Stock Split Dividend for dummies

  1. Thanks for this OP, I finally understood. So even if Brokers wanted to "cheat" and give everyone fake shares, they're going to have to credit every single synthetic an additional 3 more synthetics or cash equivalent (We know some brokers don't even have real shares, period.) Which would be hella expensive and possibly even impossible.

  2. It’s not “maybe” he was trying to pin wiped out retirement funds on retail but more like he “is” pinning soon to be wiped out retirement funds on retail. I knew it from the very moment I read that quote. It’s Game Over. A lot of innocent people will be fucked and holding an empty retirement bag bc of these greedy criminals.

  3. For the purposes of the squeeze, wouldn’t it be better if everyone bought BEFORE the dividend in the hopes of receiving a counterfeit share, then attempt to drs everything so that there’s a greater chance of hitting activating a counterfeit detection?

  4. What's still unclear to me is what is the dividend part for us shareholders? I mean like, in a dividend, shareholders get , idk lets say 5$ for each share they have. Here we don't really get anything, right? It's like a stock split for the shareholders, only the that in this case the short sellers are on the hook for the dividend shares?

  5. So what you’re saying is computershare buys are inherently more valuable because they’ll be guaranteed the dividend no matter what

  6. Ohhhhhhhhhhhhhhhhhhh.... damn am i dumb. I didn't think of this. Never seen nothin like it in all my 3 weeks of trading 😉

  7. Is there any reason to believe that SHFs can “FTD” on the dividend? People can saying how MMs will print more IOUs to deliver, but is there any source suggesting this is even remotely possible?

  8. After our brokers "get" the dividend shares, let's all DRS 75% of our brokerage accounts and see what they do about it.

  9. can you ELI5 what would happen after this? CS gets shares first, gives remaining to DTCC. Now DTCC only has so much to give, what happens when they can cover for everyone else?

  10. That sounds amazing! Please could I ask about the source for this? Is this how stock dividends always work? ie voa transfer agent first?

  11. So, if a retail broker says 'our bad, we don't have the shares to give you, here's $30 x 3 for those shares we 'owe' you'? (equivalent cash value)

  12. Sorry dumb question but how would this be expensive for SHFs? How is this a deeper hole? The fake shares they print will all add up to the same as there original short position won’t they?

  13. I’m still confused on the dividend part of this; a split is completely different than a dividend… if this was a dividend without a split, the price would stay the same and we’d just get the extra shares as a dividend… if it was just a split, we’d have the the same monetary value, but each share would be at a lower cost… combining the 2 is confusing to say the least; and this screenshot doesn’t clear anything up about that. I’ve been searching for the answer and I can find anything.

  14. Side note this should also expose a lot of synthetic shares i believe. If this forces the dtcc to give beneficial owners more synthetics itll be easier to spot actual fuckery happening in real time. Then there is a reasonable case for doing a share recount and the numbers won't add up fanning the flames of transparency.

  15. Devils advocate here… so let’s say it plays out this way, and the dtcc is short (lol) 300 million shares to deliver. Who says they don’t just give out 300 million ious ?

  16. Dtcc will not be receiving that many as drs'ed shares will get their shares on the record date. Dtcc will get 3x the float minus whatever is already locked up to pass out.

  17. So, would now be a good time to transfer my personal IRA shares, from my broker, to CS and just accept the tax hit come the new year? … because MOASS is more likely to happen this year?

  18. I removed mine from and ira because the little amount of shares I had, the penalty was about the same as opening a custodian account. Now guaranteed my dividend and not taking any chances.

  19. I still don’t see how brokers can’t just treat it as a normal split and increase positions by 4x? I understand there is an actual issuing of stock in this dividend, but if naked shorts/synthetic shares still exist, why can’t they just continue to make synthetics?

  20. This is just some trust me bro intuition here, but I don't think they have infinite synthetics to print. If they did, I doubt we'd see what we did in January, or any of the other price spikes we've had. This has always been a balancing act for them.

  21. The wealthier brokers might try this. Doing this is basically murder for their profits as they are handing out free shares rather than getting them delivered by gamestop. Would be even worse if the price continues to rise after the dividend.

  22. The problem I can’t wrap my head around is the DTCC can “print” more shares….. yes they dig a bigger hole but it’s kinda like being on fire… I’m already burning alive what’s it matter if I add some gasoline to the fire.

  23. Ryan is basically giving them multiple chances to end this circus. If this splividend doesn't cause them to close, then it'll be an nft dividend. If they still don't close GameStop will pull shares from the dtcc. If the dtcc does the legally indefensible and refuse to give GameStop it's shares(basically theft) it'll go to court where eventually the dtcc will be forced to remove gme from itself. There is no conceivable scenario where moass doesn't happen.

  24. What about regular shorts? I mean there is officially like 20% short interest - are they also supposed to obtain 3 shares for every share they are short? If so, then it's not even necessary to have some hidden naked shorts, official shorts will be enough for massive squeeze...

  25. The short interest goes up as number of shares, but stays at 20% of issued shares because the number of issued shares goes up also.

  26. Do you think that TSLA’s significant price increase (from under $300 to over $400, adj.) in the weeks after their 3-1 dividend split was largely unrelated to their 3-1 dividend split?

  27. I think this theory misses the point of the moass thesis: there are a lot of naked shorts. If I am short, I owe 3 more shares, but my liability also decreases by 3/4ths. In theory I can get 3 more shares from a lender with that extra 3/4ths and be fine; it's as if nothing happened. If, however, there are many naked short positions, there will be many more bids for shares than exist. This means either the creation of 3x more borrowed synths which increases interest burden or a lot of buying.

