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A comment on Discord bans r/WallStreetBets server, subreddit went private for a while. Parent comment

Re:Discord bans r/WallStreetBets server, subreddit went priv... by esrauch on Thursday January 28, 2021 @09:16AM (#25942007)
Can you explain how it's possible that 99% of shares were held by owners that were willing to loan their share? Surely at least 2% of GME was owned by "regular people" whose shares just sit in their brokerage accounts?
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Re:Discord bans r/WallStreetBets server, subreddit went priv... by dragontamer on Thursday January 28, 2021 @09:20AM (#25942074)
Those brokerage accounts loan the shares out and collect some interest %%% while waiting.

The shares don't have your name on it. It has like Robinhood's name on it, holding on behalf of the customer.

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Re:Discord bans r/WallStreetBets server, subreddit went priv... by esrauch on Thursday January 28, 2021 @02:59PM (#25948143)
I was completely unaware this was a thing: that means there can be a "run on the bank" if all of the customers wanted to sell on a short time period, and they don't actually have the shares to cover the sales?
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