FTD

Rusty Shackleford 1 OP : I would also bet that they will short more than the float again today

Ken Griffin Charity : Considering much of the volume is from trading between institutions, why wouldn’t there be enough stock available? And where did you even get the idea that “they shorted over the float”?

Rusty Shackleford 1 OP Ken Griffin Charity :

Rusty Shackleford 1 OP Rusty Shackleford 1 OP : They only have 5.2 million available stock

Ken Griffin Charity Rusty Shackleford 1 OP : Yes, and shares can be traded multiple times over.

Also, the same shares can also be shorted repeatedly with no market manipulation or coordination required.

Rusty Shackleford 1 OP Ken Griffin Charity : So you can short more shares than there are available? Someone has to buy the shares to lend them out too short. What happens when everyone who does hold the stock gets their shares delivered. I know this is a major what if, but let's say RK did buy around 3 million shares or even 1.5 million, then there won't be enough for the shorts to buy back, not saying he did. Also, thanks for unblocking me. I do like having conversations with you. Why don't they just repeatedly short every stock to zero and make all of the money in the whole world

Ken Griffin Charity Rusty Shackleford 1 OP : Yes, you can.

1) Party A owns a share of KOSS.
2) Party B borrows the share from A and sells it to C, opening a short position.
3) C then sells the share to D like every other normal transaction
4) D who now owns the share, can lend it to E, who is looking to open a short position.
5) And now the same share has been shorted twice
6) These steps can repeat over and over again. No illegality is involved.

And you may or may not already know this, but shares are fungible. There is no such thing as shorted or non-shorted shares; they are all the same.

Rusty Shackleford 1 OP Ken Griffin Charity : So they can just keep going around in a circle with A shorting to B and B shorting to C and then C shorting back to A, or even A and B just going back and forth, And again, why don't they do this to every stock until it goes to zero and make all of the money in America? I do appreciate your knowledge. I don't know if this is coming off as rude or not

Ken Griffin Charity Rusty Shackleford 1 OP : Because:
1) interest is paid on borrowed shares
2) the higher the short interest, the greater the borrowing fees
3) margin must be maintained to keep the short position open
4) the loss potential is theoretically unlimited when the price of the stock rises unexpectedly

Rusty Shackleford 1 OP Ken Griffin Charity : Isn't the described situation technically "washing" the stock. They just do it in the dark pool because it takes longer for reporting, and it is much more anonymous. I know the SEC doesn't really care about fixing problems with the market, only making money off of fees, but for the average person, it would be more beneficial and transparent if we got rid of the darkpool. I personally would call that stock manipulation. The stock market was set up to be manipulated from the start.