Robinhood Markets, a trading app, unveiled on Tuesday its first-ever share buyback plan, aiming to repurchase $1 billion in stock as the business strives to demonstrate maturity and appeal to investors. The buyback, which will take place over a two to three-year period beginning in the third quarter, underlines Robinhood's aim to expand beyond its startup phase.

Robinhood is best recognised as the go-to app for retail traders, but it has been adding new features to meet user demand for more sophisticated products. The share repurchase plan is a tactic commonly linked with older, more established companies, and it is intended to reassure potential investors about Robinhood's stability and growth potential.

Following the announcement, Robinhood's shares surged 4.3 per cent to $21.34 in after-hours trading, putting them on track to open at their highest level since December 2021 if the gains continue. Companies frequently engage in buybacks when they believe their stock is undervalued. Despite a roughly 61 per cent increase in Robinhood shares this year as of Tuesday's close, they are still 58 per cent behind their top in August 2021.

In recent months, Robinhood has dramatically increased its product offerings. Earlier in May, the business announced that over one million consumers had joined the waitlist for a new credit card launched in March for its premium gold subscribers. Robinhood also introduced a retirement account in late 2022 and expects to start trading futures and index options later this year.

Robinhood's main trading business is showing signs of resurgence, fuelled by increasing investor confidence as the US economy prepares for a soft landing. This optimism has prompted people to return to riskier investments such as stocks and cryptocurrency. LSEG data show that the company's earnings have consistently exceeded market forecasts for the past eight quarters.

Robinhood's share buyback plan aims not merely to increase stock value, but also to establish its position as a mature leader in the financial technology sector capable of long-term growth and innovation.

(With inputs from Reuters)

Robinhood Markets, a trading app, unveiled on Tuesday its first-ever share buyback plan, aiming to repurchase $1 billion in stock as the business strives to demonstrate maturity and appeal to investors.

Robinhood Markets, a trading app, unveiled on Tuesday its first-ever share buyback plan, aiming to repurchase $1 billion in stock as the business strives to demonstrate maturity and appeal to investors. The buyback, which will take place over a two to three-year period beginning in the third quarter, underlines Robinhood's aim to expand beyond its startup phase. Robinhood is best recognised as the go-to app for retail traders, but it has been adding new features to meet user demand for more sophisticated products. The share repurchase plan is a tactic commonly linked with older, more established companies, and it is intended to reassure potential investors about Robinhood's stability and growth potential. Following the announcement, Robinhood's shares surged 4.3 per cent to $21.34 in after-hours trading, putting them on track to open at their highest level since December 2021 if the gains continue. Companies frequently engage in buybacks when they believe their stock is undervalued. Despite a roughly 61 per cent increase in Robinhood shares this year as of Tuesday's close, they are still 58 per cent behind their top in August 2021. In recent months, Robinhood has dramatically increased its product offerings. Earlier in May, the business announced that over one million consumers had joined the waitlist for a new credit card launched in March for its premium gold subscribers. Robinhood also introduced a retirement account in late 2022 and expects to start trading futures and index options later this year. Robinhood's main trading business is showing signs of resurgence, fuelled by increasing investor confidence as the US economy prepares for a soft landing. This optimism has prompted people to return to riskier investments such as stocks and cryptocurrency. LSEG data show that the company's earnings have consistently exceeded market forecasts for the past eight quarters. Robinhood's share buyback plan aims not merely to increase stock value, but also to establish its position as a mature leader in the financial technology sector capable of long-term growth and innovation. (With inputs from Reuters)

Robinhood Markets launch $1 billion share buyback plan amid expansion efforts

Robinhood Markets Inc said on Tuesday it was slashing 23% of its staff as it posted a 44% decline in revenue on slumping trading activity.

Robinhood cutting workforce by 23%

The popular trading app Robinhood announced Monday that millions of its users had their personal information exposed in a data breach.

World Business Watch: Robinhood app hit by data breach exposing email of 5 million customers

Meme-based cryptocurrency&nbsp;Dogecoin&nbsp;fell on Tuesday after hitting an all-time high in a wild session that saw supporters of the token once considered a parody use hashtags to fuel a rally until it lost steam.

Dogecoin&nbsp;ultimately fell 15.4 per cent&nbsp;to US$0.33, but during the session when it hit a record peak, its market capitalisation soared to more than $50 billion. After the slump, its market cap dropped roughly $45 billion, according to coinmarketcap.com.

By comparison, the wildly popular bitcoin has a market cap of more than $1 trillion.

Dogecoin&nbsp;fans used the hashtags #DogeDay and #DogeDay420 to post memes, messages and videos on Twitter, Reddit and TikTok, referring to the informal April 20 holiday to celebrate cannabis which is marked by smoke-ins and street parties.

"GIMME THAT&nbsp;DOGECOIN&nbsp;LAMBO!!! #DogeDay" one tweeted, referring to the Lamborghini sports car popular in crypto culture.

An 8,000% price increase this year has seen&nbsp;Dogecoin, launched as a satirical critique of 2013's cryptocurrency frenzy, overtake more widely-used cryptocurrencies like Litecoin and briefly Tether, to become the sixth-largest coin.

"The current retail fervor probably won't completely give up on&nbsp;Dogecoin," said Edward Moya, senior market analyst at online FX trading platform OANDA, but he did anticipate the "sell the event reaction" for the cryptocurrency.

Dogecoin's logo features a Shiba Inu dog at the center of the meme. It can be traded on crypto exchanges and more popular mainstream trading apps.

"The Doge rally represents an interesting convergence," said Diana Biggs, CEO of crypto start-up Valour, after&nbsp;Dogecoin's price soared by more than five-fold in the last week to a record $0.42, according to CoinMarketCap.

"A meme coin created as a joke for early crypto adopters whose community found that kind of thing to be fun, with now a new generation of retail investors for whom memes are a native language," Biggs added.

Online trading

Dogecoin's rise came during a surge in online trading of stocks and crypto by retail investors, stuck at home with extra cash because of the COVID-19 pandemic. The coin has not seen much growth in usage for payments or in commerce.

A boom in usage of online trading apps like Robinhood also fueled the social-media driven rally in GameStop Corp stock this year, which pitted retail investors against hedge funds.

"It's an extension of the same phenomenon that has led Tesla stock to be valued well beyond fundamentals and more recently to the GME (GameStop) short squeeze," said Ajit Tripathi, head of institutional business at decentralised finance startup Aave.

Like other cryptocurrencies,&nbsp;Dogecoin's price is heavily influenced by social media users including Tesla chief Elon Musk, whose tweets on the cryptocurrency in February sent its price soaring over 60 per cent.

Dogecoin&nbsp;currently has a 16.7&nbsp;per cent&nbsp;implied probability to be worth more than $1 at the end of 2021, according to betting aggregators US-Bookies.com, a significant improvement from earlier this month, when it had just a 2.9&nbsp;per cent&nbsp;chance to do so.

(With inputs from agencies)

Meme-based cryptocurrency Dogecoin fell on Tuesday after hitting an all-time high in a wild session that saw supporters of the token once considered a parody use hashtags to fuel a rally until it lost steam.

