Robinhood Responds to Accusations of Favoring Wall Street over Its Users

In search of Alpha has revealed an exposé by Logan Kane relating to free stock and crypto shopping for and promoting smartphone utility Robinhood. Mr. Kane alleges the company “takes from the millennial and presents to the high-frequency seller” by accepting value for order transfer and selling order data for “over ten cases as so much as completely different brokers who work together throughout the observe.” Robinhood reached out to in response, explaining and defending its practices.

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Robinhood Explains Its Enterprise Model and Practices

Commonly known as “best execution,” a licensed brokerage ought to “execute purchaser orders at the perfect accessible worth all through every regional and nationwide stock commerce (nationwide best bid and provide, or NBBO),” a press launch by Robinhood began in response to an article revealed in these pages solely days previously. The…

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