  28. Lol this guy has thousands of comments just defusing hype. Meltdowner in disguise here. The amount of comments you post is absurd. Paid shill

  29. get this post to the top. the dividend itself was never going to cause a squeeze. what it MIGHT do is encourage some share lenders to recall their shares.

  30. Dumb question here. What's going to happen to the share price between now and div date? Is it likely that the price will trend down toward 1/4 its current price as we head toward 18th?

  31. So the borrower (i.e. short seller) receives the dividend shares and transfers them to the lender once the loan is terminated. Assuming the thesis that GME is vastly oversold/sold short and there exists a vast number of counterfeit shares, all of those beneficial owners of counterfeit shares will then be distributed necessarily counterfeit dividend shares. Unlike every other FTD there is no settlement fuckery to hide this distribution so the FTD rate will necessarily go crazy, won't it? Unless I'm missing something this distribution will unquestionably put GME on the threshold list and I don't see how it can get off it without a lot more counterfeiting. At some point (I believe either eight trading days after first getting on the threshold list, or 13 trading days after the fifth day on the list) rule 204 of Reg SHO should kick in, shouldn't it?

  32. Its not just going to increase their borrow costs, its going to nearly TRIPPLE their current liabilities. Keep in mind they had to sell 5% of citadel so they would go under, plus they are actively under investigation by the DOJ, and have been busted with their hand in in the cookie jar by congress. They MUST make a move to save themselves and the entire world is watching.

  33. hate to be that guy, but ain't shit changed. still poor, still fucking crooks running around not allowing us to have a fair shake. still zen, still not expecting jack shit. do not care about down votes.

  34. Can’t stop thinking about some DD I read about .. FTD graveyard, where they bearried all their problems.. maybe it is swaps ect.. they would have to go there and fix a lot of shit and dig up some forgotten problems..

  35. I love it! Tthis is Gamestop's CHECK. They'll have better visibility of how many shares are really out there. If the MMs try to fuck around with the stock with more manipulation, CHECK MATE will be coming. Recall the shares, take the shares out of the current market then move to a blockchain exchange and include a tokenized stock offering.

  36. Is it possible that through a "Dividend" the stock does not automatically split the price? It just adds more supply and then lets supply and demand find equilibrium?

  37. If everything doesn’t go down by the book the way it should GME can just call BS that DTCC does not act in their investors best interest and take their shares out to in my POV is a stock market on blockchain they have also built with LRC

  38. I guess being a dividend, brokers can offer to pay a cash equivalent, at the current stock price, if they cannot find the shares to give... That could be a lot of money they end up paying out.

  39. So for easy math, let’s say I have a $1000 worth of gme shares. After the 4/1 dividend, will I have $4000 worth of gme shares?

  40. No. You will still have $1000 of GME, but you will have 4x the number of shares. For example, you have 10 shares at $100 each, after split, you will have 40 shares at $25 each

  41. MOASS won’t be kicked off as soon as those shares get distributed in all likelihood. But the buy pressure that it will bring in combination with DTCC digging themselves in a whole as the post suggests could be a spark.

  42. And what stops them from making more synthetics from their extra “real” supply to give more fakes to people?

  43. KG is up to something as to why he left Chicago. He knew Chicago wasn’t going to protect his assets so moves to Florida thinking he will be protected after said black swan event

  44. Seems like it would be easier for them to just sell your shares without your permission and deposit some $$ into your account. ez, right? But, when do they sell them? I’m guessing on 7/18 or before, to get full price for that lonely share. But, will they know before 7/18 if they will get the 3-for-1 from the DTCC? THIS COULD GET WILD.

  45. How soon do these guys have to provide these shares? Be it real or fake. 10 days after ex-div date? A month?

  46. I have a question. Im in Canada and need to DRS some shares. If I start it, it takes 10-20 business days. If my shares are in “limbo”, do they get the dividend? I haven’t found an answer yet.

  47. yeah they can print fake shares but lol imagine the damage it will cause to them specially when moass 😎💎🙌♾🕳🕹🛑🚀

  48. How much will this cost GameStop to implement tho? In accounting class we learned about stock dividends but they were usually something like 10% or so (1 share given for every 10 held) and they came directly from Retained Earnings like a normal dividend (costing basically as if they’d taken a cash dividend and used that to buy shares on the open market to distribute to shareholders). In this case they’d be buying something like 300% of the official share count?

  49. They will be newly issued shares. The par value will be the same as existing shares, so there will be a transfer from retained earnings to paid in capital, but only for the small fraction of penny per share par value.

  50. Not sure if anyones posted this video in this thread but I found it in another and the YouTube video explains very well how this would all go down. I recommend anyone with questions to check it out.

  51. There's one other important piece to this: if you are DRSed, you are guaranteed to get one of those "real" shares, further reducing the pool of real shares available. If there are 14 million shares DRSed, that subtracts 42 million from that 231 million that are made available by the company, because DRS shareholders effectively get first dibs since they/we are working directly with the company's transfer agent.

  52. Well they are all in one bed. So wont be surprised if dtcc pulls this off as well. Just drs hodl. Lets throw a gme Coachella fest next year and count all shares individually at box office✌️

  53. I guarantee SHF are on their way to the local tool shop as we speak, to buy the most expensive shovels they can find just to keep on digging.

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