According to this poster an OTC Stop sign means there can't be dilution on a Penny stock....
Depends on what's meant by "dilution". It IS true that nowadays very few brokers will accept deposit of stock in companies that have been flagged with a stop sign. While OTCMarkets isn't a regulator, Rule 144 does require that "current information" about the company be available. If the company has a stop sign, the brokers assume there is no current info. Sometimes they even balk at companies with yield signs.
And so some toxic funders are finding themselves stuck with free trading stock they can't sell.
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