Robinhood’s CEO, representatives from major financial regulators and some of the forces behind the GameStop stock frenzy are scheduled to participate in the House Financial Services Committee hearing on the Reddit-powered stock rally, according to a preliminary plan obtained by The Hill .
The Financial Services Hearing, scheduled for February 18, will be split into two panels: one featuring government and industry investment regulators, and the other targeting the companies and investors at the center of last week’s stock market chaos .
The preliminary plan for the hearing is pending, but would begin with a panel of representatives from the Securities and Exchange Commission (SEC); the Financial Industry Regulatory Authority (FINRA), the self-funded internal regulator of the securities industry; and the Depository Trust and Clearing Corp. (DTCC), the clearinghouse used by Robinhood to complete stock transactions on its platform.
A second panel would include Robinhood CEO Vlad Tenev, representatives of financial sector trading groups and a Reddit manager.
Chairwoman of the House Financial Services Committee Maxine Waters
Maxine Moore Waters Lawmakers Remember Actress Cicely Tyson Lawmakers Ripped Robinhood’s Decision on GameStop Robinhood Faces Backlash From Both Parties For Restricting Transactions MORE (D-Calif.) Confirmed in an interview with Cheddar on Thursday that she wanted Tenev to testify, along with representatives from GameStop and Reddit. She also said she wanted Keith Gill, a prominent Reddit merchant behind the GameStop rally, to appear before the committee, but added that some invitees have not yet responded.
The Hill has contacted spokespersons for Waters and Rep. Patrick McHenry
Patrick Timothy McHenry About the money: five questions about the GameStop controversy | Biden, Yellen Call for Swift Action for New Aid Legislators Stress Need for Fundamentals to Improve Credit (NC), top Republican on the Financial Services panel, for comment. Robinhood declined to comment.
Waters announced the House hearing last week, saying it would “examine the recent activity around GameStop (GME) stocks and other affected stocks with a focus on short selling, online trading platforms, gamification and their systemic impact on our capital markets and private investors. “
– Alex Gangitano contributed