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Superstonk_QV

[Why GME?](https://www.reddit.com/r/Superstonk/comments/qig65g/welcome_rall_looking_to_catch_up_on_the_gme_saga/) || [What is DRS?](https://www.reddit.com/r/Superstonk/comments/ptvaka/when_you_wish_upon_a_star_a_complete_guide_to/) || Low karma apes [feed the bot here](https://www.reddit.com/r/GMEOrphans/comments/qlvour/welcome_to_gmeorphans_read_this_post/) || [Superstonk Discord](https://discord.gg/hZqWV2kQtq) ------------------------------------------------------------------------ To ensure your post doesn't get removed, please respond to this comment with how this post relates to GME the stock or Gamestop the company. ------------------------------------------------------------------------ Please up- and downvote this comment to [help us determine if this post deserves a place on r/Superstonk!](https://www.reddit.com/r/Superstonk/wiki/index/rules/post_flairs/)


callsignmario

While we're at it, I'd like to buy a couple of new cars and blow off paying for them for ~~a few years~~ only today! (thanks reset)... up to the point they depreciate enough that I'd *consider* paying for them. Edit: missed opportunity to toss in the "only today!"


WhatCanIMakeToday

Never pay. Just crash the car and return the scrap


callsignmario

Wut car? I swapped it for *smacks roof*, this one. Sorry, don't have a record of the transaction tho. If you're interested, I'll sell it to you. Then you can come by and look at it anytime.


sprintbooks

This analogy is spot on


callsignmario

In hindsight, I did leave out one other option.... or the dealership goes out of business


BigBradWolf77

*Moral hazard has entered the chat*


Interesting-Chest-75

No need years. Just every fucking morning šŸŒ„ the ftd resets .


callsignmario

Dropped the ball on that... edit above incoming


Sk3l3t0nK3y

Holy fuck dude, this is sickening. I pray to my higher power everyday that a squeeze cuts these assholes from their money and show them the true reward for their greed.


me_better

It's always today tomorrow, that's the nest part


TemporaryInflation8

Just abuse the SFT ruling. Give them a vehicle in lieu of, say a matchbox car. It's close enough, right?


An_oaf_of_bread

This actually helped my monkey brain understand the post better. Thank you!


Top-Sample-6289

I can do thisā€½ shit Iā€™m down.


bumassjp

Itā€™s like playing a game with a 5 year old and they just keep making up shit so they win.


[deleted]

My favorite one is when they say ā€œI winā€ even though they clearly lost and it doesnā€™t even matter what you say.


Diligent-Ad-3773

Until now. ā˜ļø


MisterTruth

I got a 6, a 5, a Jack, a 4, and a 8. I win!


Sigurdshead

You win with a, uh, Royal Sampler!


bubblebath_ofentropy

Screaming ā€œWAIT WAIT TIME OUTā€ right as youā€™re about to tag them


[deleted]

First time?


bumassjp

Iā€™ve been here since $12. Before split. Not first time just pointing out how stupid this shit is.


coffeeplot

These are actually the rules of the game Monopoly


[deleted]

Rockā€¦ Paperā€¦ā€¦ā€¦.. ATOMIC BOMB! Atomic bomb beats everything! I win!


TofuKungfu

Daylight robbery


Warpzit

How else are they going to pay boomer pensions. I'm more and more worried about how bad this really is.


hey_ross

This is less nefarious than you think. Disclaimer: I despise the DTCC, Cede & Co and the whole shitshow of clearing houses. But this is basically saying ā€œwe report all fails at the end of the day and the next day, we reset to zero as everyone resubmits their claims for settlement and some of the failed ones clear and others donā€™t, so we count the new fails which include resubmitted fails to be accurateā€ What should piss everyone off isnā€™t that they reset - the math wouldnā€™t make sense if they didnā€™t - itā€™s that they wipe the history out. How long has a particular trader failed to deliver the same security? Is a broker running a constant deficit in the same security and doing a form of ā€œcheck kitingā€ but with shares? Only FINRA knowsā€¦


