out of DWAC. You selling your shares are giving them the ability to repeat this process and cycle over and over again.
Hold your damn shares. Get some diamond hands. Allow them to continue shorting and creating synthetics to put themselves into a hole.
We need to be more coherent with our message around here.
Do you want to support this company and see it rise to new heights? Or do you want to make a quick buck and call it a day? If you believe this is more than just a pump and dump, that you are actually investing in something that can change our country for the better, that this is something you know the world needs, then you know what to do. BUY AND HODL. Very simple message. Instead of selling when the price is high and buying more when it drops, hold and buy more when the price drops. In that way, we are effectively locking up the float and restricting the hedge fund's ability to further manipulate the stock.
But of course it's not just as simple as that. Buying and holding is not a foolproof way to prevent manipulation. But it does allow the hedge funds to further dig themselves into a hole and allows the short interest to grow. Stock brokers can lend out your shares and contrary to this ongoing belief in this site that setting high sell limits will restrict them from doing so, is false. They can lend out your shares regardless of the status of your shares, as long as it is in your account, have no doubt, they are lending them out.
The only way to prevent them from lending out your shares is through registering the stock through DWAC (Deposit/Withdrawal At Custodian) https://www.investopedia.com/terms/d/dwac.asp Computershare is not the transfer agent for DWAC so you will not be able to register your shares with them.
DRS is the electronic version for Deposit/Withdraw At Custodian. https://continentalstock.com is the Transfer Agent for DWAC.
Last note I wanted to end on that expounds on a point mentioned prior.
This is not just an investment opportunity. This is for your children. This is for your family. The censorship, the manipulation of information, the corrupt media that is costing lives in this country can be brought to an end.
Take care everyone and I am excited for the future and what it will bring.
BUY AND HODL.
WWG1WGA.
NCSWIC.
I may not be 100% correct on a few details but this is how I understand it:
The float is the amount of shares available to trade, set by the company when they first enter the market as shares sold by them. These shares are actually all mostly registered under the name "Cede and Co", and are on the DTCC's record books (Depository Trust & Clearing Corporation), and when you buy a share through a broker, they still technically own the shares, you are just entitled to them as the beneficiary. This means you can order the owner to do anything with the shares, and they are legally obligated to do it, and you will receive the money from the sale.
They profit from this because they can lend your shares out to others, and there's very good speculation that many brokers don't even buy the shares and just pay you the difference when you close positions, using your money to do other things which in the end is devaluing the very things you invest in. It's hard to explain all of the ways they can do fuckery.
DRSing your shares removes it from the DTCC's books and onto the transfer agents books as being under your own name. When shares are on the DTCC's books, they are legally counted as "a reasonable supply" to naked short shares or something like that. The wording makes it so any shares at all being listed there means shares are available therefore they can naked short it all they want. If you don't know, naked shorting is when you sell a share you don't own with the obligation to buy it back at a later date. The gamble is if the share continues to rise after the sale, it counts as a negative balance and you will get "margin called" if its too much, which means all your positions get closed and taken on by the broker.
So, what all of this means, is that since shares have been lent out and naked shorted, more people are beneficiaries of shares than there are actual shares. But the supposed "naked shares" are still legally counted and treated as real, however "fake" they are. So when the shareholders DRS the amount of shares that are in the float, this would be called locking the float. Any more DRS requests will be denied as no more shares will be located, and there is protocol that the transfer agent shall notify the company, where they can legally issue a share recall without being accused of market manipulation to purposefully trigger a short squeeze.
Essentially this means Gamestop will be able to say that since the Market Makers (those specifically allowed to naked short) have fucked up their market so much, they are withdrawing their shares from the open market. This would absolutely force all short positions to close, absolutely forcing a short squeeze, because all of those fake shares would then legally NEED to be IMMEDIATELY bought back at whatever the market price is.
Once shares are locked, the brokers would be the first to know about it before anyone, and the short hedge funds would be fighting over eachother to get out ahead of everyone else before the inevitable. The share recall would take some time, so I'm certain they would spike it with buying before the recall to entice those who have DRS'ed 100% of their shares to at least sell a few of them to unlock the float and keep it sort of perpetually never locked long enough to go forward with an actual share recall, since they don't have any of the naked shares in a brokerage account to sell.
Convincing people to DRS 100% of their shares would be in their best interest now that the DRS avalanche is too much to stop. It's their absolute best bet of getting them to never keep the float locked for long enough to thoroughly document and present it as a certain thing in order to legally recall their shares.
It used to be really common sentiment at first that it makes no sense to DRS all of it since you will of course want to sell some of it during the actual MOASS, and that DRS is only for the so called "infinity pool" there they can keep the shares in their name to keep the price high and sell their broker shares for whatever price they want when they need to. Because you need to keep the float locked to keep the infinity pool going, to never actually allow the share recall to go through while the short hedge funds are bled away.
Thanks so much! That's the best explanation I've read so far. But I still don't know when I'm supposed to sell my GME shares? What will be the green light?
When you ask yourself ehat I am gonna even do with so much money.. heh.. you can't know for sure because everyone would same at the same time in that case..
Most people aren’t planning on selling all of their shares, in order to keep the downhill from the MOASS peak as level as possible. You’ll know when it will be a good idea to sell some because it will probably be in the news. Most are waiting for millions+ per share.
That was really helpful to me.