Friday, February 05, 2021
Gamestop paper can be purchased again
Robinhood lifts stock restrictions
More than a week ago, the Gamestop share climbed to almost $ 500 and threw the financial world into chaos. As a result, online portals such as Robinhood stop buying Gamestop shares for the time being. After numerous lawsuits, the platform is now saying goodbye to the restrictions.
The US broker Robinhood has lifted restrictions on shares in the computer game retailer Gamestop and other companies after heavy criticism. There are currently no purchase restrictions, the company announced on its website late Thursday evening. A good week after an extraordinary price increase at Gamestop, users at Robinhood can again buy shares in the computer games dealer and other companies such as Blackberry, AMC Entertainment and Nokia. At the beginning of the week, Robinhood had eased its restrictions slightly.
Robinhood suspended trading in certain stocks for several hours on Thursday last week, later other restrictions were in place. The company justified the move with "persistent market volatility". The shares of some companies had previously seen unusually sharp price swings. Companies such as Starbucks, Trivago and Moderna, which were not subject to any particular exchange rate fluctuations, were also affected by the restrictions. Critics felt locked out.
The shares of the game chain store Gamestop climbed to a high of nearly $ 500 last Wednesday, after having been at $ 20 at the beginning of the year. Robinhood has now received more than 30 complaints from investors because of its interim trading restrictions. These accuse the company of breach of contract and breaches of good faith. The price turbulence at Gamestop, for example, was seen by observers in connection with concerted purchases by private investors who organized themselves in Internet forums.
The company recently had to raise $ 3.4 billion in fresh money to meet the additional security requirements of clearing houses that have resulted from the tremendous growth in its customers' stock and options deals.