Starfleet Innotech Inc (SFIO)

[Donnymost]

Newbeginner - You sound sincere so I will help give you an answer. The DTC locked down shares so they can verify what shares are real and what ones are fake.

They implemented for their clients what is called a Trade for Trade lock meaning in order to buy shares you must have a seller who can verify ownership to sell you.

My belief is the problem was so many shares were being shorted that they just couldn't deal with all the fake shares being sold. So now they need to go back and have all shares sold accounted for.

What that means for you is if your shares were acquired for you by your broker and they were not backed by actual shares, then they can't allow you to compound the problem and sell shares that don't exist.

That being said, I wouldn't rule out ST allowing you to sell your shares at some point very soon so they can start to cover. Some MM's are in serious trouble here is my guess.

I also am guessing broker X will no longer sell Broker Y shares they don't have to cover their short position back and forth. I Believe it is time for them to pay up and account for the fiasco. We will all know soon enough.

I am not 100% sure and someone feel free to correct me, but as an example Ameritrade uses their own clearing company not DTC. Why they will be able to continue trading.