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You could have bet on today's hearing. Literally.

February 18, 2021. Summarized by summa-bot.

Compression ratio: 26.3%. 2 min read.

San Francisco, California, USA - January 29, 2021: GameStop stock rally on Robinhood app due to Reddit wallstreetbets subreddit, an offshore gaming site based in Antigua, was accepting bets on today's Capitol Hill hearing such as whether hedge fund operator Steve Cohen or Telsa CEO Elon Musk will be mentioned, or how many times terms like "stonks" and "gamification" would be uttered.

Maloney accused Robinhood of "vague language" and seeming to "reserve the right to make up the rules as you go along," saying that the company's statements to investors as it restricted trading were inconsistent with the explanation it later provided concerning Robinhood's regulatory requirements.

Robinhood CEO Vlad Tenev is being forced to explain his app's decision to only ban purchases of GameStop, and not sell orders as well.

He described himself as casual day trader with a genuine belief that GameStop was undervalued, rejecting any accusation he intentionally pushed investors to the stock to influence the market.

Ken Griffin and Vlad Tenev will face questions over payment for order flow, which they will argue benefits retail investors by making it free to trade and giving them access to deep markets.

Payment for order flow is the controversial practice of broker-dealers – including market makers like high-frequency trading firms – paying Robinhood and other free trading apps for executing the trades with them.

Critics say payment for order flow creates a conflict of interest that allows market makers to trade ahead of retail investors.

Jennifer Schulp, director of financial regulation studies at the Cato Institute, lauded retail investing — equities trading by individuals using brokerages such as Robinhood — in her opening testimony during Thursday's hearing.

She noted that stock ownership has traditionally been "skewed towards the already wealthy, and it is highly correlated with race, education and age. " But with the increase in popularity of retail stock trading during the pandemic, "investors who opened accounts for the first time in 2020 were younger, had lower incomes and were more racially diverse," suggesting growing equality in investing, Schulp said.

"The fact that Gamestop traded temporarily, and perhaps still trades, above fair estimates of the company's value is not, by itself, a reason for concern," she said.

Shares of GameStop (GME) surged on Thursday as Keith Gill, the Redditor and investor who helped spark the trading fenzy on the stock, began his oral testimony.

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