Online broker Robinhood has found itself in the middle of the Silicon Valley Bank debacle. The app was under fire from users who say their short bets on the beleaguered Silicon Valley Bank and Signature Bank weren't being honoured. But according to reports, Robinhood is finally doing right by traders. Savvy traders had purchased put options on SVB and Signature Bank before the banks collapsed. These put options are bets that the stock price will fall, giving traders the opportunity to sell shares above the market price and pocket the difference.

Source: Forbes March 17, 2023 16:29 UTC