“If you can afford to hold the stock, you hold. I don’t own it, but that’s what I would do.
Why? because when RH and the other online brokers open it back up to buyers, then we will see what WSB is really made of. That is when you get to make it all work.
I have no doubt that there are funds and big players that have shorted this stock again thinking they are smarter than everyone on WSB.
I know you are going to hate to hear this, but the lower it goes, the more powerful WSB can be stepping up to buy the stock again. The only question is what broker do you use. Do you stay with RH, who is going to have the same liquidity problems over and over again, or do you as a group find a broker with a far, far, far better balance sheet that won’t cut you off and then go ham on Wall Street.”
Now, although Yahoo Finance listed both AMC and GameStop tied to Mark Cuban’s stock portfolio, he said in the AMA that he does not own them.
An out of touch Gary Gensler has made it rather clear that keeping his job is more important than actually enforcing the law.
Here’s what Mark Cuban had to say about the SEC:
“The SEC is a mess. I wouldn’t trust them to do the right thing ever. It’s an agency built by and for lawyers to be lawyers and win cases rather than do the right thing
If the SEC gave a shit about ANYONE other than Wall Street you would be able to go there right now and read bright line guidelines about insider trading, shorting, what is a pump and dump, what are the rules for cutting off the purchase of stocks like happened with GME et al
But they won’t. They would rather litigate to regulate, which means they love to sue people in order to create new legal precedents.
All you need to know about the SEC and how badly they want to fuck the little guy is that they have the option of using JUDGES THAT WORK FOR THE SEC when they sue you rather than you have the option to have jury of your peers in front of a judge that is independent. Thats how bad the SEC is. If you want fair markets that doesn’t benefit Wall Street call your local politician and show them this.”
Matt Taibbi says that in the beginning, Twitter more than lived up to its statement, “the power to create and share ideas and information instantly, without barriers.”
But at some point, this statement was completely manipulated.
That is, when both Democrats and Republicans gained access to directly influence what was allowed on Twitter and what wasn’t.
At first, tools for controlling speech were designed to combat the likes of spam and grifters, or financial fraudsters.
Over time, Twitter staff began to take advantage of this leverage tool by accepting speech manipulation on the platform from outside sources.
And apparently, CEO Jack Dorsey had no idea this was occurring!
By 2020, requests from connected actors to delete tweets were routine.
Email exchanges would read: “More to review from the Biden team.”
The reply would come back: “Handled.”
According to Taibbi, celebrities and unknowns alike could be removed or held for review on the behalf of a political party.
A Major Imbalance Between Democrats and Republicans
While both Democrats and Republicans had access to these tools, the system wasn’t balanced.
Because Twitter was overwhelmingly staffed by people of democratic political orientation, there were more channels, more ways to complain, and more opportunities for Democrats to take advantage of than there was for the Republican party.
Twitter Political Contributors
In 2018, Democrats contributed $295,722 to Twitter while Republicans only contributed $11,100 for access to manipulate speech on the platform.
2020 showed a massive jump in contributions from the Democratic party, totaling to $909,431.
The Twitter files shows us that Democrats tampered with elections in 2020 by removing content on Twitter that interfered with their campaign.
One of the biggest coverups being Hunter Biden’s laptop story.
Let’s dive into it.
Why Hunter Biden’s Laptop Story Was Hidden
On October 14, 2020, the New York Post published ‘Biden Secret Emails‘, an exposed based on the contents of Hunter Biden’s abandoned laptop.
Twitter took extraordinary steps to suppress the story, removing links, and posting warnings that it may be “unsafe”, says Taibbi.
The transmissions to share via direct message were blocked, a tool that is reserved for extreme cases, such as child *ornography.
White House spokeswoman Kaleigh McEnany was locked out of her account for sharing the story on Twitter.
This also led public policy executive Caroline Strom to reach out to the Twitter team regarding the unusual circumstances.
Twitter’s response to Strom was that Hunter Biden’s laptop story had been removed for violation of the company’s “hacked materials” policy.
According to Matt Taibbi, these decisions were made from those with the highest levels of authority in the company without the knowledge of from former CEO Jack Dorsey.
Head of legal, policy, and trust Vijaya Gadde played a key role.
