Short selling, a common financial transaction behavior.

Bupen's stock brokers use the simple, intuitive method of "buying sizes" to explain to clueless customers what long and short mean—such a straightforward explanation makes it easier for customers to understand what they're facing.

More specifically, the price of a financial product is one hundred dollars each; at this point, A borrows one item from B and sells it to other buyers, so A has a hundred dollars.

After some time, when the product drops to fifty dollars each, A spends fifty to buy back a product and returns it to B.

In this transaction, A profits fifty dollars from the price difference due to the product's drop, which is the process of profiting from short selling.

If the product doesn't drop but instead rises, you lose as much as it rises.

Of course, this is just a simple overview; in reality, there are other factors that need to be considered in the overall profit and loss calculation, but the general principle of short selling is roughly like this.

Lynch wants to lend money to Mr. Herbs, and Mr. Herbs takes that money to exchange it into other currencies. When Galil becomes worthless, he'll spend money to buy it back at the price of waste paper and return it to Lynch, with the remaining amount in his pocket being his profit.

But would Lynch be such a kind-hearted person?

This is a question, a big question.

Mr. Herbs doesn't consider Lynch to be a good person for a simple reason; he just explained his purpose of doing this is for revenge, revenge for a harmless joke from two years ago.

So now what he's saying, is it true?

True because of a principled issue of wanting to help him, or is it a new trap?

Mr. Herbs is experiencing very complex emotions at this moment, it's already difficult for him to concentrate on thinking; impending bankruptcy is giving him a urinary urge; he crossed his legs and asked a question, "How much?"

He's asking how much money Lynch can lend him, how much Galil; if Lynch has enough spot holdings, then he might not be unable to recover his losses.

He simply thought for a while, just like the previous transaction, he didn't find any problems, but at this moment he wasn't allowed too much deliberation; he needs to think of a way to solve these problems quickly.

Once Galil completely collapses, he won't even have the last bit of opportunity.

Looking at Mr. Herbs' unwilling expression, Lynch smiled happily, "Hold on a bit…" He gestured for Mr. Herbs to sit for a while, and he went into the inner room and picked up the phone.

The sound of his conversation faintly penetrated through the not tightly closed door into Mr. Herbs' ears; Lynch seemed to be inquiring about these issues.

Thinking of this, he began to wonder again, whether Lynch this time placed a trap for him again?

On the other side, Lynch is talking with Lime, "Do we and our clients still have Galil spot holdings?"

"We've already cleared ours, but clients still have quite a bit…" Lime couldn't help but snicker as he spoke, "At least about ten to twenty billion is with our clients."

"Previously, I informed all our clients according to what you said, that Galil has huge risks, and didn't recommend holding; but you know, Galil has always been rising and recently made a substantial gain, so they voluntarily requested to use their proxy accounts to follow the trend and enter the market, so…"

Lime stopped speaking here and continued with his cheerful laughter, Lynch knew what he wanted to say, and he knew Lynch could guess.

When people face unfamiliar issues, they tend to exhibit two polarized states.

The first state, individuals with modest knowledge, status, wealth, power belonging to the lower-middle tier of society lack a distinct independent thought and haven't achieved any successful accomplishments; these people are often persuaded by those more professional than them.

Being persuaded doesn't mean they're weak-willed but that they have little confidence in things they don't understand; they can only rely on professionals providing professional opinions, which is why Bupen's stock brokers often appear as negative examples in legal programs or publications.

In the second state, individuals might not be very knowledgeable, but they are successful people.

They have enough social status, wealth, or power; in simpler terms, they are successful individuals who have their judgments and aren't easily swayed by others; they trust their judgments more.

When their judgment clashes visibly with Lime's advice, Lime, who hasn't yet fully proven himself in front of people, lacks the ability to convince these people; they don't believe Lime's judgment but trust their successful experiences and feelings.

This also led to Lime's clients, those slightly less wealthy (this part is at least middle class, much wealthier than the commoner class) obediently didn't put their money into Galil operations, whereas the wealthy large accounts bought into Galil.

About twenty percent of Galil in Lynch's hands was devoured by them, and the remaining portion was likewise taken by various parties in different ways, after all, it's the spot!

Not long ago, those who made money with the positive news about Galil were discussing Lime's capability behind his back, but as soon as Galil's negative news began to spread in frequency, Galil also made a sharp downward turn; many people lost a huge sum.

