I think the legislation that may come from all of this is to limit margin accounts. When I signed up for an online brokerage years ago you couldn't trade on margin, which meant no option trading or day trading since when trading without a margin account, your cash has to clear. You had to go to their office and fill out forms and have a minimum balance.

With Robinhood everyone gets a margin account and the brokerage clearly can't support it with the tiny balances so many of their users carry. Their business model has forced other brokers to follow by offering free trades and everyone is on a margin account. This is a poor practice.

I'd support requirements like ensuring balances of at least $10k or more to qualify for margin. Robinhood is purposely designed to encourage day trading and other margin trades many users don't understand or that the infrastructure (not just RH, but the clearing houses, etc) can't and shouldn't support.

There's going to be a whole new world of pump and dumps like never before as so many people are hungry for quick money now and taking risks with their rent money they shouldn't be.

For what it's worth, the original guy betting on GME had a smart and well researched hypothesis and I hope he made his fortune. But the lemmings following have no business in this kind of thing.