Most often your own brokerage is selling short. You buy at the ask let's say .002-.0022 the shares appear in your account but your brokerage doesn't actually cover the sale to you until the PPS returns to the lows. Brokerages and Market Makers do this for a living they know of the dilution, of course retail buyers like to think they have it all figured out, all they need to do is buy because a message board told them so. lol