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

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

Elon Musk and Vladimir Tenev

Tesla chief Elon Musk grilledVladimirTenev,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 appClubhouse"Do you want to hear the real story from Vlad [from] Robinhood about what happened on the Street with GameStop?"

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On the wide-ranging chat, Musk discussed memes, Mars, his companies, and vaccines, among other topics.

Clubhousebuilt 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 providesan alternative forum to Twitter.

GameStop stock surged some 400 per centin the past week after retail investors banded together to buy shares in the USvideo game retailer, sending hedge funds scrambling to cover losing bets.

Musk questionedTenev saying"What happened last week? Why couldn't people buy the GameStop shares? The people demand answers, and they want to know the truth."

Tenevsaid 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,"Tenevsaid, adding that Robinhood temporarily halted trading to meet regulatory capital requirements.

The Menlo Park, California-based company was founded in 2013 by Baiju Bhatt andTenev, 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.