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Robinhood CEO Says Trading Limits Will Protect Firm, Customers

Jan. 29, 2021, 1:13 AM

Robinhood Markets Chief Executive Officer Vlad Tenev said the firm drew down its credit line and restricted client buying of certain stocks to protect its financial position.

“Look, it is not negotiable for us to comply with our financial requirements and our clearinghouse deposits,” Tenev said Thursday on Bloomberg Television. “We have to do that.”

WATCH: Robinhood CEO Tenev discusses why he decided to restrict buying on 13 securities on the platform, and the criticism the platform have endured.
(Source: Bloomberg)

Robinhood drew down by several hundred million dollars some of its credit lines with banks, Bloomberg reported earlier, citing people with knowledge of the matter. The firm’s trading app is popular with investors who were behind this month’s wild stock swings in shares of ...