Meme-based cryptocurrency Dogecoin fell on Tuesday after hitting an all-time high in a wild session that saw supporters of the token once considered a parody use hashtags to fuel a rally until it lost steam. Dogecoin ultimately fell 15.4 per cent to US$0.33, but during the session when it hit a record peak, its market capitalisation soared to more than $50 billion. After the slump, its market cap dropped roughly $45 billion, according to coinmarketcap.com. By comparison, the wildly popular bitcoin has a market cap of more than $1 trillion. Dogecoin fans used the hashtags #DogeDay and #DogeDay420 to post memes, messages and videos on Twitter, Reddit and TikTok, referring to the informal April 20 holiday to celebrate cannabis which is marked by smoke-ins and street parties. "GIMME THAT DOGECOIN LAMBO!!! #DogeDay" one tweeted, referring to the Lamborghini sports car popular in crypto culture. An 8,000% price increase this year has seen Dogecoin, launched as a satirical critique of 2013's cryptocurrency frenzy, overtake more widely-used cryptocurrencies like Litecoin and briefly Tether, to become the sixth-largest coin. "The current retail fervor probably won't completely give up on Dogecoin," said Edward Moya, senior market analyst at online FX trading platform OANDA, but he did anticipate the "sell the event reaction" for the cryptocurrency. Dogecoin's logo features a Shiba Inu dog at the center of the meme. It can be traded on crypto exchanges and more popular mainstream trading apps. "The Doge rally represents an interesting convergence," said Diana Biggs, CEO of crypto start-up Valour, after Dogecoin's price soared by more than five-fold in the last week to a record $0.42, according to CoinMarketCap. "A meme coin created as a joke for early crypto adopters whose community found that kind of thing to be fun, with now a new generation of retail investors for whom memes are a native language," Biggs added. Online trading Dogecoin's rise came during a surge in online trading of stocks and crypto by retail investors, stuck at home with extra cash because of the COVID-19 pandemic. The coin has not seen much growth in usage for payments or in commerce. A boom in usage of online trading apps like Robinhood also fueled the social-media driven rally in GameStop Corp stock this year, which pitted retail investors against hedge funds. "It's an extension of the same phenomenon that has led Tesla stock to be valued well beyond fundamentals and more recently to the GME (GameStop) short squeeze," said Ajit Tripathi, head of institutional business at decentralised finance startup Aave. Like other cryptocurrencies, Dogecoin's price is heavily influenced by social media users including Tesla chief Elon Musk, whose tweets on the cryptocurrency in February sent its price soaring over 60 per cent. Dogecoin currently has a 16.7 per cent implied probability to be worth more than $1 at the end of 2021, according to betting aggregators US-Bookies.com, a significant improvement from earlier this month, when it had just a 2.9 per cent chance to do so. (With inputs from agencies)

Dogecoin cryptocurrency slumps after hashtag-fueled surge to record high

Stock trading app Robinhood on Friday confirmed it is cooperating with inquiries from US regulators into its decision to temporarily throttle purchases of shares in companies such as GameStop during frenzied trading in January.

The free brokerage platform is facing inquiries from federal financial regulators, state attorneys general and the US Congress, according to a filing with the Securities and Exchange Commission.

Robinhood, which says it is "cooperating" with the entities, is already facing dozens of class action lawsuits.

Also read|&nbsp;<a href="https://www.wionews.com/technology/teslas-elon-musk-grills-robinhood-ceo-vladimir-tenev-over-gamestop-trading-freeze-360790">Tesla's Elon Musk grills Robinhood CEO Vladimir Tenev over GameStop trading freeze</a>

The lawsuits "generally allege breach of contract, breach of the implied covenant of good faith and fair dealing, negligence, breach of fiduciary duty and other common law claims," Robinhood said in the filing.

"We believe that the claims in these lawsuits are without merit and intend to defend against them vigorously."

Key players in the GameStop shares trading frenzy told skeptical US lawmakers last week that their actions were above board and in line with ordinary stock market business.

Also read|&nbsp;<a href="https://www.wionews.com/technology/gamestop-prompts-surge-in-hyper-rally-after-elon-musks-tweet-359791">GameStop prompts surge in hyper-rally after Elon Musk's tweet</a>

Founders of Robinhood and the online forum Reddit were among those to testify at a House of Representatives financial services committee hearing.

Unprecedented recent volatility -- with shares in the GameStop video game store surging more than 400 percent -- prompted calls for regulators to review the role of social media, hedge funds and trading platforms which some allege manipulated the market.

The GameStop Wall Street upheaval was sparked via a "subreddit" known as WallStreetBets.

"I am not trying to throw anyone under the bus," Robinhood co-founder and chief executive Vlad Tenev told the House committee meeting.

"All I can say is Robinhood played it by the books."

Stock trading app Robinhood on Friday confirmed it is cooperating with inquiries from US regulators into its decision to temporarily throttle purchases of shares in companies such as GameStop during frenzied trading in January.

Stock trading app Robinhood on Friday confirmed it is cooperating with inquiries from US regulators into its decision to temporarily throttle purchases of shares in companies such as GameStop during frenzied trading in January. The free brokerage platform is facing inquiries from federal financial regulators, state attorneys general and the US Congress, according to a filing with the Securities and Exchange Commission. Robinhood, which says it is "cooperating" with the entities, is already facing dozens of class action lawsuits. Also read| Tesla's Elon Musk grills Robinhood CEO Vladimir Tenev over GameStop trading freeze The lawsuits "generally allege breach of contract, breach of the implied covenant of good faith and fair dealing, negligence, breach of fiduciary duty and other common law claims," Robinhood said in the filing. "We believe that the claims in these lawsuits are without merit and intend to defend against them vigorously." Key players in the GameStop shares trading frenzy told skeptical US lawmakers last week that their actions were above board and in line with ordinary stock market business. Also read| GameStop prompts surge in hyper-rally after Elon Musk's tweet Founders of Robinhood and the online forum Reddit were among those to testify at a House of Representatives financial services committee hearing. Unprecedented recent volatility -- with shares in the GameStop video game store surging more than 400 percent -- prompted calls for regulators to review the role of social media, hedge funds and trading platforms which some allege manipulated the market. The GameStop Wall Street upheaval was sparked via a "subreddit" known as WallStreetBets. "I am not trying to throw anyone under the bus," Robinhood co-founder and chief executive Vlad Tenev told the House committee meeting. "All I can say is Robinhood played it by the books."

Trading app Robinhood says facing US regulator inquiries

A young day trader who went by the screen name Roaring Kitty and found himself at the center of the GameStop stock trading frenzy will make his first public appearance at a congressional hearing Thursday.

The trader, Keith Gill, was on a list released Friday of the panel that will appear in front of the House Committee on Financial Services as it examines the circumstances around the wild spikes in prices of GameStop and other so-called meme stocks.

Also read|&nbsp;<a href="https://www.wionews.com/business-economy/how-gamestop-missed-out-on-capitalising-on-the-reddit-rally-362984">How GameStop missed out on capitalising on the Reddit rally</a>

Gill is the only non-chief executive who will appear at the event, titled “Game Stopped? Who Wins and Loses When Short Sellers, Social Media and Retail Investors Collide.”

The other people testifying that day will be Vlad Tenev, CEO of online broker Robinhood; Kenneth C. Griffin, CEO of trading firm Citadel; Gabe Plotkin, CEO of hedge fund Melvin Capital Management; and Steve Huffman, CEO of social media company Reddit.

Gill lingered in anonymity until he was outed last month as the person behind Roaring Kitty. Under that screen name, Gill shot dozens of videos from his home in Massachusetts promoting the GameStop stock.

Also read|&nbsp;<a href="https://www.wionews.com/entertainment/hbo-to-develop-film-chronicling-the-gamestop-wall-street-incident-361954">HBO to develop film chronicling the GameStop-Wall Street incident</a>

He built up a large holding of GameStop shares and became a hero among the online crowd that gathered on Reddit to talk about the stock. But his endorsement has drawn attention from regulators in his home state.

Many of these traders bought and sold stocks on the Robinhood trading app. But Robinhood and other brokers effectively blocked trading of GameStop on its platform as the stock became the most actively traded on Wall Street, with its share price up as much as 1,700% in January.

The spike caused huge losses for the hedge funds that had made big bets against GameStop. Melvin lost 53% in January, a person familiar with the matter said, and had to ask for billions of dollars from other hedge funds, including Citadel, to stay afloat.

Robinhood’s decision to block trading infuriated its customers and drew bipartisan condemnation, with the unlikely combination of Rep. Alexandria Ocasio-Cortez and Sen. Ted Cruz agreeing on the issue.

Robinhood raised $3.4 billion in five days to ensure it had enough money to cover the trading on its platforms. Even so, the platform continued to limit trading of GameStop and other so-called meme stocks, such as AMC Entertainment, for days.

A young day trader who went by the screen name Roaring Kitty and found himself at the center of the GameStop stock trading frenzy will make his first public appearance at a congressional hearing Thursday.

