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0 points0xy6y ago0 comments

The difference is regulation. There are very few regulations and oversight on cloud compute providers, whereas an average person cannot just spin up an app and begin selling securities in a month as you can being a cloud provider.

While RH's ToS does theoretically absolve them of technical issues, they are obligated to comply with 'best execution' securities mandates, no? Separately, it'd be extremely bad for business if they refused compensation.

The point is moot anyway, since they're offering "case-by-case" compensation.

https://techcrunch.com/2020/03/03/robinhood-outage-cause/

0 comments

toomuchtodo6y ago

Robinhood will have to deal with a flood of FINRA and SEC complaints from these outages. I'm unsure how much longer FINRA will allow them their broker dealer license with a copious amount of failure in the rear view mirror.

Arbitration is forced, but Robinhood is on the hook for the fees for everyone who decides to arbitrate. Robinhood users might not get anything, but they can still cause pain.

sitzkrieg6y ago

if that were true thinkorswim would have been gone years ago. heavy futures volatility killed it for days at a time

hcknwscommenter6y ago

You mean "case-by-case" denial delay and obfuscation.

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