Ask not what your company can do for you. Ask what you can do for your company.
$GameStop (GME.US)$
Per Section III, C. DTC’s Response Letter to Opposing Comment Letters https://www.sec.gov/rules/sro/34-47978.htm
TL;DR After GameStop issues its shares to the market, they no longer hold ownership rights to those shares, therefore GameStop can no longer make the decision to withdraw the shares from the DTC.
DTC says that GameStop would be interfering with beneficial shareholder rights by trying to withdraw all shares from the DTC.
DTC claimed no obligation to take action against naked short selling because those problems are in the context of “trading”, and not in the context of the book-entry transfer of securities.
That means DTC does not involve itself with matters related to “trading” of stocks. And then the juicy part.
DTC literally says: If shareholders don’t trust the DTC, then shareholders can instruct their brokerage to DRS.
Per Section III, C. DTC’s Response Letter to Opposing Comment Letters https://www.sec.gov/rules/sro/34-47978.htm
TL;DR After GameStop issues its shares to the market, they no longer hold ownership rights to those shares, therefore GameStop can no longer make the decision to withdraw the shares from the DTC.
DTC says that GameStop would be interfering with beneficial shareholder rights by trying to withdraw all shares from the DTC.
DTC claimed no obligation to take action against naked short selling because those problems are in the context of “trading”, and not in the context of the book-entry transfer of securities.
That means DTC does not involve itself with matters related to “trading” of stocks. And then the juicy part.
DTC literally says: If shareholders don’t trust the DTC, then shareholders can instruct their brokerage to DRS.
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