A young day trader who went by the screen name Roaring Kitty and found himself at the center of the GameStop stock trading frenzy will make his first public appearance at a congressional hearing Thursday. The trader, Keith Gill, was on a list released Friday of the panel that will appear in front of the House Committee on Financial Services as it examines the circumstances around the wild spikes in prices of GameStop and other so-called meme stocks. Also read| How GameStop missed out on capitalising on the Reddit rally Gill is the only non-chief executive who will appear at the event, titled “Game Stopped? Who Wins and Loses When Short Sellers, Social Media and Retail Investors Collide.” The other people testifying that day will be Vlad Tenev, CEO of online broker Robinhood; Kenneth C. Griffin, CEO of trading firm Citadel; Gabe Plotkin, CEO of hedge fund Melvin Capital Management; and Steve Huffman, CEO of social media company Reddit. Gill lingered in anonymity until he was outed last month as the person behind Roaring Kitty. Under that screen name, Gill shot dozens of videos from his home in Massachusetts promoting the GameStop stock. Also read| HBO to develop film chronicling the GameStop-Wall Street incident He built up a large holding of GameStop shares and became a hero among the online crowd that gathered on Reddit to talk about the stock. But his endorsement has drawn attention from regulators in his home state. Many of these traders bought and sold stocks on the Robinhood trading app. But Robinhood and other brokers effectively blocked trading of GameStop on its platform as the stock became the most actively traded on Wall Street, with its share price up as much as 1,700% in January. The spike caused huge losses for the hedge funds that had made big bets against GameStop. Melvin lost 53% in January, a person familiar with the matter said, and had to ask for billions of dollars from other hedge funds, including Citadel, to stay afloat. Robinhood’s decision to block trading infuriated its customers and drew bipartisan condemnation, with the unlikely combination of Rep. Alexandria Ocasio-Cortez and Sen. Ted Cruz agreeing on the issue. Robinhood raised $3.4 billion in five days to ensure it had enough money to cover the trading on its platforms. Even so, the platform continued to limit trading of GameStop and other so-called meme stocks, such as AMC Entertainment, for days.

Reddit’s ‘Roaring Kitty’ will speak at GameStop hearing

Tesla chief Elon Musk grilled&nbsp;Vladimir&nbsp;Tenev,&nbsp;co-founder of online stock broker app Robinhood, which is under fire for blocking retail investors from purchasing GameStop stock.

Musk asked on private social audio app&nbsp;Clubhouse&nbsp;"Do you want to hear the real story from Vlad [from] Robinhood about what happened on the Street with GameStop?"

Also read:&nbsp;<a href="https://www.wionews.com/technology/gamestop-prompts-surge-in-hyper-rally-after-elon-musks-tweet-359791">GameStop prompts surge in hyper-rally after Elon Musk's tweet</a>

On the wide-ranging chat, Musk discussed memes, Mars, his companies, and vaccines, among other topics.&nbsp;

Clubhouse&nbsp;built a following among venture capitalists and startup founders gossiping in its audio-only chatrooms following its launch last March as the COVID-19 pandemic spread around the world. It provides&nbsp;an alternative forum to Twitter.

GameStop stock surged some 400 per cent&nbsp;in the past week after retail investors banded together to buy shares in the US&nbsp;video game retailer, sending hedge funds scrambling to cover losing bets.

Musk questioned&nbsp;Tenev saying&nbsp;"What happened last week? Why couldn't people buy the GameStop shares? The people demand answers, and they want to know the truth."

Tenev&nbsp;said the market rumour was untrue that Citadel Securities - the market-making arm of billionaire hedge-fund manager Ken Griffin - had pressured Robinhood into blocking retail investors.

"That's just false,"&nbsp;Tenev&nbsp;said, adding that Robinhood temporarily halted trading to meet regulatory capital requirements.

The Menlo Park, California-based company was founded in 2013 by Baiju Bhatt and&nbsp;Tenev, aiming to democratize finance. Its platform allows users to make unlimited commission-free trades in stocks, exchange-traded funds, options and cryptocurrencies.

Musk last week tweeted "Gamestonk!!," which many in the market interpreted as an apparent show of support for small investors. "Stonks" is a tongue-in-cheek term for stocks widely used on social media.

Tesla chief Elon Musk grilled Vladimir Tenev, co-founder of online stock broker app Robinhood, which is under fire for blocking retail investors from purchasing GameStop stock.

Tesla chief Elon Musk grilled Vladimir Tenev, co-founder of online stock broker app Robinhood, which is under fire for blocking retail investors from purchasing GameStop stock. Musk asked on private social audio app Clubhouse "Do you want to hear the real story from Vlad [from] Robinhood about what happened on the Street with GameStop?" Also read: GameStop prompts surge in hyper-rally after Elon Musk's tweet On the wide-ranging chat, Musk discussed memes, Mars, his companies, and vaccines, among other topics. Clubhouse built a following among venture capitalists and startup founders gossiping in its audio-only chatrooms following its launch last March as the COVID-19 pandemic spread around the world. It provides an alternative forum to Twitter. GameStop stock surged some 400 per cent in the past week after retail investors banded together to buy shares in the US video game retailer, sending hedge funds scrambling to cover losing bets. Musk questioned Tenev saying "What happened last week? Why couldn't people buy the GameStop shares? The people demand answers, and they want to know the truth." Tenev said the market rumour was untrue that Citadel Securities - the market-making arm of billionaire hedge-fund manager Ken Griffin - had pressured Robinhood into blocking retail investors. "That's just false," Tenev said, adding that Robinhood temporarily halted trading to meet regulatory capital requirements. The Menlo Park, California-based company was founded in 2013 by Baiju Bhatt and Tenev, aiming to democratize finance. Its platform allows users to make unlimited commission-free trades in stocks, exchange-traded funds, options and cryptocurrencies. Musk last week tweeted "Gamestonk!!," which many in the market interpreted as an apparent show of support for small investors. "Stonks" is a tongue-in-cheek term for stocks widely used on social media.

Tesla's Elon Musk grills Robinhood CEO Vladimir Tenev over GameStop trading freeze

The House Committee on Financial Services investigating GameStop saga has come under increased scrutiny after it was revealed that it had received its maximum funding from Robinhood executives.

According to the latest report,&nbsp;Robinhood CEO Vlad Tenev and co-founder Bajnu Bhatt had contributed&nbsp;$2,800 to Maxine Waters and&nbsp; $1,200 to Robert McHenry, who are&nbsp;the chair and&nbsp;ranking member of the House Financial Services Committee.

Robinhood&nbsp;Markets Inc's user agreement is likely to protect the brokerage app from a barrage of lawsuits filed by customers after it blocked a frenzied trading rally in companies such as GameStop Corp that was fueled on social media forums.

The owners of internet platforms where much of the discussion took place are likewise shielded from liability for users' activity under a 25-year-old law known as Section 230.

At least a dozen proposed class-action lawsuits accuse&nbsp;Robinhood&nbsp;of breaching its contract with customers when it restricted trading on Thursday.

Robinhood's users were at the centre of this week's wild rally in a handful of stocks that had been heavily shorted by hedge funds and championed by individual investors in online chatrooms including Reddit's WallStreetBets.

The lawsuits, brought in federal court, alleging that the Menlo Park, California-based company breached its contractual obligation as a regulated broker to execute orders promptly and effectively.

However,&nbsp;Robinhood&nbsp;is not legally bound to carry out every trade and the lawsuits will not succeed without evidence the company restricted trading for an improper reason, such as to favour certain investors, according to several legal experts.

The user agreement on&nbsp;Robinhood's website says it "may at any time, in its sole discretion and without prior notice to Me, prohibit or restrict My ability to trade securities."

Robinhood's fee-free and simple-to-use app has made it popular with a new generation of small-time traders and its restrictions on Thursday drew a heavy backlash from high-profile politicians and celebrities.

Retail investors using&nbsp;Robinhood&nbsp;and other apps drove the so-called "Reddit rally" that pushed up shares of GameStop Corp and other companies championed on social media platforms including Reddit, resulting in heavy losses for big hedge funds that had shorted the shares.

