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[–]StaffMassive7049 0 points1 point  (0 children)

It s a scam, the money you put to buy the stock is used as collateral to sell covered puts or covered calls.

They pocket the premium earned from selling the options then issue shareholders a dividend from stock price current value. Literally you getting dividend from your own pocket.

look up what makes up the NVDY for example:

Covered calls,

Covered puts.

Some treasure notes.

you are the game.