Over the past few days, a number of stocks, such as GameStop (GME) and AMC Entertainment (AMC), have risen dramatically in price, reportedly in line with attention from Reddit users buying in the face of selling pressure from big players. Popular trading platform Robinhood subsequently began restricting customers’ ability to buy multiple assets associated with the drama. When asked about his thoughts about Robinhood suspending GameStop stock purchases, Richard Byworth, CEO of crypto exchange EQUOS, noted the importance of freedom in the markets. “It's always important to have free and transparent markets for all traders, and maintaining an open trading …

The U.S. securities watchdog is looking into the affair of Robinhood and the Redditors. At least in so many words. The Securities and Exchange Commission made a joint statement on Friday expressing concern over the "extreme price volatility of certain stocks’ trading prices over the past several days." Though the commission didn't use the words "GameStop," "Robinhood," or "Reddit," it's obvious that what the commission is talking about is the recent chaos surrounding the three. It's already attracted major regulatory pressure. The SEC did, however, specify: "The Commission will closely review actions taken by regulated entities that may disadvantage investors …

Stock and cryptocurrency trading platform Robinhood has temporarily disabled instant deposits for cryptocurrency purchases as of Friday, citing "extraordinary market conditions." Users are still able to buy cryptocurrency using settled funds that have previously been deposited, although such deposits can take up to five business days to clear. A Robinhood spokesperson told CNBC that the company would "keep monitoring market conditions and communicating with our customers. Robinhood has faced recent criticism for suspending the trading of a number of traditional stocks, including GameStop, that were being supported by retail investors to the detriment of Wall Street hedge funds. This prompted …

Google has reportedly deleted thousands of negative reviews of Robinhood on the Google Play Store after the platform suspended trading of several skyrocketing stocks like GameStop, multiple sources claim. Financial analyst Mr. Whale reported on Jan. 28 that Google removed as many as 120,000 negative reviews of Robinhood, pushing the app’s rating from one star to about four stars. Google just removed over 120,000 negative reviews of RobinHood on the App Store. Screenshot is noon, and now pic.twitter.com/BjaXIEWhiD — Mr. Whale (@CryptoWhale) January 29, 2021 Google reportedly confirmed the massive removals to tech news publication The Verge, claiming that the …

Hundreds of thousands tuned in to a Twitch stream today as U.S. congresswoman Alexandra Ocasio-Cortez discussed Robinhood’s controversial decision to suspend trading in GameStop after the short squeeze engineered by r/WallStreetBets. Hours earlier, Ocasio-Cortez, who sits on the House Financial Services Committee, slammed Robinhood for favoring the interests of the ultra wealthy at the expense of ordinary investors. “This is unacceptable. We now need to know more about @RobinhoodApp ’s decision to block retail investors from purchasing stock while hedge funds are freely able to trade the stock as they see fit.” The live stream, hosted on Ocasio-Cortez’s personal Twitch …

The connections between trading app Robinhood, Citadel hedge fund, Melvin Capital, and GameStop are becoming clearer as the Internet burns with outrage over allegations of market manipulation. Melvin Capital was one of the biggest players short-selling GameStop stock, or GME. When a number of Redditors — and gamers — on the r/Wallstreetbets subreddit pushed back against institutions trying to financially destroy the popular brick and mortar video game store, the price of GameStop shares shot up. This effectively turned the tables on Melvin and left the firm vulnerable, with its investors likely to lose billions. However, Citadel and Point72 Asset …

Legislators are responding fast to the madness surrounding GameStop and AMC shares and the hedge funds selling them short. On Thursday, Chairwoman of the House Financial Services Committee Maxine Waters announced a coming hearing on short-selling. Sherrod Brown, the incoming chairman of the Senate Banking Committee, similarly called for a reexamination of stock market rules. Short-selling has been the subject of widespread controversy as the past two days have seen wild volatility for certain securities, especially Gamestop. Retail traders, communicating via Reddit and buying on Robinhood, have been busy buying up GME in the face of soon-to-expire short positions from …

Mere hours after once-popular trading app Robinhood announced it would be suspending purchases of stocks pushed by retail investors on Reddit, and the community backlash has been swift and harsh. This morning, Robinhood said it had restricted transactions for American Airlines, AMC Entertainment, Blackberry, Best Buy, Castor Maritime, Express, GameStop, Koss Corporation, Naked Brand Group, Nokia, Sundial Growers, Tootsie Roll Industries, and Trivago N.V. Though the trading app claimed the action was due to “significant market volatility,” the timing is suspicious given many of the stocks in question were ones pumped by Redditors initially going up against major Wall Street …

Reports are coming in this morning that trading app Robinhood has suspended buying for GameStop stock and others after GME's price surged in a Bitcoin-like parabolic rally. Unless you've been living under a rock, you'll know that average Redditors proved their investing power going up against major Wall Street traders short-selling GameStop stock. Largely fueled by small-time investors pushing back against large hedge funds, the price of the stock has risen more than 1,400% from roughly $20 on Jan. 12 to $358 at time of publication. Purportedly in response to the unprecedented trading action that has been threatening hedge funds …

The success of the GameStop short squeeze in pumping the price above $370— and the reaction from centralized authorities and markets to it — has highlighted the need for decentralized finance, according to some in the crypto industry. The stock, which was trading at less than $20 per share earlier this month, was deemed by members of the r/WallStreetBets subreddit to be under attack by a hedge fund which had disclosed a large short position in the stock. As a result of the pump coordinated on Reddit and executed by individual traders using platforms like TD Ameritrade and Robinhood, hedge …

Every Friday, Law Decoded delivers analysis on the week’s critical stories in the realms of policy, regulation and law. Law Decoded will be going on a break next week for the holidays but will return in the new year. Editor’s note As the holidays loom, Bitcoin has been shattering all-time highs. For reasons why, consult Cointelegraph’s markets coverage. I honestly never know. Maybe with the act of Christmas shopping taking place behind the computer, people have turned to Coinbase instead of Amazon. Or maybe the threat of the Treasury demanding reports from exchanges interacting with self-hosted wallets has people trying …

Robinhood has staved off a suit from the Securities and Exchange Commission by agreeing to pay $65 million. The trading app, which takes its name from the English folk hero who stole from the rich to give to the poor, made its name by making investing simpler for newcomers. Per a Thursday announcement from the SEC, Robinhood deceived its users as to where its money was actually coming from between 2015 and 2018, citing: "Material misrepresentations and omissions by Robinhood relating to its revenue sources, specifically its receipt of payments from certain principal trading firms, also known as electronic market …