He pointed out that the price index is too easily gamed, for example, and that there is no physical commodity (private keys) for
integrity of short positions, maintenance margins could potentially approach 100 percent so there is no real leverage during volatility, and there is a risk of limit - up, limit - down insolvency for certain smaller members.
Still, it's easy to see how a combination
of factors could induce unsavoury market participants to «
short and distort» stocks — that is, to take
short positions, then spread misleading information to capitalize on investors» fear and profit from the stock's resulting decline, to the detriment
of the issuing company and the broader market's
integrity.