Jun. 25 at 12:09 AM
$REKR This is a toxic financing / controlled dilution strategy, and it's almost always a wealth transfer from retail shareholders to the financing party.
Here's what's actually happening mechanically:
**The structure**
Anson (or similar players) get shares at a discount + warrants. They short the open market to hedge their position, locking in profit regardless of where the stock goes. The warrants give them additional downside protection and upside optionality. They cannot lose.
**Why the company goes silent**
[Likely] Silence serves the financing party, not the company. No positive news = no price recovery = Anson can cover shorts cheaper. If management were actually shareholder-aligned, they'd be releasing every material update to defend the stock price. The silence is either coordinated or negligently convenient.
