You're right, but I've been assured that people do. Much the same applies to stocks trading sub penny as the shorter believes the company will go belly up.
If I were looking at a company to short, I'd consider TSLA, but if I did, I'd probably end up like others who did, I'd lose. I like the car, and while I wish I'd bought years ago, right now I can't see it, and I'll probably be wrong about that.
Gary