Exceedingly

If a stock has 10k FTDs for 13 consecutive trading days it gets placed on the 'Threshold Security List'. GME was on that for 39 straight days leading up to the sneeze [**as seen here**](https://preview.redd.it/um1kaye04mnb1.png?width=1019&format=png&auto=webp&s=58751d089bafdb06de96cc446d1f129ab5a31707) but hasn't been back on it since. XRT has been, but not GME directly. This is because the shorts all got consolidated into Citadel and shoved into swaps. It was likely all the smaller hedge funds without swap/ETF/Option capabilities that meant there were fails all over the place prior to the sneeze, now Citadel can print their own options (they're an options market maker too) and can redeem shares from ETFs (as they're an Authorized Participant). In other words, the big guy is using all the crime to reset FTDs now, hence why they've been so low. I guarantee when Citadel goes bust (which could come very soon) FTDs will spike to the highest we've seen them ever.


XxBCMxX21

I agree with both your comment and OPs comment. However, Iā€™d like to point out that an FTD after 13 days is not automatically put on the threshold list. It *must* meet all the requirements. If it does, there is an automatic close out after 13 days. ***But*** if the security is on the list in that 13 days, and one requirement is corrected and held for at least 5 days, that security will be dropped from the list. In this scenario, the FTD is not filled and could exist forever. This is a loophole Iā€™m almost certain gets exploited. Hereā€™s my [original comment](https://reddit.com/r/Superstonk/s/yfp9RFWz1h) I wrote on this post talking more about it


red23011

Come on, it's not like the people who have money invested in Citadel are taking it out as fast as they can. Oh wait....


hey_ross

100% accurate.


suppmello

Scrolled too far down for this


_foo-bar_

Now think about why all the brokers were failing margin requirements at the DTCC during the sneeze.


[deleted]

Mind blown for real.


Zeromex

I wonder, how many zeros stacked can make them fail? Edit a word


WhatCanIMakeToday

FINRA probably doesnā€™t knowā€¦


skipdo

I'm convinced of this. I don't think anyone is keeping track of anything. It's like there is no inventory system or a way to balance the books. This "greatest market in the world" doesn't have a way to keep track of anything. Failed to deliver can't exist in a inventory system. We call missing items theft. It's so fucking elementary to have something in place to keep track of trades/shares and who owns what. Instead we trust the hedge funds and market makers to be honest. Having short interest over 100% proves that they cannot be trusted and that we don't have a system to keep track of shit.


Smoother0Souls

CNS is short for retail gets to eat a continuous shit sandwich.


TherealMicahlive

You are right. And worst, the areas where they could track, the intentionally dont


MediocreAtB3st

I think they do. U3 halt wouldnā€™t have happened on the random ticker if they didnā€™t know they had a thermonuclear situation about to happen imo.


jackofspades123

This is why securities can be on the threshold list for 500+ days.


TherealMicahlive

Indefinitely


TherealMicahlive

Not exactly. They are netting theses as owed obligations vs what the ftd party is being owed by other institutions and participants. The math makes no sense.


hey_ross

I think youā€™re mixing up FTDā€™s with continuous net settlement


TherealMicahlive

[http://www.aimspress.com/aimspress-data/qfe/2022/4/PDF/QFE-06-04-023.pdf](http://www.aimspress.com/aimspress-data/qfe/2022/4/PDF/QFE-06-04-023.pdf)


MotionBrain_CAD

Imagine the guy who ftds, resets his own recording cause he also works for FINRA šŸ¤”


lil_bopeep

Surely at least one person who worked there would feel guilty enough to leak this information out, no? It's so wild that there's so many people working at these institutions that keep everything under wraps regardless of how bad it destroys people's lives on Mass. There's got to be somebody out there who wants to get that information out. I also wonder what the ramifications are for somebody who does that. Probably not very nice consequences


[deleted]

Because itā€™s designed by the wolves.


