2021-03-08

5-4-3-2-1: Robinhood’s Reputation Drops Along With the Number of Shares They Let Users Buy

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Mitchell Clark, writing for The Verge:

Robinhood only wants users to have a limited number of shares of
companies like GameStop, and that number keeps getting smaller and
smaller. On Thursday, the company halted users’ ability to buy
stocks that were associated with r/WallStreetBets, including
GameStop, AMC, and Nokia, but the company promised that users
would be able to buy limited quantities on Friday. Today, it
released a shifting support document that details just how
limited things are — and to slightly paraphrase Lando, the deal’s
getting worse all the time.

When trading opened earlier today, users were limited to owning
five shares of GameStop in aggregate, meaning they could only own
up to five — if they already had three GameStop stocks, they
could only buy two more — but even that restriction hasn’t
lasted. Soon, the number of shares you could buy in GME dropped to
two and then finally down to a single share. That’s right: you
couldn’t buy more than one.

One share. At least the stock that so many Robinhood users wanted to buy only went up 70 percent today, so I’m sure no one is angry.

Robinhood’s old slogan: “Let the people trade.”

New slogan: “Play with us at the kiddie table.”