The recent changes to the prospectus for the silver exchange-traded fund SLV --
-- represent a malevolent ruse to entrap the Reddit crowd by forcing a stampede into SLV in place of a stampede into physical silver.
Since the Achilles' heel of the SLV/GLD frauds remains the ability or inability to access physical metal, the impact of any stampede can be controlled through the orderly (or pretended) purchase of metal after money has gone into the two ETFs.
However, if the stampede remains focused on physical silver, the custodians of the ETFs -- proven felons and fraudsters like JPMorgan -- will be unable to secure any supply, thus rendering them powerless to access physical metal and therefore powerless to set the price of the monetary metals.
I see SLV's discount to net asset value blowing out to unprecedented size as awareness of the SLV physical shortfall grows.
The worst thing that can happen is that this carefully planted change in the prospectus, covertly floated to the sound-money websites by JPMorgan and associates, creates a false sense of short-squeeze vulnerability with all pent-up energy being directed at and exhausted by the paper ETF rather than directed at the point of mortal weakness -- the exposed heel, physical metal.
Those of us in the sound-money camp have long suffered because there was no way of preventing the "tail" (paper market fraud) from wagging the "dog" (true price discovery). But now we have a King Kong grip in the form of sheer numbers (the Reddit army) about to take hold of the actual dog (true price discovery) through its genitalia. (Forgive the graphic metaphor.)
My 2,150 Twitter followers and my subscribers will be warned today that the only buying I will be doing is in physical silver or the silver developers (nascent producers), because it is faulty logic to focus buying power on SLV in the mistaken assumption that a squeeze will ensue.
The squeeze arrives only when the world realizes the fraud that is anything controlled by JPMorgan, the Federal Reserve's Bank.
SLV's prospectus change is a veiled suggestion designed to divert buying power to conduits the price suppressors control rather than to conduits they do not control.
Buy physical silver and avoid SLV.
Michael J. Ballanger is editor and publisher of GGM Advisory Inc. in Port Perry, Ontario, Canada.
* * *
Join GATA here:
Gold Week Africa Conference
via internet from Lagos, Nigeria
Monday-Thursday, February 15-18, 2021