Welcome back to the channel everyone today, i've got some great news for amc and that's that the dtcc can literally cancel citadel. They can disconnect them from the entire market. This really helps to support my thoughts that the dtcc is actually on our side and are just waiting to bring down the hammer on citadel and the other hedge funds, but they're trying to put preparations in place to make sure they don't crash the entire market and Cause a giant recession just like 2008. All over again trust me guys.

You do not want to miss this video, so stay tuned and let's make some money, but guys before i dive into the video. I just want to give a massive shout out to the 2 400 of you that currently ding that notification bell, because you guys are always the first to watch a new video as soon as it's released so guys be sure to drop a like down below subscribe To the channel and ding that notification bell, if you haven't already so that you don't miss another video, just like this one and now i want to dive straight in with the key information, so part one nscc2021010. This is the new ruling that i recapped in my previous video the other day. This might be the nail in the coffin to ensure the biggest wealth transfer in history.

Nscc is creating securities financing transactions or sfts for their clearing members at risk of defaulting. These endangered members will be able to park their lung positions as collateral in exchange for a fixed amount of cash, upon which the nscc would be able to get interest from so effectively how this works is if a hedge fund is at risk of defaulting, because amc Is squeezing - and they don't have the cash to buy it back instead of having to dump their long positions in apple, amazon, tesla and other stocks into the market causing a market crash, they can just loan those long positions to other hedge funds and other clearing companies. In exchange for cash, so basically a defaulting hedge fund would lend say one billion dollars worth of apple for one billion dollars worth of cash, with the promise that in let's say a year or in a month or in a few days, they promise to pay back. That one billion dollars plus interest plus an upfront fee as well with the loan cash they will be able to cover their debt obligations.

However, if these members default from their shorts and not be able to pay up, the nscc will be able to keep their long positions first transfer of wealth from institutions to retail. Now this is quite key as well. I don't think it's necessarily the nfcc that get to keep the long positions, it's the other hedge fund or institution or market maker that they borrowed it from or lent it to in the first place. But it effectively gives them a reason or gives the other hedge funds a reason to lend cash to them in the first place, because they can keep the positions if they default.

This would effectively prevent the market getting affected at this stage. Like a flash crash. This would allow hedge funds to be indebted to the market and being on the hook with the nfcc. There was a rule of the dtcc and its affiliated organizations, not sure which one that they can create a private off-market auction bid, even for non-clearing participants to sell along positions of defaulted members.

Example, 25 million shares of apple being sold at 80 of today's price. Oh 85, going once going twice sold. This would enable big alpha players to come in, like blackrock or vanguard to get tons of shares in the fraction of a dollar without affecting the market's volatility. I think this all ties in with the sfts.

I think, when a defaulting hedge fund loans out its long position, they might not necessarily loan it out at 100 of the market value. So if they had one billion dollars worth of apple, another hedge fund or another institution might say: hmm i'll, give you 900 million dollars in cash for that one billion dollars worth of apple. Take it or leave it that way it gives the receiving hedge fund or the receiving institution even more benefit to lend cash to that defaulting member for them to cover their short positions in amc or gamestop, and it also enables those big players like blackrock or vanguard Or any other large hedge fund to come in and swoop up long positions on companies like apple tesla, amazon, for a good discount without crashing the market. Now i did try to find this specific ruling in the dtcc archives to go through it with you, but i couldn't find it if you can find it and do know what ruling number it is be sure to leave it in the comments below.

So i can check it out myself and give you some further information. Henceforth, the second part of the biggest wealth transfer in history, a market correction may be quite possible. No firm would allow big positions to create unbalances in their portfolio. They have a duty towards their accredited investors.

Eventually, those big firms would sell the surplus 100 of the market price towards the exchange for a profit on top of shorting them as well. For two birds with one stone. The prices of these long positions would fall over a long period of time with the gradual sell-offs example, instead of a day 1 50 market crash, we might see a 50 market correction over the course of several months. What this is basically saying is, instead of these hedge funds, which are defaulting dumping, a billion dollars worth of apple into the market, all in one day, another hedge fund can come and buy their apple at a discount and then drip feed and sell it into the Market because they don't want to be holding too much apple.