The House Committee on Financial Services investigating GameStop saga has come under increased scrutiny after it was revealed that it had received its maximum funding from Robinhood executives.

The House Committee on Financial Services investigating GameStop saga has come under increased scrutiny after it was revealed that it had received its maximum funding from Robinhood executives. According to the latest report, Robinhood CEO Vlad Tenev and co-founder Bajnu Bhatt had contributed $2,800 to Maxine Waters and $1,200 to Robert McHenry, who are the chair and ranking member of the House Financial Services Committee. Robinhood Markets Inc's user agreement is likely to protect the brokerage app from a barrage of lawsuits filed by customers after it blocked a frenzied trading rally in companies such as GameStop Corp that was fueled on social media forums. The owners of internet platforms where much of the discussion took place are likewise shielded from liability for users' activity under a 25-year-old law known as Section 230. At least a dozen proposed class-action lawsuits accuse Robinhood of breaching its contract with customers when it restricted trading on Thursday. Robinhood's users were at the centre of this week's wild rally in a handful of stocks that had been heavily shorted by hedge funds and championed by individual investors in online chatrooms including Reddit's WallStreetBets. The lawsuits, brought in federal court, alleging that the Menlo Park, California-based company breached its contractual obligation as a regulated broker to execute orders promptly and effectively. However, Robinhood is not legally bound to carry out every trade and the lawsuits will not succeed without evidence the company restricted trading for an improper reason, such as to favour certain investors, according to several legal experts. The user agreement on Robinhood's website says it "may at any time, in its sole discretion and without prior notice to Me, prohibit or restrict My ability to trade securities." Robinhood's fee-free and simple-to-use app has made it popular with a new generation of small-time traders and its restrictions on Thursday drew a heavy backlash from high-profile politicians and celebrities. Retail investors using Robinhood and other apps drove the so-called "Reddit rally" that pushed up shares of GameStop Corp and other companies championed on social media platforms including Reddit, resulting in heavy losses for big hedge funds that had shorted the shares.

House Committee investigating GameStop saga received maximum donation from Robinhood executives

It is Occupy Wall Street, the sequel. It is elements of the Tea Party, again. It is Bernie bros and MAGA maniacs.

The hordes of young traders who this week fueled a spectacular surge in the value of video game retailer GameStop may lack a unified political ideology. But they have forced a reckoning on Wall Street and caught the attention of leaders in Washington who recognize a populist uprising when they see one.

Wall Street has long been an easy villain for many on Capitol Hill. But the rush to side with speculative traders by both Democrats and Republicans reflects the broad recognition of the impulses that have driven U.S. politics in recent years, fueling both the ascension of President Donald Trump and a liberal wing of the Democratic Party that grew stronger in opposition.

Also read|&nbsp;<a href="https://www.wionews.com/world/trading-curbs-reverse-gamestop-rally-angering-upstart-traders-360011">Trading curbs reverse GameStop rally, angering upstart traders</a>

The decision by online brokerage app Robinhood to impose trading limits as hedge funds were hammered by the wild market fluctuation has prompted the rarest of all political occurrences: bipartisan agreement. Lawmakers from across the political spectrum condemned the move and called for hearings into the decision — among them Sen. Ted Cruz, R-Texas, a staunch conservative; and Rep. Alexandria Ocasio-Cortez, D-N.Y., a standard-bearer of the left. The conservative attorney general of Texas and his progressive counterpart in New York have both initiated inquiries into Robinhood.

“For years, the stock market has been less and less about the value of business and more and more like casino gambling,” said Sen. Elizabeth Warren, D-Mass., who called for increased regulation of Wall Street shortly after the market frenzy over GameStop began this week.

“GameStop is just the latest and most visible example,” she said in an interview Friday. “We need to take this not as a one-off problem but as a systemic problem that requires systemic regulation and enforcement.”

While President Joe Biden defeated Trump with a centrist message of restoring political norms, the trading frenzy this week provided a potent reminder of the strong undercurrent of grievance and institutional distrust in the country. Many believe that will only intensify as the nation wrestles with the economic fallout from a devastating pandemic.

Also read|&nbsp;<a href="https://www.wionews.com/business-economy/how-gamestop-stocks-surge-exposed-wall-street-elites-360171">How GameStop stocks surge exposed Wall Street elites</a>

As Wall Street booms, unemployment has hit record highs, with nearly 10 million fewer people holding jobs than at the beginning of last year — a situation that reminds some former officials of the 2008 economic crisis that led to both the Occupy Wall Street and the Tea Party movements.

“It’s not about Republicans and Democrats,” said Newt Gingrich, the former Republican House Speaker and an ally of Trump. “It’s lots and lots of normal, everyday people who began to figure out they really got ripped off for the last year just like they got ripped off in 2008 and 2009. What you’re seeing is an almost spontaneous cultural reaction in which the little guys and gals are getting together and going after the bigs, so the bigs are having to rig the game in order to survive.”

The reality is more complicated. There is little sign of any central political mission shared by the millions of amateur traders who combined to squeeze at least two hedge funds that bet against the stocks of companies like GameStop and movie chain AMC. One of the originators of the scheme is far from a “little guy,” with the financial resources to have purportedly transformed an initial investment of $53,000 into $48 million. Overall, only about half the country owns any stock at all.

On Reddit, the online message board that helped fuel the surge, few of the mostly young participants frame their flood of investments in clearly partisan terms. Yet many write of being driven by anger over the 2008 financial bailouts that kept the big banks afloat while 10 million Americans lost their homes.

“When that crisis hit our family, we were able to keep our little house, but we lived off of pancake mix, and powdered milk, and beans and rice for a year,” one person identified as ssauronn posted on Reddit. “Your ilk were bailed out and rewarded for terrible and illegal financial decisions that negatively changed the lives of millions.”

Other posters responded with their own stories of economic struggle and political rage.

Also read|&nbsp;<a href="https://www.wionews.com/technology/gamestop-prompts-surge-in-hyper-rally-after-elon-musks-tweet-359791">GameStop prompts surge in hyper-rally after Elon Musk's tweet</a>

“Forget republican/democrat, left/right... the bankers play both sides and have almost always come out on top,” a poster identified as ChrisFrettJunior wrote, after recounting watching his parents struggle through the 2008 recession.

The decision to bail out the biggest banks and also decline to prosecute any of their top executives led to much of the populist fervor that has driven U.S. politics in the past decade. The Tea Party surged to political prominence in the wake of the $700 billion financial rescue package that passed in 2008, eventually becoming a force that defeated both moderate Republicans and Democrats.

After Republicans won control of the House in 2010, Democrats began to face their own backlash, beginning with Occupy Wall Street — a loose coalition of largely liberal protesters who fueled a national conversation about economic inequality.

These days, political strategists warn, hedge funds, private equity investors and bankers are unlikely to find the same kind of deep support in Washington. Anger over the bailouts fueled the campaigns of political outsiders, creating a Congress that is less receptive to the pleas of Wall Street and far more eager to make use of upheaval to advance their agendas.

“There’s a ton of political currency in holding hedge funds’ feet to the fire from Democrats and Republicans,” said Josh Holmes, a Republican strategist and longtime adviser to Sen. Mitch McConnell, R-Ky. “If you’re sitting on Wall Street looking at this, dismissing people as folks who don’t understand the way that the markets work, I think you’re going to be in a lot of trouble.”

For Republicans, the market upheaval was a referendum on elitism. Democrats saw pure corporate greed and the need for greater regulation.

“Big Hedge, with outposts in South Hedge-i-stan (Wall Street) and North Hedge-i-stan (Greenwich, CT), has made trillions shorting great American companies facing a rough patch,” said Rep. Jeff Fortenberry, R-Neb. “Now they are getting a comeuppance from flash mobs of day traders and are paying dearly.”

Most of the ire this week was directed at Robinhood, a brokerage app catering to younger investors, which suddenly limited trading in GameStop, AMC and other stocks. Lawmakers argued that the app was protecting hedge funds and other big investors over retail investors. Robinhood said the additional restrictions were necessary to comply with government financial requirements.

