Does anyone know the mechansisms that enable trading in multiple Markets like we will have here soon with both Pinksheets and the Frankfurt Exchange in full operation?
What I mean is how does the same block of shares get handled between multiple Markets?
By our rough number count we have close to 20 million shares owned by investors just on IHub right now. If indeed the tradeable float is only 30 to 35 million then that means there are maybe 15 million more shares available for trading. We have been told that some European investors supposedly bought close to 4 million over the last few weeks. We also do not know how many shares might be owned by reatilers that are not on this board. That leaves the tradeable float pretty well bought up or at least close to it.
Thus, how does the Pinksheets MM's and the Frankfut Exchange Specialist deal in this security simultaneously and without many "real" shares available to be traded? The next question is assume there are 10 million shares available to be traded and all of these shares are sapped up in Frankfurt on a single day in the future. How does the MM's over on Pinkshets then know these shares were just purchased and the available pool of 10 million shares is no longer available? Legally I do not think they can simply trade shares they do not have available but did think there was a real short term provision that allows them to sell or buy shares for real brief time in case of no available liquidity. Anyone know the answers to some of the questions I have here?