HPIL Holdings (HPIL)

[shotsky]

When convertible notes are not paid in cash, they are paid with shares, usually at a huge discount. They IMMEDIATELY drop those shares on the market. They don't 'feed them out over time'. They are money lenders, not stock traders. The whole OTC runs on borrowed money and notes are converted to shares every day.
We were told that all the notes are gone. We can thus say that all those shares are now in trade - no noteholder wants to hold them while they decrease in value. They take what they can get, and use the money for their lending business.