Crypto-friendly trading app Robinhood faces lawsuit from securities regulators
The Commonwealth of Massachusetts plans to sue Robinhood for alleged violation of state laws and regulations not related to crypto. Massachusetts securities regulators are reportedly preparing to file a complaint against a major cryptocurrency-friendly trading platform, Robinhood.According to a Dec. 16 report by the Wall Street Journal, Massachusetts regulators alleged that Robinhood's marketing illegally targeted inexperienced investors. According to a final draft of a 20-page administrative complaint reviewed by the WSJ, the enforcement arm of the Massachusetts Securities Division said....
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State regulators claim that Robinhood has targeted inexperienced investors. Massachusetts' securities regulator is seeking to revoke the broker-dealer license of cryptocurrency-friendly stock trading app Robinhood in the state.William Galvin, the head of the state’s securities division, said in a new administrative complaint that Robinhood has “continued a pattern of aggressively inducing and enticing trading among its customers — including Massachusetts customers with little or no investment experience,” Bloomberg reports Thursday.The new filing is a follow-up to a complaint filed by....
The U.S. Financial Industry Regulatory Authority delivered its biggest financial penalty against the trading app on Wednesday, and Robinhood still reportedly faces scrutiny from the SEC regarding its business practices. Stock and cryptocurrency trading app Robinhood has filed an application with the U.S. Securities and Exchange Commission for an initial public offering.In a Form S-1 registration statement filed Thursday with the SEC, Robinhood said it intended to move forward with an initial public offering for its Class A common stock. If approved, the company said it plans to trade using....
Robinhood Markets Inc., the American financial services company headquartered in Menlo Park, California, has seen its initial public offering (IPO) delayed by the U.S. Securities and Exchange Commission (SEC). According to a report citing “people familiar with the matter” the SEC is questioning Robinhood’s cryptocurrency business. SEC Questions Robinhood’s Crypto Dealings, IPO Delayed Robinhood was supposed to be having an initial public offering this month but according to a report from Bloomberg, the listing has been slowed by the SEC. The report cites a few....
Robinhood had initially hoped to begin its public offering after American investors returned from the July 4 holidays. Major cryptocurrency and stock trading app Robinhood is reportedly struggling to move forward with its initial public offering due to an ongoing review from securities regulators.According to a Thursday report by Bloomberg, the United States Securities and Exchange Commission has been questioning Robinhood about its cryptocurrency business, resulting in delays for the firm’s public offering plans. The company has been expanding its cryptocurrency offers since March,....
Treasury Secretary Janet Yellen faces the first major hurdle of her tenure with the question of how to handle social media-driven security trading. The four horsemen of U.S. financial regulation will meet to discuss market manipulation concerns resulting from the headline-grabbing drama surrounding GameStop stock last week. Per a Feb. 2 report from the Wall Street Journal, Treasury Secretary Janet Yellen is gathering the leadership of the Securities and Exchange Commission, the Commodity Futures Trading Commission, and the Federal Reserve, possibly as soon as Thursday. The SEC already....