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Robinhood CEO to reportedly testify before US House committee over GameStop

Robinhood CEO Vlad Tenev will reportedly testify before the United States House Financial Services Committee over the firm’s role in the volatile trading of GameStop and other volatile stocks.

According to a report by the American political publication Politico, Tenev is expected to participate in a virtual hearing headed by Representative Maxine Waters (D-Calif.) on Feb. 18. Politico’s report cited anonymous people familiar with the matter. 

Waters officially declared that the Financial Services Committee’s wants to hold a GameStop-related hearing on Feb. 18. Entitled “Game Stopped? Who Wins and Loses When Short Sellers, Social Media, and Retail Investors Collide,” the hearing will focus on recent market volatility issues involving GameStop and other stocks.

Waters allegedly stated that:

“I am concerned about whether or not Robinhood restricted the trading because there was collusion between Robinhood and some of the hedge funds that were involved with this.”

As reported by Cointelegraph, the announcement did not specify what witnesses will participate in the hearing. Robinhood has not officially announced Tenev’s participation so far.

On Feb. 1, Robinhood’s Tenev discussed the firm’s move to restrict trading with Elon Musk on the audio chat app Clubhouse. Tenev allegedly stated that the decision about restrictions was made by a clearinghouse and was based on the capital requirements. He also denied allegations that trading firm Citadel Securities — the largest market maker in options in the U.S. — had pushed the firm to impose the limits.

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