“They just freelanced it,” is how a former employee characterized the decision.
A Violation of the 1st Amendment
Democratic congressman Ro Khanna reached out to Gadde in efforts to hop on a call and discuss the backlash on ‘re speech’.
“Khanna was the only Democratic official I could find in the files who expressed concern, says Taibbi.”
“Hope you’re well Vijaya! But this seems a violation of the 1st Amendment principles. If there is a hack or classified information or other information that could expose a serious war crime and the NYT was to publish it, I think the NYT should have that right.”
“A journalist should not be held accountable for the illegal actions of the source unless they actively aided the hack. So to restrict the distribution of that material, especially regarding a Presidential candidate, seems not in the keeping of the principles of NYT v Sulivan“, said Ro Khanna.
This has been part 1 to the ‘Twitter Files’ exposing why Twitter blocked Hunter Biden’s Laptop story and how Democrats were able to influence the election by suppressing a story that had the potential to sway public opinion.
The lawsuit was filed on Thursday in Manhattan federal court.
Northwest Biotherapeutics alleged the market makers had repeatedly engaged in “spoofing,“ where traders place orders with an intent to fool other investors about a stock’s demand and manipulate the price.
Northwest, whose shares trade over the counter, also sued Canaccord Genuity Inc., G1 Execution Services LLC, GTS Securities LLC, Instinet LLC, Lime Trading Corp. and Virtu Americas LLC.
FTDs, or Failure-to-deliver occurs when one party in a trading contract (whether it’s shares, futures, or options) fails to deliver on their obligations.
These failures derive due to buyers not having enough money to take delivery and pay for the transaction at settlement.
In the case of sellers, it means not having the goods to meet that transaction.
AMC Issues Warning of Possible APE Short Squeeze
That same month in October, AMC released a statement warning short sellers of the possible losses they could incur in the event of a short squeeze.
“purchasers of our Class A common stock and AMC Preferred Equity Units could incur substantial losses if there are declines in market prices driven by a return to earlier valuations; to the extent volatility in our Class A common stock and AMC Preferred Equity Units is caused, or may from time to time be caused, as has widely been reported, by a “short squeeze” in which coordinated trading activity causes a spike in the market price of our Class A common stock and AMC Preferred Equity Units as traders with a short position make market purchases to avoid or to mitigate potential losses, investors purchase at inflated prices unrelated to our financial performance or prospects, and may thereafter suffer substantial losses as prices decline.”
Retail investors have been buying APE stock in efforts to trigger a short squeeze like when shareholders drove AMC’s share price from $14 to $72 per share.
While one might argue that the price surge wasn’t an actual squeeze, it was certainly a significant move to the upside.
Especially after trading at $2 prior to the ‘meme stock’ frenzy.
Will shareholders be successful at creating a short squeeze for APE?
Afterall, APE is currently one of the most shorted stocks in the market.
Virtu Financial Inc is suing the SEC, alleging on Tuesday its primary regulator had not responded to a public records request.
Virtu, a market maker with a large equities business, said it submitted a Freedom of Information Act (FOIA) request in June to determine if the SEC had met legal requirements to evaluate potential investor harm and market risks while considering new rules for the handling and execution of retail stock orders.
The SEC declined to comment.
The FOIA request sought, among other things, communications between SEC Chair Gary Gensler and various stakeholders involved in retail stock trading.
“What we’re doing is exercising our rights as citizens … to understand what this Chair is looking at and who he’s meeting with,” Virtu Chief Executive Doug Cifu told Reuters.
“We think it’s important that there be clarity and transparency — that’s what the SEC requires of us as a listed company, so we’re just taking that same standard and saying, be transparent in how you’re dealing with potentially seismic changes to equity market structure,” he added.
Cifu has said Virtu may sue the SEC over other potential rule changes Gensler outlined in June.
What Does the Market Maker Fear?
The industry has attacked the SEC as several plans to level the playing field for retail investors have been proposed, one being the ban of PFOF (payment for order flow).
Now it seems market makers such as Virtu want to know ahead of time what the SEC is up to in order to act now.
Virtu suing the SEC speaks volumes since majority of retail investors have doubted the SEC has true power to create any change in the market.
I’m curious to know what you think.
Leave your thoughts in the comment section down below.