UPDATE (3/5): $162.5 Million of DEEP ITM GME CALLS have been purchased since 3/1(Monday) NEW DD!
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| Author       | Source       | 
| :-------------: |:-------------:|
|  [u/Dan_Bren](https://www.reddit.com/user/Dan_Bren/) | [Reddit](https://www.reddit.com/r/GME/comments/lylvrb/update_35_1625_million_of_deep_itm_gme_calls_have/) | 

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[DD](https://www.reddit.com/r/GME/search?q=flair_name%3A%22DD%22&restrict_sr=1)

Salutations Future 1% Apes,

NEW DD!

UPDATE 3/5: 3:16pm an additional 2500 calls purchased from PHLX exchange totaling $31.49 million

<https://imgur.com/gallery/G4JgzgP>

This brings the net to $162.5 million on the week and 14,500 calls.

Interestingly this is the first we've seen the buyer purchase 3/19/21 calls (400 @ 20c strike)

Some Additional DD:

First off, I'd like you to say thank you for all of the overwhelming support the last few days. The response to these posts have been off the charts and many of you have raised some eye opening questions and I'd like to summarize these points to you all. Remember that asking questions improves all of our overall understanding of this very complex topic.

Who is the buyer?: It has come to my attention that the consensus here is there are two scenarios for our buyer out of PHLX. This is either a rich whale (either a HF or individual) with some very deep pockets.(You don't go all-in with the only $162.5 million you have). This would be them opening a new position. The other scenario is that this is a HF preparing to cover their position. This could be them guaranteeing the rights to 1.45 million shares at a set price. Lets keep in mind though that this could be a drop in the bucket if there are truly hundreds of millions of shares that need to be covered. Buying these deep in the money calls could theoretically offload some of the risk of the HF's onto the market makers and exchanges. While this is may be a transference of risk someone will be ultimately holding the bag. This process of buying deep ITM calls to cover a short position when shares are otherwise unavailable has been called into question whether it should be legal.

Additional Info on ITM calls: With typical calls that are At-The-Money or Out-Of-The money you would almost never want to exercise early do to the loss of theta value (time remaining x volatility). With these extremely deep In-The-Money calls there is almost no theta component to these prices. We can delve into why this is in the comments but in a nutshell its because you are already putting so much up front that you basically are already are paying for the appropriate amount of risk. What I'm getting at here is that although these options are dated for 4/16/21 they can be exercised earlier at any time and it would be at no loss to the owners of these options.

Good evening Lady Apes and GMEtlemen,

UPDATE 3/4: 3:28pm 2,500 more calls purchased out of the PHLX exchange totaling 31.12 million

<https://imgur.com/a/zPNFMi9>

Good afternoon my fellow tendiemen,

I bring fantastic news to all the bagholding crayon eaters on this sub. This post is an update to the original post by [u/tapakip](https://www.reddit.com/u/tapakip/).

(3/1) Monday someone out of the PHLX exchange (Philadelphia) purchased roughly $45MM worth of deep ITM calls ($12 and $15 strike) <https://imgur.com/a/8ZCd3b9> = 3415 calls

(3/2) Tuesday same exchange another $20 million in deep ITM calls <https://imgur.com/gallery/Qp2phEm> = 1800 calls

(3/3) Wednesday another massive purchase of deep ITM calls from PHLX $45 million expiring 4/16/21

<https://imgur.com/gallery/Z05Vqmg> = 4210 calls

In total here we are looking at a purchase of roughly 9425 calls from what we believe is the same buyer over the course of the last 3 days. Unfortunately I do not have access to the historical data to see if the same buyer had bought more previously. Regardless this gives the buyer the rights to buy 942,500 shares by April 16 (presuming these options expire ITM). This is just one of the many factors setting up a potential gamma squeeze.

Something to note: These deep ITM calls are much different than someone buying $800 strike OTM yolo plays. Rather than spending the bulk of the money on theta (time value x volatility premium) the buyer chose to purchase a much more physical asset (the Intrinsic value of the deep ITM calls). This isn't someone saying I think this stock will reach some astronomical price, this is an individuals confidence to make a 100MM investment basically into the stock of this company. If this isn't a bullish sign then idk what is.

We are in good hands now APES

TL;DR: one buyer bought $162.5 million of calls on gamestop the last 4 days. Probably good for us

P.S. if I'm right my wife's boyfriend says I get to make him dinner

🙌💎 DIAMOND HANDS 🙌💎

Not a financial advisor blah blah you know the deal
