Robinhood denies claims that it sold GameStop shares out from under its traders
Let me get this straight:<p>1) RH automatically makes every account a Margin account.<p>2) RH doesn't make this clear to their customers (buried in the TOS where they know newbie investors won't look, which makes up probably 99% of their customers).<p>3) RH allows people to initiate money transfers into RH, but also allows purchasing of stock immediately (on Margin) without informing the customer.<p>4) Investors believe they've outright purchased stock, because RH app shows the stock in their account, and money now gone (even though it's still pending the transfer).<p>5) RH then "margin calls" all of the people who had money transfers pending at the time of GME purchase.<p>Ya... that seems pretty predatory in my opinion. Downright shady business... How can this not be construed as market manipulation, even if RH <i>had</i> to do this to save themselves yesterday. RH got themselves into this position in the first place...