In a way, you're right. He is sitting on a goldmine for dilution. The idea that a fledgling growth company wouldn't need to dilute is unrealistic, the entire reason for being public is to raise capital, ie dilute. The key is to find the plays where the growth/revenue will outpace the dilution, and that's why as risky as a play like this is, I think it's a great gamble give ALL of the circumstances (not just looking at past performance as the end all be all). My underlying basis for being bullish isn't based on there not being any dilution, it's that the growth will end up easily outpacing the dilution and it won't even be close. This is a goldmine for dilution, Mark and Co. are going to be able to raise a lot of capital and potentially put it to good use as the stock breaks out to what are essentially all time highs.
Mark has two options here:
Option A - do this the right way, let the stock breakout past .001 (.05 post split) and dilute into the strength of a 12 year breakout (insane) as the IP/content bubble generates more interest in his portfolio than ever and fuels incredible growth with raising capital getting easily absorbed by the market..
or
Option B - Which is what people are suggesting. The moment it splits he toxic dilutes this right through the floor, which would effectively start a whole new free fall as the split would give it more room to crash. In this scenario he's able to raise some capital but it would pale in comparison to option A.
What cracks me up is that so many assume Mark is going route 2 when the first route is legitimately on the table here, which is not something an OTC company is often privy to. Even if Mark is the biggest bastard in the world, he's still going to go option A because it would make him soooo much more money.
Mark could have R/S and diluted through the .0001 floor many years ago but held off so when he needed to he would be able to do so through a position of strength. That's why there's a 12 year base on this chart when 99% of OTCs would have taken out the floor with toxic notes. There's an Ah Ha! moment waiting to be had by the perma bears here and I'm going to be here for it.
Bullish
