GME tsunami!
(media.greatawakening.win)
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Are you saying that they shut off the Buy button to keep the hedgies from buying the stocks to cover their shorts that they’re legally required to buy in order to prevent the price going vertical?
Or are they turning it off just for us so that they can cover required shares temporarily as they become available until those smaller positions get covered?
I always read that as “they’re trying to keep us retailers from buying any more because it hurts or something”, but weeeew lad the others are way more fun.
Yes, turning off just for us.
Shutting off the buy button stopped "retail" buyers (peasants like us) from getting more shares and driving the stock price higher. The higher the price goes, the ability to pay back the shares the hedge funds shorted becomes exponentially harder (more expensive).
In other words, the hedge funds pressured the folks that manage the Robin-da-hood app to slow down the price increases so Citadel would have more time to fabricate fake shares and close (or delay) the payback of the shares they still owed.
While going through it, I think temporarily allowing hedgies an exclusive chance to cover shorts might make the most sense.
If they were only after controlling the price, they’d probably try to shut it off completely.
Problem is, the hedgies had GME down to nearly a dollar per share back in 2020.
So depending on how many thousands of shares are shorted at ~$2 or $3, they have an impossible hill to climb to not go bankrupt.
The UBS thing though, if UBS underwrote those shorts and has liability for them…
Market cap is 10.3 billion. They had 240% of that in shorts. Let’s spitball that at 2.5m shares they have 5m outstanding shorts. Current price that’s have them owing …
Hey here’s a smoothbrained question. Isn’t market cap just shares outstanding * price?
So if the price is ~$35 with 306.19M outstanding shares, why the hell is the market cap $14.93bn when 35 * 306.19m is not anywhere near 14.93bn (it’s 10,716,650,000)?
Anyhow if the market cap on Nov 2020 was 1.31bn at $4.14 a share, let’s assume we were still looking at around the same number of shares, and they’re on the hook for something like 10.716 * 2.4 = 26.04bn at current prices. Obviously this would create skyrocketed demand and raise the price, but we’re talking about one of the banks with the ability to print unlimited amounts of money being the underwriter for this.
What I’m getting at is… more than just destroying some hedge funds, isn’t what we’re really looking at here a potential thermonuclear bomb waiting to destroy the fiat-based banks by hyperinflating all their worldwide dollar-based fiat currencies (dollar, yen, pound, etc)?
Sure they can print money to cover whatever they need, BUT there are consequences to doing that, so if they need to print say 20 trillion and release it into the economy all once, that’d mess some things up.
There are allegedly only 1.5 trillion dollars in circulation as of 2016. That’s obviously referring to the hard currency and not the digital ledgers, but multiplying that by 20, or even 2 or 3 in a span of months would change things.
Or am I seeing this incorrectly?