Yet even centrists like Sen. Pat Toomey, R-Pa., who is poised to become the top Republican on the Senate Banking Committee, expressed concerns about the lack of transparency in the online company’s decision-making.

“I find it disturbing when retail investors who are simply seeking to buy a stock are frozen out of the market,” Toomey said in a statement. “Retail investors should be free to purchase even highly speculative stocks, just as hedge funds should be free to short them.”

Although politicians from both sides joined calls for greater scrutiny, it was hardly a kumbaya moment for the two parties.

After Cruz tweeted that he agreed with Ocasio-Cortez’s call for a probe into Robinhood’s action, she quickly disavowed any support from Cruz, who was a prominent backer of Trump’s baseless claims of election fraud.

“I am happy to work with Republicans on this issue where there’s common ground, but you almost had me murdered 3 weeks ago so you can sit this one out,” she responded. “Happy to work w/ almost any other GOP that aren’t trying to get me killed. In the meantime if you want to help, you can resign.”

Cruz condemned her response as “partisan anger” that’s “not healthy for our country,” drawing another response from Ocasio-Cortez, while his allies in the House called for an apology.

The uproar over GameStop and Robinhood comes at a challenging time for the Biden administration, which took office promising to restore a sense of calm to the country. The Senate Banking Committee has yet to schedule a hearing to confirm Gary Gensler, Biden’s pick to lead the Securities and Exchange Commission, leaving the agency with an acting chair for the indefinite future. On Friday the White House press secretary, Jen Psaki, deferred questions on the issue.

“It’s a good reminder, though, that the stock market isn’t the only measure of the health of our economy,” she said, an apparent reference to Trump’s persistent fixation on stock prices during his tenure. Biden has not yet commented on the issue.

Rep. Ro Khanna, D-Calif., a progressive who represents a district that includes Silicon Valley, said this week’s events should alert lawmakers to the need to tighten financial regulations and increase transparency and equity.

He said the wide range of Republicans and Democrats who have spoken out are a reflection of “a real populist anger in this country.”

“Some people go get fancy degrees, know the right people and spend all day in front of their computers short selling, Khanna said. “And it’s a form of manipulation that has hurt our country. That has enriched the few at the expense of many Americans.”

Although many Americans own no stock at all, the sense that Wall Street has gamed a rigged system cuts across demographic barriers, he argued.

“I think this has been bubbling up since the Wall Street crash of 2008,” Khanna said. “And it’s coming to a boiling point.”

It is Occupy Wall Street, the sequel. It is elements of the Tea Party, again. It is Bernie bros and MAGA maniacs. The hordes of young traders who this week fueled a spectacular surge in the value of video game retailer GameStop may lack a unified political ideology.

It is Occupy Wall Street, the sequel. It is elements of the Tea Party, again. It is Bernie bros and MAGA maniacs. The hordes of young traders who this week fueled a spectacular surge in the value of video game retailer GameStop may lack a unified political ideology. But they have forced a reckoning on Wall Street and caught the attention of leaders in Washington who recognize a populist uprising when they see one. Wall Street has long been an easy villain for many on Capitol Hill. But the rush to side with speculative traders by both Democrats and Republicans reflects the broad recognition of the impulses that have driven U.S. politics in recent years, fueling both the ascension of President Donald Trump and a liberal wing of the Democratic Party that grew stronger in opposition. Also read| Trading curbs reverse GameStop rally, angering upstart traders The decision by online brokerage app Robinhood to impose trading limits as hedge funds were hammered by the wild market fluctuation has prompted the rarest of all political occurrences: bipartisan agreement. Lawmakers from across the political spectrum condemned the move and called for hearings into the decision — among them Sen. Ted Cruz, R-Texas, a staunch conservative; and Rep. Alexandria Ocasio-Cortez, D-N.Y., a standard-bearer of the left. The conservative attorney general of Texas and his progressive counterpart in New York have both initiated inquiries into Robinhood. “For years, the stock market has been less and less about the value of business and more and more like casino gambling,” said Sen. Elizabeth Warren, D-Mass., who called for increased regulation of Wall Street shortly after the market frenzy over GameStop began this week. “GameStop is just the latest and most visible example,” she said in an interview Friday. “We need to take this not as a one-off problem but as a systemic problem that requires systemic regulation and enforcement.” While President Joe Biden defeated Trump with a centrist message of restoring political norms, the trading frenzy this week provided a potent reminder of the strong undercurrent of grievance and institutional distrust in the country. Many believe that will only intensify as the nation wrestles with the economic fallout from a devastating pandemic. Also read| How GameStop stocks surge exposed Wall Street elites As Wall Street booms, unemployment has hit record highs, with nearly 10 million fewer people holding jobs than at the beginning of last year — a situation that reminds some former officials of the 2008 economic crisis that led to both the Occupy Wall Street and the Tea Party movements. “It’s not about Republicans and Democrats,” said Newt Gingrich, the former Republican House Speaker and an ally of Trump. “It’s lots and lots of normal, everyday people who began to figure out they really got ripped off for the last year just like they got ripped off in 2008 and 2009. What you’re seeing is an almost spontaneous cultural reaction in which the little guys and gals are getting together and going after the bigs, so the bigs are having to rig the game in order to survive.” The reality is more complicated. There is little sign of any central political mission shared by the millions of amateur traders who combined to squeeze at least two hedge funds that bet against the stocks of companies like GameStop and movie chain AMC. One of the originators of the scheme is far from a “little guy,” with the financial resources to have purportedly transformed an initial investment of $53,000 into $48 million. Overall, only about half the country owns any stock at all. On Reddit, the online message board that helped fuel the surge, few of the mostly young participants frame their flood of investments in clearly partisan terms. Yet many write of being driven by anger over the 2008 financial bailouts that kept the big banks afloat while 10 million Americans lost their homes. “When that crisis hit our family, we were able to keep our little house, but we lived off of pancake mix, and powdered milk, and beans and rice for a year,” one person identified as ssauronn posted on Reddit. “Your ilk were bailed out and rewarded for terrible and illegal financial decisions that negatively changed the lives of millions.” Other posters responded with their own stories of economic struggle and political rage. Also read| GameStop prompts surge in hyper-rally after Elon Musk's tweet “Forget republican/democrat, left/right... the bankers play both sides and have almost always come out on top,” a poster identified as ChrisFrettJunior wrote, after recounting watching his parents struggle through the 2008 recession. The decision to bail out the biggest banks and also decline to prosecute any of their top executives led to much of the populist fervor that has driven U.S. politics in the past decade. The Tea Party surged to political prominence in the wake of the $700 billion financial rescue package that passed in 2008, eventually becoming a force that defeated both moderate Republicans and Democrats. After Republicans won control of the House in 2010, Democrats began to face their own backlash, beginning with Occupy Wall Street — a loose coalition of largely liberal protesters who fueled a national conversation about economic inequality. These days, political strategists warn, hedge funds, private equity investors and bankers are unlikely to find the same kind of deep support in Washington. Anger over the bailouts fueled the campaigns of political outsiders, creating a Congress that is less receptive to the pleas of Wall Street and far more eager to make use of upheaval to advance their agendas. “There’s a ton of political currency in holding hedge funds’ feet to the fire from Democrats and Republicans,” said Josh Holmes, a Republican strategist and longtime adviser to Sen. Mitch McConnell, R-Ky. “If you’re sitting on Wall Street looking at this, dismissing people as folks who don’t understand the way that the markets work, I think you’re going to be in a lot of trouble.” For Republicans, the market upheaval was a referendum on elitism. Democrats saw pure corporate greed and the need for greater regulation. “Big Hedge, with outposts in South Hedge-i-stan (Wall Street) and North Hedge-i-stan (Greenwich, CT), has made trillions shorting great American companies facing a rough patch,” said Rep. Jeff Fortenberry, R-Neb. “Now they are getting a comeuppance from flash mobs of day traders and are paying dearly.” Most of the ire this week was directed at Robinhood, a brokerage app catering to younger investors, which suddenly limited trading in GameStop, AMC and other stocks. Lawmakers argued that the app was protecting hedge funds and other big investors over retail investors. Robinhood said the additional restrictions were necessary to comply with government financial requirements. Yet even centrists like Sen. Pat Toomey, R-Pa., who is poised to become the top Republican on the Senate Banking Committee, expressed concerns about the lack of transparency in the online company’s decision-making. “I find it disturbing when retail investors who are simply seeking to buy a stock are frozen out of the market,” Toomey said in a statement. “Retail investors should be free to purchase even highly speculative stocks, just as hedge funds should be free to short them.” Although politicians from both sides joined calls for greater scrutiny, it was hardly a kumbaya moment for the two parties. After Cruz tweeted that he agreed with Ocasio-Cortez’s call for a probe into Robinhood’s action, she quickly disavowed any support from Cruz, who was a prominent backer of Trump’s baseless claims of election fraud. “I am happy to work with Republicans on this issue where there’s common ground, but you almost had me murdered 3 weeks ago so you can sit this one out,” she responded. “Happy to work w/ almost any other GOP that aren’t trying to get me killed. In the meantime if you want to help, you can resign.” Cruz condemned her response as “partisan anger” that’s “not healthy for our country,” drawing another response from Ocasio-Cortez, while his allies in the House called for an apology. The uproar over GameStop and Robinhood comes at a challenging time for the Biden administration, which took office promising to restore a sense of calm to the country. The Senate Banking Committee has yet to schedule a hearing to confirm Gary Gensler, Biden’s pick to lead the Securities and Exchange Commission, leaving the agency with an acting chair for the indefinite future. On Friday the White House press secretary, Jen Psaki, deferred questions on the issue. “It’s a good reminder, though, that the stock market isn’t the only measure of the health of our economy,” she said, an apparent reference to Trump’s persistent fixation on stock prices during his tenure. Biden has not yet commented on the issue. Rep. Ro Khanna, D-Calif., a progressive who represents a district that includes Silicon Valley, said this week’s events should alert lawmakers to the need to tighten financial regulations and increase transparency and equity. He said the wide range of Republicans and Democrats who have spoken out are a reflection of “a real populist anger in this country.” “Some people go get fancy degrees, know the right people and spend all day in front of their computers short selling, Khanna said. “And it’s a form of manipulation that has hurt our country. That has enriched the few at the expense of many Americans.” Although many Americans own no stock at all, the sense that Wall Street has gamed a rigged system cuts across demographic barriers, he argued. “I think this has been bubbling up since the Wall Street crash of 2008,” Khanna said. “And it’s coming to a boiling point.”