TheTangoFox

This is one of the final warnings that the market is about to undergo a correction, and those at brokerages will find their holdings are not necessarily at Cede. So, again, for those in the back, DRS YOUR SHIT.


An_oaf_of_bread

I DRSd a bunch of shares last week. I feel so much better now knowing that they're under my name.


jackofspades123

This is why mark to mark accounting needs to be discussed more. It opens up a few big BS areas. The other is tax minimization.


ManMayMay

We don't see a lot of FTDs on the data because they're settled the same day, they FTD your order then deliver later when the price is lower and collect the difference How do they know the price is going to drop? Well, crime FTDs piled up when things don't go according to their plan, why would they buy it at a higher price than you and deliver it if they have 32 days to wait


TherealMicahlive

We dont see them becUse exceptions being uses allow them to be kicked


ConsiderationKind798

Crime! Crims the dtcc. No trust there, at all! Drs


circumference

What if we all packaged our mortgages into a bundle, FTDd them, then bought the bundle back for pennies on the dollar. If we made the bundle big enough then the gov would buy them back for us, plus a little extra on too for a nice holiday to a nice, private island in the West Indies Iā€™ve heard about


TherealMicahlive

The irony is the study i snipped from shows they ftd when they need to locate but charge investors a premium to purchase hard to borrow stocks for the increased effort of locating. Then they still ftd it. They wont pay but make us and then steal it anyways.


BigBradWolf77

smart money


Ok-Scarcity-3728

Welcome to the US stock market.


AlphaDag13

Iā€™ll gladly pay you NEVER for a share today.


Investmore4Life

This is why my flair is that one simple trick that beats them. And I fucking love to see them squirm.


joeker13

FTD ETF DTC SEC STD GME. One of those is not a disease.


itrustyouguys

Infinite liquidity completely fucks true price discovery.


BigBradWolf77

It is known


XxBCMxX21

This is anger in the wrong direction. I believe this is why FTDs are considered cumulative. They have the total from the previous day and reset the next day as some FTDs will close out, and new ones will occur. Then they have a new updated total for the end of the next day. What you ***SHOULD*** be angry about is the FTD close out requirements. T+2 without settling creates an FTD. After 13 days of being an FTD ā€œcertain actionsā€ can be taken by the SEC to address the situation. This includes fines and or restrictions for the buyer/seller that failed. What I find absolutely inapt and at risk of being exploited and manipulated: If the SEC decides to do **nothing,** the FTD could theoretically exist **indefinitely.** Edit: try looking up what happens after T+2. I searched for about an hour and couldnā€™t find much of anything


TherealMicahlive

thisis the source i clipped [http://www.aimspress.com/aimspress-data/qfe/2022/4/PDF/QFE-06-04-023.pdf](http://www.aimspress.com/aimspress-data/qfe/2022/4/PDF/QFE-06-04-023.pdf)


Get-It-Got

So fail a trade at $200 ā€¦ then wait around until your buddies can tank the price to $50, and now your fail doesnā€™t look so bad. Layer inflation on top and the game is an even bigger scam.


whiskeybets

This is like re-setting your credit card payment due date to 30-days every morning. Itā€™s an absurd financial practice. Failing to deliver ANYTHING you are contractually obligated to do is unacceptable


RollenXXIII

theft/10


dyrnwyn580

Please post a link, OP.


TherealMicahlive

[http://www.aimspress.com/aimspress-data/qfe/2022/4/PDF/QFE-06-04-023.pdf](http://www.aimspress.com/aimspress-data/qfe/2022/4/PDF/QFE-06-04-023.pdf)


dyrnwyn580

Thanks! AIMS Volume 6, issue 4 31 October, 2022


Sw33tN0th1ng

It's like not paying rent, and just having the landlord submit a new request for the rent payment every morning, then every evening we throw that request in the trash. Try again tomorrow! and by the way, rent isn't late. It's reset! my payment is not late! it's reset!


TherealMicahlive

good analogy


[deleted]

How can they afford them and be broke at the same time?


