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The original was posted on /r/Superstonk by /u/waitingonawait on 2023-10-06 15:44:45.
Original Title: Citadel and SPACs. February 14th, 2023 was a popular date for filings. Guessing it's a reporting date. Also it's been 2 years most of these should be done. Still a lot of search results coming up showing acquisition. Personally I speculate that SPAC's were used to launder large sums of money.
Might as well drop this comment here to because they work with money laundering.
Its not quite a simple as this but ELI ape:
money at risk? how save money?
Move money into a SPAC. SPAC is like escrow, at the end of 2 years either a company is bought or the money is returned to investor (if a company is not bought earlier). Money is now 'safe' for 2 years. If citadel goes bankrupt, this money cannot be taken as it is in a different company. If no SPAC deal is made the money is also returned to citadel after being locked away.
A bank can then use the value of the SPAC, not the money in the SPAC itself, to trade as collateral for government bonds.
Lend the bond to citadel to short into the market, Citadel gets clean money from the sale.
Cayman islands SPAC then buys fake company that immediately goes bankrupt for example by paying large speaking fees. All the invested value is siphoned back out to the investors (citadel/jp morgan) but now its hidden in offshore accounts and no tax paid.
The bond is now written off as the company no longer exists/ is worthless.
This results in shorted bonds + money laundered to Cayman islands
Heres my post I did about it, it's long an a bit messy sorry
Special Purpose Acquisition Companies. Money Laundering. Citadel. Failure to Delivers and portals. Bonus read about single stock ETF's and Gamestop.