This would therefore cause a much slower decline in the price rather than a giant dump. On top of that, the srdtc 2021011 enables the dtcc to shut down clearing participants infrastructure if they're deemed to be a threat in the midst of a market disruption event. So i wanted to go over this and this is srdtc 2021011 and it says they're going to add a new rule 38a to address situations in which it's necessary to disconnect a participant or third-party service provider or service braille due to imminent threat of harm to dtc Participants and or other market participants so effectively they could disconnect citadel connect from the wider market and basically halt any transactions going through that and they can disconnect any third-party service even dark pools as well. I personally think this is very key as well, because if big funds like citadel are in the process of being liquidated, they're going to try and do anything they can to illegally shore a naked short that stock to try and reduce their risk of defaulting.

Therefore, if the dtcc picks up on this, they can just disconnect them from the entire market halt any operations they may be doing and it won't affect the stock and it won't affect the wider market. Also, the dtcc and its underlying organizations are not held liable to cover debt obligations from defaulted members, so who's on the hook, the rest of the clearinghouses and the banks. And, of course, the government won't allow the banks to default as they're practically the owners of the stock market. The speculated market correction might be expedited depending on how the world may react to the market, the delta variant and the upcoming flu season.

As a more simple explanation, i thought this was great, basically think of a landmine there's a lot of landmines. If one goes off, they all go off and go bang the stock market crashes. With this rule, only one land mine goes off and the others stay safe and sound. I personally agree with this opinion here.

The government knows the hedges messed up and are now just trying to figure out the best way to fix the issue, no supporting documents. Just my opinion, they know we've caught them and now they have to figure out how best to handle the situation. Do they pin it on one hedge fund like citadel, or do they take them all down? They can't pin this on retail, but also can't. Let us take down the stock market, the sec knows and is being quiet because they know they're screws.

The dtcc knows this is a problem and is trying to prevent an entire market crash, so they're putting new rules in place like 0-1-0, so hedge funds that are defaulting can loan out their long positions so that it doesn't crash the entire market. They then put new rules in place like 0-1-1, so the dtcc can literally just disconnect this defaulting hedge fund, so they can't screw anything else up now. Some of you might say: well just let the market crash as long as amc moons, i'm gon na be rich. So i don't really care if the market crashes, but you also have to remember that if the market crashes there's a lot of banks like jp morgan, goldman sachs and everyone else that has customer funds invested into the stock market in long positions in companies say, like Apple amazon and tesla, which could also crash too banks, would also run out of money and therefore wouldn't be able to give out loans to customers or businesses, therefore, causing lots of businesses to go under and people to lose their jobs.

Again, you might say, as long as amc moons i'm set for life, i don't really care if i lose my job, but also don't forget that you've got parents, sons and daughters, friends and wider family that could lose their jobs and be in a lot of trouble. Therefore, i personally think that the best way out of this is for a way that amc does moon and the entire stock market doesn't crash, thereby protecting jobs, protecting unemployment or protecting employment, but also making sure that amc sees the sky guys be sure to. Let me know down in the comments below what you think about dtcc having the power to disconnect people like citadel or funds like citadel from the entire market. Also guys, if you wanted to pick up shares in amc, but you haven't even yet signed up to a trading platform, be sure to use fidelity and root your order.

Direct the new york stock exchange, rather than using companies like weeble or robin hood, that sell their order flow to market makers like citadel that just put that order flow through the dark pools. Don't use robin hood or weeble for amc but saying that weeble is a great beginner. Investing platform. They've got news: they've got charts, they've got options, order flow, they've got company fundamentals, they've got absolutely everything, so weeble is a great platform if you want to buy stocks in companies that aren't amc like apple tesla, amazon, netflix or anything else.

So if you do want to sign up to weeble, be sure to use my link in the description below to get some free shares or, if you're in the uk be sure to sign up with free trade, also linked in the description below to get some free Shares because they also don't sell their order flow and, as always guys if you enjoyed this video, be sure to check out some of my others. Alternatively, subscribe to the channel and ding that notification bell, because that way, you'll be alerted. When i upload a new video cheers.