Arab Press

بالشعب و للشعب
Saturday, May 31, 2025

Robinhood users are revolting against the trading app after it stopped trades of GameStop

Robinhood users are revolting against the trading app after it stopped trades of GameStop

Barstool Sports, along with the blog's founder Dave Portnoy, declared "war" on Robinhood. "You are scam artists," Portnoy said in a tweet.

Robinhood users are coming for the trading app's head.

Robinhood stopped allowing users to buy GameStop on Thursday morning, only allowing users to sell, following a weeks of huge gains — from being below $5 in late 2020 to over $450 per share on Thursday morning.

Users of the Reddit forum r/WallStreetBets encouraged each other to bid up GameStop's stock price, thus causing a short squeeze on the hedge funds betting against GameStop's stock value. As a result, those short-sellers lost more than $1 billion in a single day while the company's stock value shot up by hundreds of dollars per share.

On Thursday morning, citing "significant market volatility," Robinhood cut off users from trading GameStop stock (and a handful of other companies).

That decision caused a massive outcry on social media.

"Robinhood has disabled trading in $AMC $GME $NOK etc, proving that the 'little guy' was never allowed to win in a 'free market'," popular newsletter writer Joe Pompliano said in a tweet. "What a joke."




The Robinhood app listing received an influx of one star reviews on the Google Play store, causing the app to average the lowest rating.


Robinhood received an influx of one star reviews on the Google Play store.


And members of r/WallStreetBets threatened to file a class action lawsuit against Robinhood for market manipulation.

"Allowing people to only sell is the definition of market manipulation," one post on r/WallStreetBets read. "A class action must be started, Robinhood has made plenty of money off selling info about our trades to the hedge funds to be able to pay out a little for causing people to lose money now."

Robinhood, founded in 2013 by Stanford graduates Baiju Bhatt and Vladimir Tenev, allows users to trade stocks without commission. "We're proud to have created a platform that has helped everyday people, from all backgrounds, shape their financial futures and invest for the long term," the firm said in a blog post.

Instead of taking commissions on stock trades, the company says it earns revenue through a variety of other means, from financial services to a membership program ("Robinhood Gold").

Users aren't the only ones criticizing Robinhood publicly.

Billionaire Mark Cuban questioned why Robinhood restricted trading, tweeting: "So are @robinhoodapp and @IBKR ending trading in #wallstreetbets stocks because they are losing their a** on these trades? Or maybe they don't have the cash to enable the trades at this scale? Anyone have any insight on their economics?"


Barstool Sports, along with the blog's founder Dave Portnoy, declared "war" on Robinhood.

"You are scam artists," Portnoy tweeted in response to Robinhood's announcement on restricting trading. "You are crooks. You deserve to be behind bars and you know it."


Rep. Alexandria Ocasio-Cortez called Robinhood's action "unacceptable," and called for "a hearing if necessary" to determine why the company chose to "block retail investors from purchasing stock while hedge funds are freely able to trade the stock as they see fit."

Sen. Ted Cruz seconded Ocasio-Cortez's tweet. "Fully agree," he said.

Detroit-based CEO and philanthropist Bill Pulte weighed in as well.

"This is what you call rich people trying to confuse you with fancy words," he tweeted in response to Robinhood's statement on why it's restricting stock trades of GameStop.

Robinhood representatives didn't immediately respond to a request for comment.

Newsletter

Related Articles

Arab Press
0:00
0:00
Close
Meta and Anduril Collaborate on AI-Driven Military Augmented Reality Systems
EU Central Bank Pushes to Replace US Dollar with Euro as World’s Main Currency
European and Arab Ministers Convene in Madrid to Address Gaza Conflict
Head of Gaza Aid Group Resigns Amid Humanitarian Concerns
U.S. Health Secretary Ends Select COVID-19 Vaccine Recommendations
Trump Warns Putin Is 'Playing with Fire' Amid Escalating Ukraine Conflict
India and Pakistan Engage Trump-Linked Lobbyists to Influence U.S. Policy
U.S. Halts New Student Visa Interviews Amid Enhanced Security Measures
Trump Administration Cancels $100 Million in Federal Contracts with Harvard
SpaceX Starship Test Flight Ends in Failure, Mars Mission Timeline Uncertain
King Charles Affirms Canadian Sovereignty Amid U.S. Statehood Pressure
Iranian Revolutionary Guard Founder Warns Against Trusting Regime in Nuclear Talks
Netanyahu Accuses Starmer of Siding with Hamas
Calls Grow to Resume Syrian Asylum Claims in UK
UAE Offers Free ChatGPT Plus Subscriptions to Citizens
Denmark Increases Retirement Age to 70, Setting a European Precedent
Iranian Director Jafar Panahi Wins Palme d'Or at Cannes
Israeli Airstrike Kills Nine Children of Gaza Doctor
Lebanon Initiates Plan to Disarm Palestinian Factions
Iran and U.S. Make Limited Progress in Nuclear Talks
Trump Administration's Tariff Policies and Dollar Strategy Spark Global Economic Debate
OpenAI Acquires Jony Ive’s Startup for $6.5 Billion to Build a Revolutionary “Third Core Device”
Turkey Weighs Citizens in Public as Erdoğan Launches National Slimming Campaign
UK Suspends Trade Talks with Israel Amid Gaza Offensive
Iran and U.S. Set for Fifth Round of Nuclear Talks Amid Rising Tensions
Russia Expands Military Presence Near Finland Amid Rising Tensions
Indian Scholar Arrested in Crackdown Over Pakistan Conflict Commentary
Israel Eases Gaza Blockade Amid Internal Dispute Over Military Strategy
President Biden’s announcement of advanced prostate cancer sparked public sympathy—but behind closed doors, Democrats are in panic
Mount Lewotobi Laki-Laki Erupts Again, Spewing Ash Cloud over Flores Island
Indian jet shootdown: the all-robot legion behind China’s PL-15E missiles
The Chinese Dragon: The True Winner in the India-Pakistan Clash
Australia's Venomous Creatures Contribute to Life-Saving Antivenom Programme
The Spanish Were Right: Long Working Hours Harm Brain Function
Did Former FBI Director Call for Violence Against Trump? Instagram Post Sparks Uproar
US and UAE Partner to Develop Massive AI Data Center Complex
Apple's $95 Million Siri Settlement: Eligible Users Have Until July 2 to File Claims
US and UAE Reach Preliminary Agreement on Nvidia AI Chip Imports
President Trump and Elon Musk Welcomed by Emir of Qatar Sheikh Tamim with Cybertruck Convoy
Strong Warning Issued: Do Not Use General Chatbots for Medical, Legal, or Educational Guidance
NVIDIA and Saudi Arabia Launch Strategic Partnership to Establish AI Centers
Trump Meets Syrian President Ahmad al-Shara in Historic Encounter
US and Saudi Arabia Sign Landmark Agreements Across Multiple Sectors
Why Saudi Arabia Rolled Out a Purple Carpet for Donald Trump Instead of Red
Elon Musk Joins Trump Meeting in Saudi Arabia
Trump says it would be 'stupid' not to accept gift of Qatari plane
Quantum Computing Threatens Bitcoin Security
Michael Jordan to Serve as Analyst for NBA Games
Senate Democrats Move to Censure Trump Over Qatar Jet Gift
Hamas Releases Last Living US Hostage from Gaza Amid Ongoing Conflict
×