2 years ago
Trading app supplier Robinhood was subpoenaed by U.S. securities regulators precocious past year, according to a filing submitted by the institution connected Feb. 27.
In that filing, Robinhood said it received an investigative subpoena from the U.S. Securities and Exchange Commission (SEC) concerning assorted matters specified arsenic cryptocurrency listings, crypto custody practices, and level operations.
The institution said it received the subpoena successful December 2022 pursuing the illness of FTX successful November (and the illness of different companies successful the summer).
Robinhood said it could look sanctions if the SEC oregon immoderate tribunal determines it has not complied with securities regulations. The institution besides said that if its listed cryptocurrencies are determined to beryllium securities, it could beryllium prevented from supporting the trading of those assets. Furthermore, Robinhood said it could beryllium forced to wage regulatory penalties and compensation to its users.
Robinhood made the supra statements wrong its 10-K filing — a required yearly study for publicly- and privately-traded companies. Though the filing concerns the fiscal twelvemonth ending successful December 2022, the filing was not submitted oregon publicized until today.
Despite the SEC’s evident engagement with Robinhood, determination is nary denotation that the regulator plans to instrumentality enactment against the steadfast immediately. The institution said it cooperates with each investigations successful today’s filing.
The quality has minimally affected the worth of institution shares, if astatine all. Robinhood banal (HOOD) is up 1.36% contiguous but down 0.62% aft hours.
The station SEC subpoenaed Robinhood implicit crypto listings appeared archetypal connected CryptoSlate.
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