"if you buy a house, you might borrow money from the bank. agree...

"if you buy a house, you might borrow money from the bank. agree ?
When you pay back the bank the loan you may own this house. Thats how a loan works !"
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The bank (lender) loans money to the home buyer (borrower) to buy the home (from the seller)...but actual physical money (cheque) has changed hands. 

What actual money has changed hands (from borrower to lender) in the ELF loan process?  

None - the shares can not be traded until they are paid for in full (as they haven't been fully paid for - unlike the bank loaning the buyer monies), which means whilst they may exist on the register, they actually are not trading shares.

The home on the other hand can be sold/bought at any time...then using your example above, so shouldn't you be able to buy/sell the "ELF" share that you have loaned money to "buy" and hence pay interest on?

No you are not able to!  Tell me, how many ELF shares do you actually have that you can sell right now?

So how can interest be payable on a loan where no money is transacted from borrower to lender?

"ELF lent option holders the money" - what money has any option holder received from the lender?

Your example is flawed and the fact that you are gullible enough to swallow it...well it is just...

...toooooooooooooooooooooooooo funny!

The K