(WYTV) – Over the last few days, First News has told you about some of the craziness going on with the stock market.
Many people using the Robinhood app to invest in stocks such as GameStop and AMC faced some barriers. It all started when a conversation took place on a post on the website called Reddit about Wall Street Bets.
“You live up to the name Robin Hood, but you’re doing the opposite of what you advertise,” said Michael Zambetis, one local investor.
Many younger investors took to the stock market this past week thanks in large part to the popular subreddit platform called Wall Street Bets. They used the Robinhood app to invest in stocks such as GameStop, AMC and more.
“Wednesday, I bought some fractional shares. I only had about 20 to 30 shares into GameStop and this is when it was only on a $200 mark. Got up to about the $400 mark and I was like, ‘Hey cool, I’m making about $50 profit,'” said Dan Whalen, another local investor.
But on Thursday, many investment platforms like Robinhood put restrictions on some of these stocks, causing GameStop, AMC and others to halt trading.
Then, on Friday, it reopened on a limited basis.
“I put an order in for 10 shares of AMC at 9:45 in the morning. It just kept saying order placed, order placed for like two to three house, but prior to that, as soon as it said that, I was going to ditch that,” Zambetis said.
But Zambetis says it wouldn’t let him cancel the order, tying up about $140.
Others ran into the same issue.
“It took about an hour or so before I could sell my GameStop and I lost about 46 of that profit. I made six [dollars], sure, but it’s a little bit disheartening that they shut that down,” Whalen said.
Robinhood’s customer agreement states “Robinhood may, in its discretion prohibit or restrict the trading of securities or the substitution of securities in any of My Accounts.”
Many on social media have turned into the average investor versus Wall Street elite.
“But when they do what everyone else is doing, it’s suddenly a problem. Like, we’ve got to restrict trading on this, this and this, but when the billionaires do it, it’s not an issue,” Zambetis said.
“The little, the every man that Robinhood is supposed to be helping out make the same kind of capitalist gains that these big investors are doing, it kind of lost faith in that respect,” Whalen said.
Both men say up until these past few days, they’ve never had an issue with the Robinhood app.