Robinhood appears to be making things worse instead of better in its attempt to manage trading in highly shorted securities like GameStop and AMC entertainment. Crowdfund Insider has just received an email from Blind regarding a survey of Robinhood users indicating that a whopping 76% of users plan to switch trading from Robinhood and 13% have already done so. Wow.
According to Blind:
1,270 survey respondents:
- 76% of respondents say they plan on switching from Robinhood
- 13% of respondents say they already did (and shared where they went)
- Only 11% of respondents say they won’t be leaving the Robinhood platform
Blind shared quotes from several Robinhood users.
- A professional at Amazon responded “Could someone suggest an alternate platform with a good app? Is there a link to the transfer process?”
- A professional at Google shared “Initiated transfer this morning to Fidelity which is my other trading account.”
- An Engineer at Amazon shared “Switched to fidelity. Call them up they will refund the 75$ transfer fees”
- A Facebook professional shared they had “Switched to Webull”.
- An Apple professional simply said “Etrade”.
To make matters even worse, a petition has been launched on Change.org by Robinhood users demanding Apple to remove the Robinhood App from the Apple App Store. As of this moment, almost over 20,000 individuals have signed the petition.
The authors of the petition site a violation of Apple’s terms of service:
“Robinhood is in CLEAR violation of Apple’s Terms of Service to “plan or engage in any illegal, fraudulent, or manipulative activity.””
Perhaps the big winners in all of this are the ETrades, TDAmeritrades (Schwabs) of the world that are benefitting from enraged Robinhood users who feel mistreated.
The petition tells Robinhood users;
“Robinhood MANIPULATED the market today, and this is completely unacceptable. We need to remove Robinhood from the App Store. Move all your funds out of Robinhood today, do not give them your business.”