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by dragontamer 1973 days ago
Those brokerage accounts loan the shares out and collect some interest %%% while waiting.

The shares don't have your name on it. It has like Robinhood's name on it, holding on behalf of the customer.

1 comments

I was completely unaware this was a thing: that means there can be a "run on the bank" if all of the customers wanted to sell on a short time period, and they don't actually have the shares to cover the sales?