[nrmitchi]

> Since Melvin shorted the stock, there's potentially no limit to their losses,

This is the narrative going around, but is there any evidence that they had a completely un-hedged position? That they had absolutely no cover at all? I know you said "potentially no limit", but you say that, and continue on to posture that they're obviously down $21.5B. As far as I understand it, their TAUM is ~13B. So you're claiming that they lost the entire fund, and are just... pretending it didn't happen?

Lets pretend that GME goes to 1500/share, and Melvin Capital materially misrepresented (ie, criminally lied, which feels like a big accusation) about exiting their position, and they find themselves down $100B. Again, they only have ~13B TAUM.

Where do you expect the other $87B to come from? Or did you switch half-way through and are not just talking about Melvin Capital anymore?

[cbozeman]

> So you're claiming that they lost the entire fund, and are just... pretending it didn't happen?

Yes. That's right. You've exactly understood it.

> is there any evidence that they had a completely un-hedged position?

The question isn't, "Did they have a completely un-hedged position?" the question is, "Can the rest of their positions in the market cover this specific position?"

There's every reason to believe they're flat out lying about having liquidated their short position in $GME.

Don't worry though. At 4 p.m. on Friday, we'll know for sure. Just hang tight and wait. I predict its going to be a painful time for Melvin.

[MauranKilom]

> Melvin Capital materially misrepresented about exiting their position

From what I've seen, this is very unclear. It all hinges on very specific phrasings down to "did they forget the plural s/did they edit it back in".