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Re: madeindet post# 2727

Thursday, 01/28/2021 8:57:02 PM

Thursday, January 28, 2021 8:57:02 PM

Post# of 23959
Knowingly and purposefully NAKED SHORTING is illegal.

It’s also excusable because the contract buyer may not be aware that they are naked shorts.

You should actually educate yourself before calling me wrong.

I can short a stock and “ohhh no... there aren’t enough shares so now I’m naked short selling”

It’s sort of like if you violate a day trading rule.

You can actually get away with violating a day trading rule several times before your account gets restricted.


Purposefully, knowingly, and willingly naked short selling a stock is illegal.


It still happens every single day and it’s nearly impossible to prosecute.

Unwittingly naked short selling a stock is a minor warning from the SEC.
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