In my last update on November 2, 2024, I stated that I would no longer be trading reverse split round-ups, pending the results of investigations into increases in shareholders shortly before reverse splits as stock manipulation. At this point and to my knowledge, two results have shown themselves:

  1. a lawsuit by Upexi (UPXI) had named everyone who bought UPXI shortly before the split as defendants but was ultimately dismissed without prejudice, and more significantly,

  2. a string of retroactive changes in broker instructions, from rounding up to cash-in-lieu, resulted in new short positions in people’s accounts.

I was also one of the people affected by the changes in broker instructions, and fortunately, I was able to cover the shorts as they came in. My heart goes out to anyone who struggled to cover. Those changes seem to be over now, so both matters seem settled. For the time being, that is.

There isn’t much here to analyze. IANAL. Seriously, I am not a lawyer. As a layperson, it looks to me like this. At this point, “stock manipulation” is an accusation that Upexi is no longer seeking to argue. However, they have not retracted it either, nor has it been proven or disproven in court. On the other hand, they and many other companies have gotten relief through the changes in broker instructions, not the courts. I think people would call this a legal gray area now.

To me, that’s not enough reassurance, but I recognize that others may see it differently. In any case, through the court case, revRSS has continued to operate in accordance with my promise of a free-forever feed. It will continue to operate, though I will still not use it.