Lawmakers look at GameStop furor and see a populist issue to seize

Online broker Robinhood, one of the hottest venues in this week's retail-trading frenzy, said it put temporary buying restrictions on a small number of securities as clearing house-mandated deposit requirements for equities increased ten-fold.

"....the required amount we had to deposit with the clearing house was so large, with individual volatile securities accounting for hundreds of millions of dollars in deposit requirements - that we had to take steps to limit buying in those volatile securities to ensure we could comfortably meet our requirements," it said in a blog post late on Friday.&nbsp;

Meanwhile,&nbsp;Texas's attorney general announced on Friday a probe into&nbsp;Robinhood&nbsp;and 12 other online stock exchanges after they suspended trading on GameStop and other volatile equities.

Ken Paxton, the top prosecutor for the country's second-most-populous state, sent a civil investigative demand to the companies, the latest sign of escalating scrutiny from regulators and lawmakers over the trade suspensions. Trading of GameStop resumed Friday on&nbsp;Robinhood.&nbsp;

Paxton echoed criticism from across the political spectrum of the trading halts, which he said "stinks of corruption" and appears to show coordination among powerful interests.

US media reported the company had also raised $1 billion from its investors to help it stay afloat and allow its customers to continue trading, though on Thursday&nbsp;Robinhood&nbsp;chief Vlad Tenev told CNBC the company was not facing a liquidity crunch.

Robinhood&nbsp;needs to maintain a certain amount of funds in the financial institutions that facilitate orders made on its platforms, and when it sees increased demand, that liquidity needs to increase as well.

Robinhood's fee-free and simple-to-use app has made it popular with a new generation of small-time traders and its restrictions on Thursday drew a heavy backlash from high-profile politicians and celebrities.

Retail investors using Robinhood and other apps drove the so-called "Reddit rally" that pushed up shares of GameStop Corp and other companies championed on social media platforms including Reddit, resulting in heavy losses for big hedge funds that had shorted the shares.

Online broker Robinhood, one of the hottest venues in this week's retail-trading frenzy, said it put temporary buying restrictions on a small number of securities as clearing house-mandated deposit requirements for equities increased ten-fold.

Online broker Robinhood, one of the hottest venues in this week's retail-trading frenzy, said it put temporary buying restrictions on a small number of securities as clearing house-mandated deposit requirements for equities increased ten-fold. "....the required amount we had to deposit with the clearing house was so large, with individual volatile securities accounting for hundreds of millions of dollars in deposit requirements - that we had to take steps to limit buying in those volatile securities to ensure we could comfortably meet our requirements," it said in a blog post late on Friday. Meanwhile, Texas's attorney general announced on Friday a probe into Robinhood and 12 other online stock exchanges after they suspended trading on GameStop and other volatile equities. Ken Paxton, the top prosecutor for the country's second-most-populous state, sent a civil investigative demand to the companies, the latest sign of escalating scrutiny from regulators and lawmakers over the trade suspensions. Trading of GameStop resumed Friday on Robinhood. Paxton echoed criticism from across the political spectrum of the trading halts, which he said "stinks of corruption" and appears to show coordination among powerful interests. US media reported the company had also raised $1 billion from its investors to help it stay afloat and allow its customers to continue trading, though on Thursday Robinhood chief Vlad Tenev told CNBC the company was not facing a liquidity crunch. Robinhood needs to maintain a certain amount of funds in the financial institutions that facilitate orders made on its platforms, and when it sees increased demand, that liquidity needs to increase as well. Robinhood's fee-free and simple-to-use app has made it popular with a new generation of small-time traders and its restrictions on Thursday drew a heavy backlash from high-profile politicians and celebrities. Retail investors using Robinhood and other apps drove the so-called "Reddit rally" that pushed up shares of GameStop Corp and other companies championed on social media platforms including Reddit, resulting in heavy losses for big hedge funds that had shorted the shares.

Robinhood imposes one share buy limit on dozens of stocks amid GameStop scrutiny

Facing an onslaught of demands on its cash amid a stock market frenzy, Robinhood, the online trading app, said Thursday that it was raising an infusion of more than $1 billion from its existing investors.

Robinhood, one of the largest online brokerages, has grappled with an extraordinarily high volume of trading this week as individual investors have piled into stocks like GameStop. That activity has put a strain on Robinhood, which has to pay customers who are owed money from trades while posting additional cash to its clearing facility to insulate its trading partners from potential losses.

On Thursday, Robinhood was forced to stop customers from buying a number of stocks like GameStop that were heavily traded this week. To continue operating, it drew on a line of credit from six banks amounting to between $500 million and $600 million to meet higher margin, or lending, requirements from its central clearing facility for stock trades, known as the Depository Trust &amp;amp; Clearing Corp.

Robinhood still needed more cash quickly to ensure that it didn’t have to place further limits on customer trading, said two people briefed on the situation who insisted on remaining anonymous because the negotiations were confidential.

Robinhood, which is privately held, contacted several of its investors, including venture capital firms Sequoia Capital and Ribbit Capital, who came together Thursday night to offer the emergency funding, five people involved in the negotiations said.

“This is a strong sign of confidence from investors that will help us continue to further serve our customers,” Josh Drobnyk, a Robinhood spokesman, said in an email. Sequoia and Ribbit declined to comment.

Investors who provide new financing to Robinhood will receive additional equity in the company. The investors will get that equity at a discounted valuation tied to the price of Robinhood shares when the company goes public, said two of the people. Robinhood plans to hold an initial public offering this year, two people briefed on the plans said.

