GBT Technologies Inc (GTCH)

[MrMyers]

Short sellers are required to close their positions (borrowed or naked). I believe that closing these positions will drive the share price up in the event of a buyout. Failure to close the positions out would be fraud. Someone please correct me if my understanding is flawed. Here's the foundation for my understanding:

From Google:

"Penalties for non-compliance with short-selling regulations can be severe and may include hefty fines, trading bans, and in severe cases, criminal charges. The exact penalties depend on the jurisdiction, the specific regulations, and the extent of the violation."

"When a trader wants to close out their naked short position, they purchase an equivalent number of shares in the open market. These purchased shares are then used to pay back the loan of shares they initially sold short. In other words, closing out involves buying shares to cover the short position."

The real outstanding share count is the number that matters during a buyout. Naked shorts get squeezed.