Online brokerage Robinhood raised over $1 billion from its investors and millions more through lines of credit in a matter of days as it continues to handle the fallout from its decision to restrict trading on GameStop and other stocks temporarily, the company said.
Robinhood and other online brokers, including TD Ameritrade and Charles Schwab, faced backlash on Thursday after imposing restrictions on the types of trades that could be completed involving stocks such as GameStop, AMC, BlackBerry, and others that had long been depreciating on the market until a group of investors on Reddit sent their prices soaring, disrupting institutional short investments and costing firms billions.
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