The stock prices of GameStop and AMC Entertainment rose dramatically as small-time retail investors on social media challenged big institutions that had placed market bets speculating a fall. The situation caused Robinhood and other online trading platforms to restrict trading in those stocks that soared dramatically due to rapid buying by these smaller investors. Among the restrictions placed, the retail investors would only be able to sell their positions and not open new ones in some cases. In response to the Robinhood trading suspensions, crypto leaders shared insights on the importance of freedom in the markets and the need for decentralization. Importance of a Free and Transparent Market In response to the Robinhood drama, Richard Byworth, the CEO of crypto exchange EQUOS, noted the importance of freedom in the markets, saying: “It’s always important to have free and transparent markets for all traders, and maintaining an open trading book that is available for everyone to use is a responsibility of all trading venue providers. The GameStop issue and platform responses will likely see crypto assets come more into focus.” Aleks Svetski, co-founder and CEO of crypto investment platform Amber, highlighted how broken and fundamentally rigged the traditional financial system is. He also hopes that the situation will influence people into moving to cryptos: “This will set all of the wrong precedents and is one of the final nails in the coffin for the relationship between Main Street and Wall Street. The WSB people are also likely to move to Bitcoin next as they realise it’s the only thing that can’t be turned off.” Crypto Industry Should Provide Trustable Trading Environment Richard Byworth further emphasized the importance of regulation and access to orderly markets, equal access to information for everyone, and trading venues where customers can take fair opportunities to trade, hedge, and take a position. He also criticized that in crypto itself there have been some exchanges that have not provided such kind of fair trading environment. According to him, it is mandatory for crypto exchanges to provide a safe, transparent and compliant trading environment where investors can access markets that are trusted both by regulators and traders.
The post Crypto Leaders Opines on Robinhood Fiasco, Importance of Freedom in the Market appeared first on Cryptoknowmics-Crypto News and Media Platform.
from Live Crypto News – Cryptoknowmics-Crypto News and Media Platform
