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A comment on Robinhood is said to draw on bank credit lines amid tumult. Parent comment

Re:Robinhood is said to draw on bank credit lines amid tumult by daemonk on Thursday January 28, 2021 @07:10PM (#25951503)
I am not an expert obviously. But is this generally true in most situations?

It just seems like maybe in this specific once-in-a-lifetime situation, maybe this doesn't apply? The decision to freeze all trades seems more "neutral" than freezing just buying which perceptively seems to favor short sellers?

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Re:Robinhood is said to draw on bank credit lines amid tumult by hntrader on Thursday January 28, 2021 @08:27PM (#25952384)
It's not comparable. RH stopped people turning cash into GME, worst case is they've missed out on a pump and dump but their wealth is still in tact. If they stopped people turning GME into cash, then (1) this does nothing to help the former party, (2) you're forcing these customers to possibly lose all their wealth when the GME price starts going down and you've blocked them from closing their position.
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