Robinhood is said to draw on bank credit lines amid tumult

Re:Robinhood is said to draw on bank credit lines amid tumult by treis on Thursday January 28, 2021 @07:09PM (#25951484)

I couldn't buy and the stock went up = theoretical loss

I couldn't sell and the stock went down = real loss

Generally you are only liable for actual losses in court. So stopping the purchase of GME comes with little liability while stopping the sale could open them up to lots of liability.

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Re:Robinhood is said to draw on bank credit lines amid tumult by totony on Thursday January 28, 2021 @08:40PM (#25952496)

But blocking buying on the broker with the most trades = price falls down = real loss?

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Re:Robinhood is said to draw on bank credit lines amid tumult by treis on Thursday January 28, 2021 @10:34PM (#25953518)

You're still going after theoretic damages. How do you prove that Robinhood stopping trading drove the price down and by how much?

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Re:Robinhood is said to draw on bank credit lines amid tumult by totony on Thursday January 28, 2021 @10:59PM (#25953701)

It's simple economics, if you block demand but keep constant supply (in this case increase), the price will go down.

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Re:Robinhood is said to draw on bank credit lines amid tumult by treis on Friday January 29, 2021 @10:52AM (#25958541)

Yes, that's the theory behind the theoretical loss. That's different from "I tried to sell at $200, you didn't let me, and now I can only sell for $100". In that case I am out an actual $100 that is directly tied to your actions.

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Re:Robinhood is said to draw on bank credit lines amid tumult by totony on Friday January 29, 2021 @11:49AM (#25959329)

Everything can be said to be "theoretical". Theoretically you would have found a buyer had you tried to sell at 200, but nothing guarantees it

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