We The Investors Focus #2: Securities Lending, Direct Registration and Settlement/Clearing

  1. Even if they're supposed to inform us if our securities are lent out, if they're not held in a wallet and verified on the blockchain, how are we supposed to know if a lender has lent out shares out or not? Can we audit them at our discretion?

  2. If none of any regulations have substantial teeth to claw back the profits made on the rule breaking then it doesnโ€™t matter.

  3. The easy out here is that holding anything at a broker means you own dick. As long as the broker keeps everything street address with the DTCC, retail investors don't own a fuckin thing.

  4. This is all great big D, I am for all of it 100%. The problem is getting all the parties involved to uphold their end of the deal. Just look at all the violations and ways companies like Goldman, JP Morgan, BofA, Morgan, Citadel, & hedge funds get away with breaking the rules and risking so much of their clients money, only being fined as the cost of doing business. We know of so much of the crime and they don't have to admit to any of it. A business breaks the rules, the regulator asks, "did you break the rules? Without saying or admitting anything, pay this small fine and that will be the end of it." I think before any positive change occurs we have to address disciplinary action against breaking the rules and regulations or literally nothing changes. I know DOJ made that announcement not too long ago about "Times have changed". But only time will tell if they put their money where their mouth is. If they are able to sentence and give prison time to white collar criminals, that's going to be the type of change we need for parties to stop moving against individual investors. I'll leave it with a paraphrase from the GME Doc on HBO:

  5. If you really want people to have a seat at the table and transform the market you should just start promoting DRS directly

  6. Check out the second bullet under Choice and Control. That would make a huge difference in the accessibility of DRS to every investor.

  7. Thanks for the policy statements, Dave! However, we all know the devil is in the details. As an individual investor hereโ€™s my top concern out of your recommendations:

  8. Yes, especially FTDs being added to the body of requested updates to market structure.๐Ÿš€ Thank you for bringing attention to these issues.

  9. I like everything under Settlement and Clearing, but obviously eliminating the economic incentive for fails (both FTD and FTR) is the most important. I also like Investor Comms & Proxy Voting and Control of Registration. Not sure the others will have much impact, too many loopholes in lending to effectively address at this point.

  10. This concept of "Locate" which has no effective purpose with all the loopholes and SROs. Reg SHO doesn't work. They can bypass it with just a little bit more business expense. There's gotta be something added about this so the same shares don't get lent out multiple times illegally increasing supply.

  11. I'm open to ideas, that's why I posted this. We could do it in the comments here, you could put a post together and tag me or maybe we can do a Reddit Talk session to discuss.

  12. Why not leave PFOF in there so they know we are not going to let it rest? Keep talking about it so they know we have not "forgotten" about it.

  13. Efforts are appreciated and your insight has been valuable from the get-go. Hoping actual, positive change happens soon. Cheers.

  14. Imagine thinking you have a seat at the high table. What happened to PFOF? Useless reforms in a corrupted market

  15. Look at the engagement when bots/shills aren't acquired or awards bought out, seems as tho the sub has caught on to this guy.

  16. Why not just ask for stock lending to be completely removed from the system ? If someone wants to short the market then Buy puts.

  17. Pushing for reform is great and all but the players in the game have demonstrated in great detail how FUCK THE RULES WE WILL DO WHAT WE WANT. Also, the enforcers like Gary gensler love to be degraded by Kenny and the gang and guzzle hedgie mayo all day long. Rules without enforcement or pathetic fines as enforcement mean there are no rules. So I'm glad we are gonna get on changing the rules and being more transparent but until people are held accountable to those rules no one cares and it is apparent no one cares by looking at the state of our markets.

  18. This is the most important post of the day, yet only 1.5k upvotes? WTF superstonk? Let's focus on what really matters!!! (BESIDES DRS OFC)

  19. Dave, this was an ultra-fast response. I hate to see it not gaining the traction it deserves. When the time is right, please keep this sub in the know on the next step for We The Investors. All of the things you highlight are important - FTD's technically should not be allowed altogether, however what you are doing matters and it's appreciated!

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