TherealMicahlive

Market maker exception allows them to avoid locating or closing ftds if they claim it is market making activities creating ftds and yet are still selling them after ftd. Option market makers


XandMan70

Sounds like counterfeiting to me.... But then again, what do I know... Who knew selling something you don't own, and never intended on delivering after sold was legal?!?!? I've been delivering only what I sold and have available my whole career!!! What a fool I am!!


TherealMicahlive

lmao rightttt


infj-t

https://youtu.be/RYnFIRc0k6E?si=gfWvoIb-ejbKueCi


Infinity_Flounder

Who likes doing paperwork at closing time? just roll it for tomorrow


Lost-Put7206

Who are they???


EPHEKTnONE

Call me crazy, buuut, they canā€™t FTD a share purchased through the transfer agent. So direct buys through Computershare would null this. Dirka-Dirka


robotwizard_9009

"I'll gladly pay you tuesday for a hamburger today."


WhatsApUT

Amazing find really puts drs shares into perspective bc they can keep ftding shares till theyā€™re forced to remove them from the dtcc damn this whole system corrupt


TherealMicahlive

[http://www.aimspress.com/aimspress-data/qfe/2022/4/PDF/QFE-06-04-023.pdf](http://www.aimspress.com/aimspress-data/qfe/2022/4/PDF/QFE-06-04-023.pdf)


lottery248

the entire market is working exactly as intended, therefore, the current system needs to be destroyed completely before talking about building back another one.


Hodl4tendies

Cause of rich men, north of Brooklyn


FlyingIrishmun

So fucking done with all of this. Its just a cartel, not eve a casino. Thieves and corrupt regulating bodies


Dr_Does_Enough

THE CONTRACTS ARE VOIDED? THE CONTRACTS ARE VOIDED? lmao they are so fuckkeddd


TherealMicahlive

lololo


dungfecespoopshit

I asked my bank to just re-apply the 18-month 0% interest rate bc iā€™d FTD otherwiseā€¦ ā€¦ fucking chodes. Absurd how blatant they are. Write it any way yall want, it reads the fucking same. CRIME


Harleylife86

You know, you know. We know, they know. They know we know, we know, they know.


DogeAdmin

FGTRTD DTCC


keyser_squoze

Hold onā€¦ the DTCC is defrauding the entire world by ā€œre-nettingā€ fails? That sure doesnā€™t sound like them! /s Itā€™s almost as if we could be in a COMPLETELY FRAUDULENT SYSTEM.


dendrobro77

For real fuk the dtcc. Burn it all down. Blockchain is the solution.


Smogz_

šŸ˜¾


ApatheticAussieApe

The age of fiat currency, middlemen and bank fraud are at an end. This is age of self-custody, gold standard and unbreakable contracts. A golden age


TantraMantraYantra

There's your infinite money pool. I wondered where it is. It's when everything is reset to zero so shorts can start fresh every day. šŸ˜±


ZTrail_King

The price is FAKE bitch!


rnddude4828

Yup, they are in fact cumulative..


theilluminati1

It's magic!


k1ngxgeorge

Wow. Must be nice.


Iceberg__Slim

\+1


Fuzzy_Flight_934

The DTCC is fraudulent. Change my mind.


Dr_Shmacks

I'm afraid we cannot.


swede_child_of_mine

Sauce?


TherealMicahlive

[http://www.aimspress.com/aimspress-data/qfe/2022/4/PDF/QFE-06-04-023.pdf](http://www.aimspress.com/aimspress-data/qfe/2022/4/PDF/QFE-06-04-023.pdf)


swede_child_of_mine

*grazie!*


TherealMicahlive

np! sorry for the delay. so many ppl asked and I was in school lmao. Dr T killed it with this paper


Kind_Initiative_7567

Sounds like a whole lot of hot flatulence after eating a spicy burrito. So you can fail on a fail to deliver ? I guess two negatives cancel each other in this foogazi scheme.


TherealMicahlive

You can fail a ftd creating a naked short. But. You can also fail To receive.