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[–] 1 pt

I imagine something will get shut down and the investors will default on the loan.

Or

Gamestop will just issue more stock

Or

Investor will find some stock to buy and sell it to you. Then immediately offer to buy it back from you at a higher price. Just so the investor can turn around and sell that stock to someone else.

Repeat until the stock has changed all the necessary hands. Making it seem legal even when it wasn't.

[–] 0 pt

This makes some sense. So shares could be traded multiple times?

[–] 0 pt

But then, every new borrow would require a new return. It would be like cutting an inch off a blankets bottom to sew it on the top.

You don't actually get a bigger blanket.