Robinhood Met With SEC 16 Times Before Wells Notice, CEO Vlad Tenev Says
Robinhood Met With SEC 16 Cases Sooner than Wells Witness, CEO Vlad Tenev Says
Robinhood and its CEO Vlad Tenev met with america Securities and Change Rate (SEC) 16 conditions sooner than the commission sent the crypto company a Wells Witness, the CEO revealed in a Wednesday interview with CNBC.“We indubitably came in real faith to fulfill with the SEC. I mediate we met with them 16 conditions and, sadly, that used to be no longer reciprocated,” Tenev informed CNBC’s Kate Rooney.
SEC, Robinhood Met 16 Cases Sooner than Wells Witness
The federal regulator filed a Wells Witness on Would maybe maybe also 4, with court documents exhibiting the commission made “a “preliminary willpower” to indicate that the SEC file an enforcement action in opposition to RHC alleging violations of Sections 15(a) and 17A of the Securities Change Act of 1934, as amended.”
“We indubitably came in real faith to fulfill with the SEC. I mediate we met with them 16 conditions and, sadly, that used to be no longer reciprocated,” @vladtenev tells @Kr00ney after Robinhood's crypto arm got a wells locate from the SEC. $HOOD pic.twitter.com/cOGU3BFGpD
— Final Name (@LastCallCNBC) Would maybe maybe also 8, 2024
Whereas no inform enforcement action used to be revealed, Saturday’s court submitting presupposes it’s miles seemingly to be either a “civil injunctive action, public administrative proceeding, and/or a conclude-and-desist proceeding.”
Robinhood’s A hit Q1 Earnings Surpass Expectations
Recordsdata of Tenev’s follows the liberate of Robinhood’s first-quarter earnings estimates, which confirmed the company earning a whopping $329 million—over $70 million more than the anticipated $255 million.“We delivered indispensable earnings development and margin expansion in Q1 as we remain thinking about riding one other year of winning development in 2024,” acknowledged Jason Warnick, Chief Financial Officer of Robinhood. “In Q1, we space recordsdata for quarterly revenues, fetch earnings, and EPS, at the same time as we stepped up our marketing and development investments.
“All the diagram in which via a Wednesday afternoon conference call discussing the earnings, Tenev called the Wells Witness a “disappointing trend.”
The SEC has lengthy been criticized for its stringent stance on digital aggests and rules-by-enforcement manner. Plenty of key gamers in the crypto industry were hit with rules from the federal agency.
Meanwhile, questions fetch swirled over the SEC’s classification of digital resources, given the inability of a crypto regulatory framework.
“We firmly imagine that the resources listed on our platform are no longer securities and we wait for participating with the SEC to make definite pleasing how extinct any case in opposition to Robinhood Crypto might well well be on both the facts and the rules,” Robinhood Chief Correct Compliance and Company Officer Dan Gallagher acknowledged in a Monday assertion.
If Tenev’s claims are verifiable, Robinhood’s meetings with the SEC can also simply signify its dismissal of crypto corporations seeking to conform with federal rules amidst a broader crackdown on the digital asset industry.
Source : cryptonews.com
