• Loading stock data...
Friday, July 4, 2025

Robinhood Raises $1B Amid GameStop Saga

Robinhood
Robinhood

GameStop continues to ruffle Robinhood’s feathers.

Robinhood raised over $1 billion from existing investors and its credit lines with banks. The move is intended to help meet financial demands from clearinghouses.

Clearing firms, which process and settle trades, require brokerages to maintain accounts at the firms due to the time difference between when new positions are booked and when cash is exchanged for securities.

Robinhood did not have enough cash on hand to handle the popularity of GameStop and other stocks this week.

In a statement, Robinhood said the decision to halt trading for GameStop and other stocks on Thursday was made because of “financial requirements, including SEC net capital obligations and clearinghouse deposits.”

Following complaints and lawsuits from customers, Robinhood allowed purchases of the stock today, but with limits.

  • Customers could only increase their position in GameStop by five shares.
  • Customers who already had more than five shares were not able to purchase more.

“To be clear, this was a risk-management decision, and was not made on the direction of the market makers we route to,” Robinhood said.

The SEC has stated that it will “review actions taken by regulated entities that may disadvantage investors or otherwise unduly inhibit their ability to trade certain securities.”

GameStop shares closed at $325.00 Friday, up over 7,000% in the last year.

Linkedin
Whatsapp
Copy Link
Link Copied
Link Copied

What to Read

The BetMGM Sportsbook opened for business during the season opener between the Kansas City Chiefs and the Arizona Cardinals on the Great Lawn outside of State Farm Stadium.

18th-Century Law Fuels Legal Blitz on Sports Prediction Markets

Five new lawsuits accuse Kalshi, others of offering illegal sports betting.
July 9, 2009; Auburn Hills, MI, USA; Detroit Pistons president Joe Dumars during the press conference to introduce their new head coach John Kuester at their practice facility.

Joe Dumars Leaving NBA League Office to Run Pelicans

Joe Dumars was the architect of the 2004 champion Pistons.
Potawatomi Sports Book patrons the University of Wisconsin men play UCLA on Friday, March 14, 2025. The venue is open for the first time during March Madness and is expecting to be busy over the next few weeks in Milwaukee.

Kalshi Notches Legal Win in Fight With Nevada

Kalshi can keep offering its sports event contracts in Nevada—for now.

Featured Today

3,000 Hot Dogs, $20K in Prizes: Behind the Nathan’s Eating Contest

Nathan’s serves up thousands of hot dogs and $20,000 in prize money.
July 3, 2025

Geoffrey Esper Can’t Catch a Break at Nathan’s Hot Dog Eating Contest

“Hot dogs is not one of my favorite competitions of the year.”
June 29, 2025

The Battle Over Wimbledon’s Ambitious Expansion Plan

A classic NIMBY standoff on one of the most hallowed grounds in sports.
Seattle Rough & Tumble
June 28, 2025

Women’s Sports Bars Are on the Rise. Survival Isn’t Guaranteed

Some women’s sports bars are cashing in. Others are clawing for funding.
James Harden

Adidas Posts Big Profits in First Quarter Without Yeezy

Profits and sales are up after selling off remaining Yeezys last year.
Oracle Park
March 18, 2025

S.F. Giants Selling Stake to Private Equity to Pay for Facility Upgrades

The team said the cash would not be used to grow payroll.
March 20, 2025

Nike Struggles Continue, but Signs of Turnaround Appear

The embattled company beats tepid expectations in both revenue and earnings.
Sponsored

Hottest Matchups Following NFL Schedule Release

The NFL released the 2025 regular-season schedule, and anticipation is already building in the ticket marketplace with four months to go.
Aug 11, 2024; Paris, France; Medals are carried out on Louis Vuitton trays after the women's volleyball gold medal match during the Paris 2024 Olympic Summer Games at South Paris Arena
February 16, 2025

LVMH’s New Push: World’s Most Powerful Luxury Group Is Coming for Sports

LVMH is making long-term deals—and they’re not done.
February 14, 2025

DraftKings Turns First Full-Year Profit, Stock Up 47% in 2025

The company’s sports betting business continues to grow despite headwinds.
Billie Jean King
February 13, 2025

Billie Jean King: ‘Billionaires, Not Millionaires’ Are Fueling Women’s Sports Boom

Billie Jean King wants more women involved in team ownership, too.
February 5, 2025

Under Armour’s Desired Turnaround Sees Sparks With Q3 Earnings Beat

The 2010s darling has been struggling to find the right formula.