Nominated for "Moderators' Choice: Posts of Particular Merit". Thank-youIt is morally distasteful to bet whether some poor guy is going to get hit by a bus.
It is murder to push the fellow in front of the bus.
The short trade on TSLA was for a long time an attempt to kill Tesla the company. This was done in part by attempting to deny it access to capital. The papers also participated by publishing hit pieces to discredit Tesla, Musk, and their cars.
The SEC knowingly turns a blind eye on these attempts to kill companies and, in the case of Musk’s tweets for example, sometimes lends a hand. Hmm, that seems like regulatory capture.
Broadly speaking, the ability of shorts to strangle fledgling companies in the crib stifles innovation in the country and insulates entrenched players from the need to adapt. This saps the competitive strength of the US.
When our government fails in such a way, it is entirely right and correct as well as necessary for its people to exert a rectifying action. Indeed, it is our patriotic duty. Yes, even if we have to make a small sacrifice.
If the predatory shorts who were caught out in the GME trade can be ruined and their wealth transferred to our youth, so much the better.
Perhaps our federal regulators will wake up to the threat posed by the modern short playbook. Perhaps they will make short action more transparent. Perhaps they will restrict or eliminate the ability of market makers to abuse their power to naked short.
One can hope. One can also chip in a few bucks.