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So are you disputing the claim that there was in fact naked shorting of Overstock? Or just that having more short positions than stocks existing requires naked

• jessaustin 8y ago
  Obviously, it's a general point about the nature of short selling. However, since thread parent made such a big deal out of it, which is analogous to breathlessly informing us that "banks don't keep all deposits in their vaults!", it does somewhat undercut thread parent's entire comment. Even though lots of people like Tesla, it's not an injustice for other people (or the same people, I guess?) to short it.
  • dhimes 8y ago
    It wasn't at all obvious to me that koliber knew that naked shorting was, in fact, suspected (at least initially) in the Overstock situation. Documents were sealed, but partially leaked, which is why I asked. And while I enjoyed reading koliber's very clear explanation, I am confused as to whether or not it applies specifically to Overstock, which is what the thread parent was addressing.
    • koliber 8y ago
      I am not aware of the Overstock case in detail. I was making a point that just because the short position is larger than outstanding stock does not mean the naked shorting was taking place. It is entirely possible, but we can no make that conclusion based on the fact that there were more shorts than longs.
      • dhimes 8y ago
        Thanks for following up here.