Lime didn't feel uneasy; quite the opposite, he felt a sense of satisfaction watching those who disobey suffer losses, seeming like a fun thing; his tone was full of joy when talking about this with Lynch.

"You did quite well, much better than I imagined…"

He originally thought the Galil in his hands hadn't been cleanly dealt with; after all, dealing with a hundred billion Galil spot in a short period requires considering the market's absorptive capacity.

Before the call, he thought perhaps there might still be roughly thirty to forty billion remaining and then get some back from clients at an extremely low price to patch up a relatively whole number to lend to Mr. Herbs.

He simply hadn't expected Lime to complete the task so well, even completely disposing of them; of course, this is also related to those international speculators starting to madly speculate on Galil.

The market fever doesn't subside, all participants are plunged into frenzy; at this moment, let alone a hundred billion spot holdings, even several times more, as long as Lynch has it, the market dares to consume!

After complimenting Lime a few sentences, Lynch hung up the phone, paused briefly and dialed to Mr. Truman's desk.

"In trouble?"; as soon as the call connected, Lynch heard Mr. Truman's distinctive laughter.

In this period, international calls were still manually transferred, so Mr. Truman had known who the caller was before connecting; Lynch calling him at this moment means only one thing, he's encountered trouble.

Mr. Truman's interest piqued over the trouble requiring Lynch's request for help; he wanted to know who possessed such capability to make Lynch stumble.

Lynch too chuckled a couple of times, "Indeed, I've encountered some trouble; I need the authority to mobilize a hundred billion Galil spot, and I thought over several options, only the Federation Government can provide now."

This request wasn't within Mr. Truman's predictions; he was a bit curious, "What happened to your hundred billion?"

"They've all been dealt with almost at the highest point…"

Even though Mr. Truman doesn't understand finance so well, he knows what this implies; Lynch must have made millions at least from this transaction.

This also reminded Mr. Truman of every time he advised Lynch to join him, Lynch would resist; perhaps he really fits dealing with these things best; over the years, no one could make money more effortlessly than Lynch.

After a brief lapse into distraction, he felt a tinge of envy, quickly transformed into curiosity, "So what do you want this money for now?"

"You know, I have a friend, Mr. Herbs, he intends to borrow some money from me, a hundred billion Galil."

"I was thinking the Federation's money lies unused, better out for business."

"Three months' time, the return rate no less than four and a half percent of the total loan amount, with Federation Sol settlement, anyhow, it's as much as…," Lynch calculated quickly on the current exchange rate, "at least over three million benefit, this transaction pays off."

Mr. Truman's curiosity was evidently elsewhere, "Then how much can you earn?"

"About the same amount…"

"Will this money leave the Federation?"

"Of course not!"

"When to proceed with the formalities?"

"Very soon!"

…

Lynch coming out from the room sat back beside the sofa smiling, "I have negotiated for you, a hundred billion Galil spot, repayment at a 9.5 return rate, with Federation Sol settlement; if nothing's wrong, you can have your people handle the formalities now."

Watching Lynch make a hundred billion appear so casually, Mr. Herbs at this moment really wanted to ask a question— "Is the said hundred billion my hundred billion?"

But he didn't speak up; he dared not offend Lynch at this moment, and this was also his last opportunity.

If he now replaces the money he owes others simultaneously and handles other debts, he calculated; he can still make money!

The reason he'd make money is he didn't plan to inform others; he intended to swallow alone the profits brought by this short selling, thus still profiting some.

From hell to heaven in just a moment, during this moment, he doesn't have the mood to care about others' survival; he only cares about himself.

Let's not talk about a total interest rate of 9.5 percent, he'd be willing to accept even fifteen percent!

"No problem at all, Mr. Lynch, then how do the procedures go?" He became a bit impatient and appeared with more smiles on his face.

Lynch wrote a number for Mr. Herbs, "This is the phone number of the loan business department head at the Golden Exchange Bank headquarters; you need to provide collateral; you know, it's impossible for me to lend you a hundred billion Galil without anything, once the items are sufficient, you can see the money…"

After seeing off Mr. Herbs, Lynch dialed the number he had given to Mr. Herbs, "Hello…yes, someone will come to you within these days…"

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