Webull has garnered some unwanted attention from the US House Select Committee on the Chinese Communist Party, according to a report.
Webull is regulated in the US as a broker-dealer. Webull is controlled by China-based holding company Hunan Fumi Information Technology, and its US operations are headquartered in St. Petersburg, Florida.
According to CNBC, the Committee has sent a letter to the company requesting information pertaining to Webull’s relationship and close relationships with the CCP. Webull is expecting to become a public firm via a SPAC deal. To quote the report:
The Committee said in the letter that the affiliate “raise(s) serious questions about the security of U.S. user data and about Webull’s willingness and ability to comply with U.S. regulations regarding transparency and fair trading standards.”
The House Select Committee on the Chinese Communist Party holds a mission to pursue a bipartisan policy to deal with the threat posed by the Chinese Communist Party and develop a plan of action to defend the US. The rise of Xi Jinping, the most influential leader since Mao, has arrived with increasingly bellicose and nefarious claims and activities. Chinese state actors have consistently sought to steal technology from the US while hacking infrastructure and seeking to subvert US policy positions. Additionally, President Xi has told the US it will take Taiwan by force if necessary, thus posing a profound military threat to the US and the region. The situation is complicated by the fact that the US has been lulled into complacency in past decades and is now reliant on China for many vital goods.
The CNBC video is available here.