“Broker-dealers engaged in bona fide market making activities are excepted from having to borrow or arrange to borrow shares due to their potential need to facilitate customer orders in fast-moving markets without possible delays associated with complying with Regulation SHO.”
[https://www.sec.gov/investor/pubs/regsho.htm](https://www.sec.gov/investor/pubs/regsho.htm)
Say this exception were to be overturned tomorrow, and market makers could no longer engage in naked short selling in the name of liquidity, what would be the result?