Robinhood’s emergency fundraising is the latest sign of how trading in the stock market has been upended this week.

An online army of investors, who have been on a mission to challenge the dominance of Wall Street, rapidly bid up the price of stocks like GameStop, entrapping the big-money hedge funds that had bet against the stocks. Some of these individual investors have reaped huge profits, while at least one major hedge fund had to be bailed out after facing huge losses.

Robinhood, which is based in Silicon Valley, has been key to empowering the online investors. Adoption of the app has soared in the pandemic as the stock market surged and people took up day trading in the void of other pastimes. The company has drawn in millions of young investors who have never traded before by offering no-fee trading and an app that critics have said makes buying stocks feel like an online game.

Without fees, Robinhood makes money by passing its customer trades along to bigger brokerage firms, like Citadel, who pay Robinhood for the chance to fulfill its customer stock orders.

In May, Robinhood said it had 13 million users. This week, it became the most-downloaded free app in Apple’s App Store, according to Apptopia, a data provider.

Critics have accused the company of encouraging people to gamble on stock market movements and risk big losses. Brokerages including T. Rowe Price, Schwab and Fidelity have imitated Robinhood by lowering their trading fees to zero. Many of them were also hit by the crush of trading this week.

Robinhood has had no trouble raising money over the last year, drawing $1.3 billion in venture capital backing and boosting its valuation to nearly $12 billion. Its other investors include venture capital firm DST Capital, New Enterprise Associates, Index Ventures and Andreessen Horowitz.

Yet the company has faced many issues, including fines from regulators for misleading customers. Last March, it raised more money after its app went down and left customers stranded and nursing big losses, leading to a still ongoing lawsuit.

In recent weeks, many online investors have used Robinhood to make bets that pushed up the price of GameStop, AMC Entertainment and other stocks that had been widely shorted — or bet against — by hedge funds. That changed Thursday after the company curbed customer trading in the most popular stocks.

“As a brokerage firm, we have many financial requirements,” Robinhood said in a blog post Thursday. “Some of these requirements fluctuate based on volatility in the markets and can be substantial in the current environment.”

In protest, hundreds of thousands of users joined a campaign to give Robinhood’s app the lowest one-star review and drive the company’s rating down. Some investors also sued Robinhood for the losses they sustained after the company cut off trading in certain stocks, and several lawmakers urged regulators to exercise more scrutiny of the company.

Facing an onslaught of demands on its cash amid a stock market frenzy, Robinhood, the online trading app, said Thursday that it was raising an infusion of more than $1 billion from its existing investors.

Facing an onslaught of demands on its cash amid a stock market frenzy, Robinhood, the online trading app, said Thursday that it was raising an infusion of more than $1 billion from its existing investors. Robinhood, one of the largest online brokerages, has grappled with an extraordinarily high volume of trading this week as individual investors have piled into stocks like GameStop. That activity has put a strain on Robinhood, which has to pay customers who are owed money from trades while posting additional cash to its clearing facility to insulate its trading partners from potential losses. On Thursday, Robinhood was forced to stop customers from buying a number of stocks like GameStop that were heavily traded this week. To continue operating, it drew on a line of credit from six banks amounting to between $500 million and $600 million to meet higher margin, or lending, requirements from its central clearing facility for stock trades, known as the Depository Trust &amp; Clearing Corp. Robinhood still needed more cash quickly to ensure that it didn’t have to place further limits on customer trading, said two people briefed on the situation who insisted on remaining anonymous because the negotiations were confidential. Robinhood, which is privately held, contacted several of its investors, including venture capital firms Sequoia Capital and Ribbit Capital, who came together Thursday night to offer the emergency funding, five people involved in the negotiations said. “This is a strong sign of confidence from investors that will help us continue to further serve our customers,” Josh Drobnyk, a Robinhood spokesman, said in an email. Sequoia and Ribbit declined to comment. Investors who provide new financing to Robinhood will receive additional equity in the company. The investors will get that equity at a discounted valuation tied to the price of Robinhood shares when the company goes public, said two of the people. Robinhood plans to hold an initial public offering this year, two people briefed on the plans said. Robinhood’s emergency fundraising is the latest sign of how trading in the stock market has been upended this week. An online army of investors, who have been on a mission to challenge the dominance of Wall Street, rapidly bid up the price of stocks like GameStop, entrapping the big-money hedge funds that had bet against the stocks. Some of these individual investors have reaped huge profits, while at least one major hedge fund had to be bailed out after facing huge losses. Robinhood, which is based in Silicon Valley, has been key to empowering the online investors. Adoption of the app has soared in the pandemic as the stock market surged and people took up day trading in the void of other pastimes. The company has drawn in millions of young investors who have never traded before by offering no-fee trading and an app that critics have said makes buying stocks feel like an online game. Without fees, Robinhood makes money by passing its customer trades along to bigger brokerage firms, like Citadel, who pay Robinhood for the chance to fulfill its customer stock orders. In May, Robinhood said it had 13 million users. This week, it became the most-downloaded free app in Apple’s App Store, according to Apptopia, a data provider. Critics have accused the company of encouraging people to gamble on stock market movements and risk big losses. Brokerages including T. Rowe Price, Schwab and Fidelity have imitated Robinhood by lowering their trading fees to zero. Many of them were also hit by the crush of trading this week. Robinhood has had no trouble raising money over the last year, drawing $1.3 billion in venture capital backing and boosting its valuation to nearly $12 billion. Its other investors include venture capital firm DST Capital, New Enterprise Associates, Index Ventures and Andreessen Horowitz. Yet the company has faced many issues, including fines from regulators for misleading customers. Last March, it raised more money after its app went down and left customers stranded and nursing big losses, leading to a still ongoing lawsuit. In recent weeks, many online investors have used Robinhood to make bets that pushed up the price of GameStop, AMC Entertainment and other stocks that had been widely shorted — or bet against — by hedge funds. That changed Thursday after the company curbed customer trading in the most popular stocks. “As a brokerage firm, we have many financial requirements,” Robinhood said in a blog post Thursday. “Some of these requirements fluctuate based on volatility in the markets and can be substantial in the current environment.” In protest, hundreds of thousands of users joined a campaign to give Robinhood’s app the lowest one-star review and drive the company’s rating down. Some investors also sued Robinhood for the losses they sustained after the company cut off trading in certain stocks, and several lawmakers urged regulators to exercise more scrutiny of the company.

Robinhood, in need of cash, raises $1 billion from its investors

After &nbsp;'The Lion King', 'Mulan', and 'Aladdin', Disney is set to remake its 1973 animated classic show 'Robin Hood'. The show will be specially made for the Disney + streaming site.&nbsp; 
 
The upcoming show maybe helmed by Carlos Lopez Estrada, who is best known for directing the 2018 crime movie 'Blindspotting'. The film is being written by Kari Granlund. Granlund already is in the Disney fold after having written the studio’s recent remake of 'Lady and the Tramp'.

Also read:&nbsp;<a href="http://13.235.153.162/entertainment/disney-delays-marvel-blockbusters-but-hopes-for-summer-mulan-launch-291122" hreflang="en">Disney delays Marvel blockbusters but hopes for summer 'Mulan' launch</a> 
 
The new version of the animated movie will “feature the characters as anthropomorphic, this time in a live-action/CG hybrid format,” according to the news agency.

<iframe allow="accelerometer; autoplay; encrypted-media; gyroscope; picture-in-picture" allowfullscreen="" frameborder="0" height="315" src="https://www.youtube.com/embed/j7AVQVstkS8" width="560"></iframe>

The movie will also be a musical like the old one. &nbsp;The original version follows the story of the noble thief of Sherwood Forest as a fox and his trusty sidekick, Little John a black bear, as they fight against the excessive taxation of Prince John a lion, and Robin Hood wins the hand of Maid Marian.&nbsp;

Also read:<a href="https://www.wionews.com/entertainment/black-widow-the-eternals-and-other-marvel-movies-get-new-release-dates-amid-coronavirus-outbreak-290590">&nbsp;'Black Widow', 'The Eternals' and other Marvel movies get new release dates amid coronavirus outbreak</a> 
 
The movie's song 'Love' received an Oscar nomination for Floyd Huddleston and George Bruns as the movie earned $32 million at the box office on a $5 million budget.

