GME gonna do a stock split! Good bye Hedgies.
(media.greatawakening.win)
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Simply put, big, multi-billion dollar hedge funds have been doing shady shit to line their pockets. They identified a business that wasn't doing too well a few years ago (Gamestop), and started short selling it. That means selling shares of the company that they don't own. They "borrow" a share, sell it for $50, then when the price drops they say, "Aw, that's too bad," and buy it back for $20 and return the share to the rightful owner.
Some people notice this and said, "Hey, this is kind of evil. We should stop this." We go on buying up every share we can. We shop at the store to improve their sales. We vote in shareholder meetings, taking an active role in trying to turn the company around. Now, Gamestop has introduced a motion to release more shares as a dividend to current shareholders. So if you own shares, they just give you more. We still have to vote on it at the next meeting, but I know I'm voting yes.
You see, there's strong evidence that some of these firms have been naked shorting. That means selling borrowed shares without borrowing one first. Imagine selling a Camaro when you don't actually have one. Then you have to find one before the dude comes to pick it up. It's wildly illegal, but as long as you can find the car and never get caught, you're fine.
This dividend is going to expose who actually has shares of the company. If you own shares, you get the dividend. If somebody sold you the car, but didn't actually have the car to sell, you get squat. If they don't want to lose their entire business, they have to deliver those cars to the people they promised them to before the dividend drops. If it was a cash dividend, they could just pay it themselves to keep up the illusion, but this is a stock dividend. These are extra shares coming straight from the company. You can't fake that.
The demand for shares is going to skyrocket. The price will go up. If they can't make good on their promises, the government can start liquidating their assets to pay off the people they screwed.
This is the way.
Sounds good. Thanks.