Robinhood to pay $10M settlement for investor failure.

1 min read
Source: Cointelegraph
Robinhood to pay $10M settlement for investor failure.
Photo: Cointelegraph
TL;DR

Robinhood will pay over $10 million in penalties for operational and technical failures that harmed investors, according to the California Department of Financial Protection and Innovation. The settlement was the result of an investigation by securities regulators from seven states into complaints of Robinhood's system outages that caused users to miss out on trades while many of its services were unavailable. The DFPI order accuses Robinhood of "negligent dissemination of inaccurate information to customers" and failures related to services available to customers and transparency with regulators. Robinhood "neither admits nor denies" the regulators' findings.

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