Disney has launched its OTT platform Disney+, that have gained over<a href="http://13.235.153.162/entertainment/streaming-service-disney-crosses-50-million-paid-subscribers-globally-291474"> 50 million subscribers </a>from all over the world.

After 'The Lion King', 'Mulan', and 'Aladdin', Disney is set to remake its 1973 animated classic show 'Robin Hood'. The show will be specially made for the Disney + streaming site.

After 'The Lion King', 'Mulan', and 'Aladdin', Disney is set to remake its 1973 animated classic show 'Robin Hood'. The show will be specially made for the Disney + streaming site. The upcoming show maybe helmed by Carlos Lopez Estrada, who is best known for directing the 2018 crime movie 'Blindspotting'. The film is being written by Kari Granlund. Granlund already is in the Disney fold after having written the studio’s recent remake of 'Lady and the Tramp'. Also read: Disney delays Marvel blockbusters but hopes for summer 'Mulan' launch The new version of the animated movie will “feature the characters as anthropomorphic, this time in a live-action/CG hybrid format,” according to the news agency. The movie will also be a musical like the old one. The original version follows the story of the noble thief of Sherwood Forest as a fox and his trusty sidekick, Little John a black bear, as they fight against the excessive taxation of Prince John a lion, and Robin Hood wins the hand of Maid Marian. Also read: 'Black Widow', 'The Eternals' and other Marvel movies get new release dates amid coronavirus outbreak The movie's song 'Love' received an Oscar nomination for Floyd Huddleston and George Bruns as the movie earned $32 million at the box office on a $5 million budget. Disney has launched its OTT platform Disney+, that have gained over 50 million subscribers from all over the world.

Disney to remake its 1973 classic 'Robin Hood' movie in live-action/CG hybrid format

Bollywood actor Salman Khan on Tuesday released the teaser of his much-awaited film 'Dabangg 3'&nbsp;in which he will be again seen as everyone's favourite, Chulbul Robinhood Pandey. 
 
In the 52 seconds teaser, 'Bajrangi Bhaijan'&nbsp;can be heard saying, "Jab Chulbul Pandey se jude hai emotions toh kyu karenge Salman Khan 'Dabangg 3'&nbsp;ke promotions. Picture humari, poster humara tho promote bhi tho hum hi karege na. Aaj se leke 20 december tak and uske baad bhi swagat tho karo humara''. 
 
Khan's dialogues in the teaser clearly indicated that the actor will be doing the promotion for 'Dabangg 3'&nbsp;as his character in film, Chulbul Robinhood Pandey and not as Salman Khan.

<div class="ui-state-default" contenteditable="false">
<div class="twitter-block" draggable="false">
<blockquote class="twitter-tweet" data-lang="en">
Hello! My name is Chulbul Pandey. 
Nice to meet you! <a href="https://twitter.com/hashtag/Dabangg3WithChulbulPandey?src=hash&amp;ref_src=twsrc%5Etfw">#Dabangg3WithChulbulPandey</a><a href="https://t.co/veZjWKAwyp">https://t.co/veZjWKAwyp</a> <a href="https://twitter.com/arbaazSkhan?ref_src=twsrc%5Etfw">@arbaazSkhan</a> <a href="https://twitter.com/sonakshisinha?ref_src=twsrc%5Etfw">@sonakshisinha</a> <a href="https://twitter.com/saieemmanjrekar?ref_src=twsrc%5Etfw">@saieemmanjrekar</a> <a href="https://twitter.com/PDdancing?ref_src=twsrc%5Etfw">@PDdancing</a> <a href="https://twitter.com/KicchaSudeep?ref_src=twsrc%5Etfw">@KicchaSudeep</a> <a href="https://twitter.com/Nikhil_Dwivedi?ref_src=twsrc%5Etfw">@nikhil_dwivedi</a> <a href="https://twitter.com/SKFilmsOfficial?ref_src=twsrc%5Etfw">@SKFilmsOfficial</a> <a href="https://twitter.com/saffronbrdmedia?ref_src=twsrc%5Etfw">@saffronbrdmedia</a>
— Chulbul Pandey (@BeingSalmanKhan) <a href="https://twitter.com/BeingSalmanKhan/status/1178919911248269312?ref_src=twsrc%5Etfw">October 1, 2019</a></blockquote>
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in the teaser he can also be seen doing his famous hook step from the movie and delivering 'Swagat toh karo humara'&nbsp;dialogue. 
 
Khan who is in love with his character from the upcoming film has changed his Twitter profile name to Chulbul Panday.&nbsp;

<img alt="Salman Khan " data-entity-type="file" data-entity-uuid="8b8813a1-c973-4ad7-8713-16c2822d5d95" src="//cdn.wionews.com/sites/default/files/inline-images/hghhh.JPG" />

"Hello! My name is Chulbul Pandey. Nice to meet you!" he wrote while sharing the teaser. 
 
The film also stars Sonakshi Sinha as a character named, Rajjo. The third film in the Dabangg series is directed by Prabhudheva. 
 
The first film was directed by Anurag Kashyap's brother Abhinav Kashyap, while 'Dabangg 2'&nbsp;was directed by Salman's brother Arbaaz Khan.

 
<iframe allow="accelerometer; autoplay; encrypted-media; gyroscope; picture-in-picture" allowfullscreen="" frameborder="0" height="315" src="https://www.youtube.com/embed/Khr-nxzU3xk" width="560"></iframe>

As per media reports, Arbaaz will once again be seen playing Makkhi in the film. The movie is being produced under the banner of Salman Khan Films and Arbaaz Khan Production. 
 
It is scheduled to release on December 20, this year.

Bollywood actor Salman Khan on Tuesday released the teaser of his much-awaited film 'Dabangg 3' in which he will be again seen as everyone's favourite, Chulbul Robinhood Pandey.

Bollywood actor Salman Khan on Tuesday released the teaser of his much-awaited film 'Dabangg 3' in which he will be again seen as everyone's favourite, Chulbul Robinhood Pandey. In the 52 seconds teaser, 'Bajrangi Bhaijan' can be heard saying, "Jab Chulbul Pandey se jude hai emotions toh kyu karenge Salman Khan 'Dabangg 3' ke promotions. Picture humari, poster humara tho promote bhi tho hum hi karege na. Aaj se leke 20 december tak and uske baad bhi swagat tho karo humara''. Khan's dialogues in the teaser clearly indicated that the actor will be doing the promotion for 'Dabangg 3' as his character in film, Chulbul Robinhood Pandey and not as Salman Khan. Hello! My name is Chulbul Pandey. Nice to meet you! #Dabangg3WithChulbulPandeyhttps://t.co/veZjWKAwyp @arbaazSkhan @sonakshisinha @saieemmanjrekar @PDdancing @KicchaSudeep @nikhil_dwivedi @SKFilmsOfficial @saffronbrdmedia — Chulbul Pandey (@BeingSalmanKhan) October 1, 2019 × in the teaser he can also be seen doing his famous hook step from the movie and delivering 'Swagat toh karo humara' dialogue. Khan who is in love with his character from the upcoming film has changed his Twitter profile name to Chulbul Panday. "Hello! My name is Chulbul Pandey. Nice to meet you!" he wrote while sharing the teaser. The film also stars Sonakshi Sinha as a character named, Rajjo. The third film in the Dabangg series is directed by Prabhudheva. The first film was directed by Anurag Kashyap's brother Abhinav Kashyap, while 'Dabangg 2' was directed by Salman's brother Arbaaz Khan. As per media reports, Arbaaz will once again be seen playing Makkhi in the film. The movie is being produced under the banner of Salman Khan Films and Arbaaz Khan Production. It is scheduled to release on December 20, this year.

Salman Khan releases 'Dabangg 3' teaser, promises to promote as Chulbul Pandey

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