Robinhood is limiting purchases of stocks: AMC, Blackberry, Nokia, and GameStop • Hacker News Board

Re: Robinhood is limiting purchases of stocks: AMC, Blackberry, Nokia, and GameStop

#71

Post by node01 » Thu, Jan 28, 2021, 2:03 PM UTC

wyldfire wrote: post #26

Can someone help me understand Robinhood's POV? This just seems so outrageous that there must be some sane rationale that I'm not seeing. Why do Robinhood, Reddit, Discord, etc feel like they have to respond to this? Whether the investments being made are responsible or not, it doesn't seem like it should be their place to intervene. If the hedge funds over-shorted GME and WSB recognized that and traded against that…

Could either be govt/NASDAQ forced something or a major investor/VC in Robinhood is putting the pressure because they have other investments or vested interests in the hedge funds getting hurt.

Re: Robinhood is limiting purchases of stocks: AMC, Blackberry, Nokia, and GameStop

#72

Post by ascagnel_ » Thu, Jan 28, 2021, 2:03 PM UTC

muskox2 wrote: post #20

frongpik wrote: post #12

Earlier quoted context omitted.

Don't the ToS include a waiver of taking any legal action against RH, class action suits in particular, and a binding arbitration clause in case you really want to make some noise?

Is having a clause like that in your ToS legal?

In the US, yes, a terms of service can force binding arbitration.

Re: Robinhood is limiting purchases of stocks: AMC, Blackberry, Nokia, and GameStop

#73

Post by xutopia » Thu, Jan 28, 2021, 2:03 PM UTC

dd36 wrote: post #55

speeder wrote: post #9

This sort of stuff will put people more and more on edge, there is the deplatforming going on, people asserted their power financially, and now getting that removed too, the powers that rule USA don't realize that soon the only tool left to common people is violence? Even more with some irresponsible newspapers blaming the whole thing on GamerGate and Alt-Right, effectively pushing away people that previously could b…

Pump and dump isn’t legal.

Except it isn't a pump and dump. It is a short squeeze. Hedge fund managers are betting more stocks than the company issued and people are taking advantage of that opportunity.

The closest thing to criminal activity we see here is people betting more than a company's stock. When hedge fund managers see this and buy all the stock to squeeze the shorters it's normal. When it's people like you and me they say it is illegal.

Re: Robinhood is limiting purchases of stocks: AMC, Blackberry, Nokia, and GameStop

#74

Post by agumonkey » Thu, Jan 28, 2021, 2:03 PM UTC

ceilingcorner wrote: post #46

speeder wrote: post #9

This sort of stuff will put people more and more on edge, there is the deplatforming going on, people asserted their power financially, and now getting that removed too, the powers that rule USA don't realize that soon the only tool left to common people is violence? Even more with some irresponsible newspapers blaming the whole thing on GamerGate and Alt-Right, effectively pushing away people that previously could b…

It’s a pretty classic tactic in the history of conflict. By pushing your opponent into a tight position, you force him to strike first, thus giving you complete justification in your disproportionate response.

It seems preprogrammed in the brain. I can witness that in people that will gradually boil you until you snap and then benefit from the chaos as revenge almost sub-conscientiously

Re: Robinhood is limiting purchases of stocks: AMC, Blackberry, Nokia, and GameStop

#75

Post by rjtavares » Thu, Jan 28, 2021, 2:03 PM UTC

the_drunkard wrote: post #61

ceilingcorner wrote: post #46

Earlier quoted context omitted.

It’s a pretty classic tactic in the history of conflict. By pushing your opponent into a tight position, you force him to strike first, thus giving you complete justification in your disproportionate response.

That tactic worked out well during the French Revolution...

“Those who make peaceful revolution impossible will make violent revolution inevitable."

Re: Robinhood is limiting purchases of stocks: AMC, Blackberry, Nokia, and GameStop

#76

Post by thinkingemote » Thu, Jan 28, 2021, 2:03 PM UTC

eli_gottlieb wrote: post #45

owenversteeg wrote: post #6

Wow. First the Discord ban and then this - clearly the billionaire hedge fund managers have been busy pulling strings overnight. Limiting it so you can't buy, you can only sell... Very clearly helping the hedge funds here.

Luckily, I used my Vanguard account instead of making a Robinhood.

Now people are moving away from Robinhood is it only a matter of time before the other platforms do the same?

Re: Robinhood is limiting purchases of stocks: AMC, Blackberry, Nokia, and GameStop

#77

Post by agilob » Thu, Jan 28, 2021, 2:03 PM UTC

ceilingcorner wrote: post #46

speeder wrote: post #9

This sort of stuff will put people more and more on edge, there is the deplatforming going on, people asserted their power financially, and now getting that removed too, the powers that rule USA don't realize that soon the only tool left to common people is violence? Even more with some irresponsible newspapers blaming the whole thing on GamerGate and Alt-Right, effectively pushing away people that previously could b…

It’s a pretty classic tactic in the history of conflict. By pushing your opponent into a tight position, you force him to strike first, thus giving you complete justification in your disproportionate response.

It's a police tactic called Kettling https://en.wikipedia.org/wiki/Kettling

Re: Robinhood is limiting purchases of stocks: AMC, Blackberry, Nokia, and GameStop

#78

Post by baybal2 » Thu, Jan 28, 2021, 2:03 PM UTC

speeder wrote: post #9

This sort of stuff will put people more and more on edge, there is the deplatforming going on, people asserted their power financially, and now getting that removed too, the powers that rule USA don't realize that soon the only tool left to common people is violence? Even more with some irresponsible newspapers blaming the whole thing on GamerGate and Alt-Right, effectively pushing away people that previously could b…

I've heard the talk that Robinhood website is an op by a financial fund called Citadel LLC. It may be considered market manipulation on their side well more solidly than some speculation on the internet, not to say a breach of brokerage contractual obligations.

Re: Robinhood is limiting purchases of stocks: AMC, Blackberry, Nokia, and GameStop

#79

Post by [deleted] » Thu, Jan 28, 2021, 2:04 PM UTC

metalliqaz wrote: post #40

speeder wrote: post #9

This sort of stuff will put people more and more on edge, there is the deplatforming going on, people asserted their power financially, and now getting that removed too, the powers that rule USA don't realize that soon the only tool left to common people is violence? Even more with some irresponsible newspapers blaming the whole thing on GamerGate and Alt-Right, effectively pushing away people that previously could b…

Oh please. Robinhood's business model is not designed for this kind of thing. They are not required to tank their own business to allow malcontents to feel better about themselves.

[deleted]

Re: Robinhood is limiting purchases of stocks: AMC, Blackberry, Nokia, and GameStop

#80

Post by pmorici » Thu, Jan 28, 2021, 2:04 PM UTC

metalliqaz wrote: post #52

wyldfire wrote: post #26

Can someone help me understand Robinhood's POV? This just seems so outrageous that there must be some sane rationale that I'm not seeing. Why do Robinhood, Reddit, Discord, etc feel like they have to respond to this? Whether the investments being made are responsible or not, it doesn't seem like it should be their place to intervene. If the hedge funds over-shorted GME and WSB recognized that and traded against that…

Robinhood allows free trades. With all the new customers loging in and just buying a few stocks, they have to acquire lots of new shares. When this is all over, a lot of retail investors are going to be left holding the bag, and will likely not be continuing customers.

Better to educate instead of ban then. So long as people have the facts, let them make their own decisions. At this point a number of people are probably just in on this because they love the idea of sticking it to a hedge fund or two.