News > Robinhood taps banks in rush to restore GameStop trading
Robinhood taps banks in rush to restore GameStop trading
Evening Standard | 29/01/2021 11:39 AM | Click to read full article
Robinhood prepared to restore trading in GameStop and other hot stocks on Friday after tapping banks to shore up its financial position. The company has drawn down at least several hundred million dollars via a credit facility with banks.
“As a brokerage firm, we have many financial requirements, including SEC net capital obligations and clearinghouse deposits. Some of these requirements fluctuate based on volatility in the markets and can be substantial in the current environment.”