Webull Corporation (NASDAQ:BULL) shares are dropping today after the House Select Committee on China declared that its ties to China pose a national security risk. Currently, shares are down by around 20%. The company has a market cap of around $3.1 billion.
Webull was founded by Wang Anquan in 2016, and its US headquarters are located in St. Petersburg, Florida. The company began operations under Hunan Fumi Information Technology, launching services in 2018. Webull became a public company in 2025.
House China committee Chairman John Moolenaar said on CNBC that “China-based operations put American investors and their data at risk” explaining that Webull exposes data to Chinese government authorities, a top US adversary. The report was exclusive to CNBC. It is generally understood that all corporations in China are required to work with government authorities, providing access to systems and any data.
Webull claimed the report included “significant inaccuracies” and reached “unsupported conclusions.”
Webull is a highly regulated investment platform that operates in 18 markets and reports over 28 million users. Beyond more traditional securities like stocks and bonds, Webull provides trading in derivatives, crypto, and prediction markets.
In December 2024, Webull received a letter from Chairman Moolenaar and Ranking Member Raja Krishnamoorthi, stating:
“It has come to our attention that Webull, through its ownership and operational frameworks, maintains close ties with entities based in the PRC and connected to firms and individuals who advance the Chinese Communist Party’s interests. These continuing corporate ties to the PRC and reliance on CCP-aligned technologies and personnel raise 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–and therefore about the risks Webull poses to the U.S. financial market….”
Yesterday, Moolenaar issued the following statement on the nefarious activities pursued by the Chinese Communist Party:
“Once again, the Chinese Communist Party (CCP) has been caught surveilling and harassing innocent people in the United States in another gross violation of our country’s sovereignty.”
China is well known to be preparing for total war. It frequently hacks into US infrastructure and government agencies to further its agenda. Insiders fear any conflict with China could result in state-instituted domestic chaos within the US.
The recent allegations of spying on Taiwanese President Ching-Te Lai’s adult son within the US by Wanying ‘Heather’ Zhang, who was arrested by the FBI this week, were described as a “chilling reminder that the CCP’s destabilizing ambitions for the Taiwan Strait are a global threat.”
Fears remain that China will seek control of Taiwan either by force or non-kinetic means by the end of the decade. Taiwan is a key US ally and provides vital technology for US industry, including strategically important computer chips. Some observers anticipate that a conflict between Taiwan and mainland China would necessitate US support and participation.
It is not immediately clear whether US government entities will take any action against Webull and its operations.
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