Update - 6:04 p.m. ET, 1/28/21: Robinhood co-founder Vladimir Tenev took to Twitter after the stock market closed today to try and explain the company’s decision in more detail and announce it will allow limited trading of GameStop stock again beginning tomorrow.


“As a brokerage firm, Robinhood has many financial requirements, including SEC net capital obligations and clearinghouse deposits,” he wrote. “Some of these requirements fluctuate based on volatility in the markets and can be substantial in the current environment.”

He went on:

These requirements exist to protect investors and the markets and we take our responsibilities to comply with them seriously, including through the measures we have taken today.

To be clear, this decision was not made on the direction of any market maker we route to or other market participants.

Starting tomorrow, we plan to allow limited buys of these securities. We’ll continue to monitor the situation and make adjustments as needed.


Additional reporting by Lisa Marie Segarra.