First I would like you to read this thread: https://www.reddit.com/r/Superstonk/comments/o1sggl/the_hidden_shorts_the_correlation_of_ftds_and/ I believe that institutions are hiding the true number of short positions on certain stocks, that they are doing this using rehypothication, dark pools, and shady (fraudulent?) use of puts and calls. I ask that FINRA consider the following changes: 1. Institutions must report the true number of short positions on a regular basis 2. Institutions may not use rehypothication to open short positions exceeding the float of a stock. 3.

Creating synthetic shares to create “liquidity” is a major concern within a free market in that it no longer allows a free market to operate, for it creates fraud. Liquidity is a natural component of the market that correctly occurs at the right price and is needed to find the securities price. When there is no liquidity, the price must go UP until a seller is willing to seek and create that liquidity, same with the sell side. I have NEVER heard of a time when synthetic shares are introduced to help somebody sell a security... why?

The current system is completely rigged against the small retail investor. Short sellers trade synthetic shares and naked shorts back and forth to one another- which creates downward pricing pressure on a stock. How does my 1 share compete against a Short Sellers 1 share that converts into 1000 synthetic shares? How is it possible 3X, 4X, 5X etc the entire float can be traded- with the large majority of trades being "hidden?" If Naked shorting is in fact against the law, why is that law never enforced? Naked shorting is done in broad daylight without penalties.

Hello, if someone is actually reading through these and actually cares I thank you. All the people want is a fair market with transparency. More and more people are losing faith in the stock market every day. Stocks like AMC are being manipulated every day in front of billions of people with nothing done. The short selling corruption with no consequences has gone long enough. These $10,000 fines for breaking rules to make hundreds of billions is a JOKE.

To Whom it May Concern: I believe institutions such as Citadel and Melvin need to stop manipulating the market by illegal tactics. Strict enforcement needs to take place when these companies violate the rules regarding synthetic shares and FTD's. Fines of 10k are merely a slap on the wrist for these companies. The amount of money that these companies have would be like a 1 cent fine in ratio to the retail investor. This doesn't seem fair. These companies are more than willing to just take the miniscule fine in order to continue engaging in their market manipulation practices.

The companies reporting short interest have been shown to not follow the rules and hide their short positions in various ways. There is no good reason that any information related to the financial system should be left up to self reporting. All information should be submitted and stored automatically as transactions are carried out and it should all be of public record. This record should be updated in real time and accessible on the web by any interested party at any time.

Good Morning, and thank you for allowing me to comment on the proposed changes to SI reporting. First and foremost in order to make an educated decision in my investments, i believe that SI should be reported DAILY. Also looking through the proposed changes, synthetic shorting reporting...I believe this is also illegal as creating a synthetic short position is akin to counterfeiting . How can an individual investor really know they have bought a "Real" share? This leads to the reporting of FTD's. Fail To Delivers should be illegal and immediately banned.

All reporting should be live and up to date always. Funds need to stop shorting companies into the ground. No trading of synthetic anything. It’s just being maliciously abused by market makers. No shorting in unregulated exchanges. I’m sure there’s many more, but it’s hard to keep track of all the felonious behavior. Retail traders are being robbed of their money all over the market by things not just short related. It’s exhausting and beyond disappointing. Please work quickly to remedy some of these loopholes and crimes.

I’m a new investor learning every day. I do believe the transparency is key anything here is not good. I believe that you guys know what is very good for the company for the stocks and for us so do the right thing thank you

For a mechanism that is designed to drop the price, why is is shorting permitted whilst the price is already dropping? This does not feel like a mechanism for price discovery, rather a way to force the price down, triggering stop losses from people trying to manage risk. If someone truly believes that the price will drop, let them short during the uptick only. Let there be a central database recording shares sold short, to avoid rehypothication and to better identify manipulative practices. Set a limit on how much a stock can be sold short.