SEC is Investigating Robinhood for Possible Civil Fraud

So, it looks like the SEC is looking into Robinhood for civil fraud. This comes after a heartbreaking incident where a 20-year-old customer took their life after seeing a $730,000 negative balance. We've been talking about how Robinhood should be held accountable for this, and honestly, it feels like the SEC is finally taking action with this case. It’s about time, if you ask me.

I don't like to used the world "crypto friendly' because that is subjective, imo. Going back to the subject, every crypto related services has already attracted the attention of SEC obviously, and just months after the suicide of one of Robinhood's customers, here come SEC suing them. Let's see what will be the initial pleading of Robinhood, as they might settle this out of court if permissible.

The investigation is apparently at an "advanced" stage, so the SEC must have been looking into their relationships with high-speed trading firms long before that suicide happened. Supposedly they are looking at a $10 million fine, which is a drop in the bucket compared to the $200 million they just raised in another round of seed funding. It will make for a rough quarter for Robinhood whenever they settle the case, but I'm sure they made much more than $10 million selling their customers' orders to these firms. Now they basically just need to pay a fine and put something in the fine print about it.