8 ms·
The robinhood execs that made the call to halt trading should be in jail.
by rubyist5eva 6y ago
The robinhood execs that made the call to halt trading should be in jail.
- adrr 6y agoCurious what crime should be be charged with?
- shard972 6y agoMarket manipulation
- rubyist5eva 6y agoMarket manipulation is a crime. Stopping purchases so short sellers don't lose all their money is pretty obvious manipulation.
- deleted 6y ago[deleted]
- adrr 6y agoMarket manipulation is the wrong crime and requires actual transactions. People keep saying he committed a crime but have failed to provide an actual law he violated. Or they point at some SEC violation which aren’t crimes and handled in civil court.
- cambalache 6y ago>Market manipulation is the wrong crime and requires actual transactions. You can be charged for securities fraud just by tweeting baloney if you are important enough. Ask Mr Musk. This is 100X worst. So no, you dont need actual transactions to be charged with fraud.
- adrr 6y agoSEC violations are civil violations and you don’t go to jail. I mentioned that in my original post.
- kasey_junk 6y agoShould the IB execs & TD Ameritrade execs be charged too? What about APEX clearing which enforced this rule with all of their customers?
- rubyist5eva 6y agoyes
- kasey_junk 6y agoAnd should fee free trading be outlawed?
- kahrl 6y agono
- zymhan 6y agoWhere does one get this army of straw men?
- kasey_junk 6y agoI’m trying to figure out what risk mitigation techniques and what trading pricing regimes are going to land people in prison after the fact in the Reddit future.
- rubyist5eva 6y agoshort selling more than 100% of the stock is an easy one
- kasey_junk 6y agoNo one person is short selling over 100% of the stock. Its a combination of many different actors each one of them shorting a small %. What % of a company can you short without going to jail do you predict?
- valuearb 6y agoLol, it’s like saying the manager of the restaurant that took my favorite entree off the menu should be arrested. This is the main problem with Robinhood, it’s designed to attract a core audience of clueless children.
- colinmhayes 6y agoExcept it's nothing like that because it directly caused their users to lose hundreds of thousands of dollars of unrealized gains.
- valuearb 6y agoUnrealized gains don’t exist, and read their TOS, this was inevitable. Robinhood is just one of many brokers limiting their exposure to a highly volatile stock of little intrinsic value with temporary trading halts. You are lucky the NYSE hasn’t shut down BME trading for all of February. Yet.
- amscanne 6y agoGains from a hypothetical buy and subsequent sell that never happens? That’s way too big a stretch, and makes no sense.
- adrr 6y agoRH prevented users from closing positions and realizing gains?
- valuearb 6y agoRead up on what T+2 settlement period is. When you buy GME Robinhood is on hook for two days before it closes and has to post collateral with the clearinghouse (DTC) during that time. As BME volatility exploded the collateral demanded of Robinhood skyrocketed.
- kahrl 6y agoExcept it's not because the restaurant doesn't have to abide by federal trading law and SEC regulations?