Users can now buy and sell all stocks on the Webull trading platform, the company’s CEO tells Benzinga.
CEO Anthony Denier appeared in a phone interview earlier Thursday on the Zingernation Power Hour.
“Without clearing firms, investors will not be able to sell once in positions,” Denier said, calling Thursday’s events a “complete market breakdown.”
Denier called what’s happened with Reddit and the WallStreetBets subreddit “a good thing” and highlights the power of chat rooms and technology.
“We love it, this is the reason we started Webull,” he said.
Why It’s Important: Citadel was called one of the largest market-makers by Denier and a possible contributor to Thursday’s events.
Clearinghouses didn’t raise rates fast enough before the collapse of Lehman Brothers, according to Denier. He said the broker’s clearing firms raised collateral rates related to GameStop on Thursday.
The CEO said he was angry when he got a call Thursday from the clearing firm and had to stop supporting transactions in GameStop and AMC Entertainment.
Denier told Benzinga his company was working hard to open trading on the halted names as quickly as possible.
Price Action: Shares of AMC and GameStop are up about 20% since Webull lifted the buying ban.
This content was originally published here.