/drs/Why synthetic shorts rely on retail staying trapped in omnibus street-name and eToro IOUs
Think about how a prime broker generates a 'locate' for a short seller:
>They don't lock a specific serialized certificate >They point to aggregate street-name inventory held at DTC / omnibus brokers as 'reasonable grounds to believe' the share can be borrowed >Meanwhile CFD/IOU platforms like eToro internalize retail buys off-exchange so the lit bid never moves
Every time an investor pulls 75 shares out of street name into Computershare (DRS Book), or withdraws 50,000 $$DOGE into a cold wallet, the fractional-reserve locate multiplier shrinks.
Did something similar happen to you or do you have info to add? Write your reply below 100% anonymously (no registration or email required). We recommend using conditional phrasing.
Anonymous Mode: Instant posting enabled (no account required). Use Name#secret for a tripcode.
