Robinhood Chief Executive Officer Vlad Tenev said in written testimony for a Thursday House Financial Services Committee hearing that the brokerage halted trades to meet demands from its clearinghouse. Citadel proactively reached out to become an investor, seeing it as an opportunity to “buy low,” Plotkin said in his remarks. Robinhood complied with its net capital requirements at all times during this period, the company says. AdvertisementAround 7:30 a.m., in a scramble to meet the requirements, Robinhood decided to stop customers from buying GameStop and other volatile stocks. To help prevent last month’s events from happening again, Robinhood has called on regulators to make the settlement period for stock trades instantaneous.

Source: Los Angeles Times February 18, 2021 01:07 UTC