He missed a cash dividend.
It’s odd to me every time a dividend comes up I see people against it, or they want a NFT dividend like the DTCC can’t BS their way through that. I don’t think a NFT dividend would work. It was tried once when Overstock was shorted and it flopped.
Cash is king and there is no substitute for cash in the market. They can’t pay out monopoly money or IOU’s when a cash dividend happens. If Gamestop hands the DTCC X amount of dollars and says this is for a $1 dividend to each shareholder, the shorts are fucked. They have to pay the full amount of the dividend to every shareholder who bought a naked short and they have to pay out of pocket.
Apparently RC can invest Gamestop funds in stocks now, and I saw a great suggestion that Gamestop should invest in dividend stocks and then issue a “pass through dividend” to shareholders when those stocks issue dividends. So say Gamestop invests in Coca Cola - when Coke issues a dividend, Gamestop would simply pass that cash onto GME shareholders as a dividend. So we get a cash dividend, paid for by Coke.
And every time that happens, the shorts have to pay the difference. All the naked shorts they’ve issued over the past 3+ years also get the dividend.
This is how we blow up the Ponzi scheme.
Every time they short sell more, they get more money. How do we use the naked shorts against them? A cash dividend.
It’s the killing blow and that’s why every time it comes up, people are against it. Think of it as a litmus test. Who is part of a fifth column and actually working against us?
Overstock’s digital dividend story: “Overstock announced a plan to issue a digital dividend in Sept. ’19. After a legal fight with short sellers, the issuance took place on May 19th, ’20. Overstock share price began to climb prior to issuance and then sky-rocketed just after, gaining near 25x within 6 months.”