Yall seen this RH news from the last 1-2 days? A few users were able to hack it and get crazy margin amounts.
Like 1 to 250. Dude put $4K in and had a Mill in Margin.
I guess margin is normally 1 to 1. Just checked my acc and ET is giving me 1 to 4 for some reason.
Mfer had a Mill and bought Ford Stock....lol
1 to 3 or 1 to 4 margin is about normal, it's lower on RH because they aren't a typical broker. If something in RH can be fukked up r/Wallstreetbets will find a way, this isn't the first time they found a loophole. Cycle usually goes - bunch of white boys losing money, opens position about to lose more money but found a glitch, end up huge on a position and shouldn't fail, $0 balance at EOD lol. Then they laugh at OP and RH and the cycle starts again.
And at this point it's on Robinhood, they probably would've been shut down by now if someone could capitalize on all these times. Dude with the milli was doing option spreads on Ford (why), another one who followed him got to 54k and decided Apple was done and going to slide and put everything on it. Apple ended at all time high. They're also committing securities fraud and posting about it for 700k people to read. In other words, they're idiots. Them hacking RH is giving RH too much credit lmao.
Someone from there posted the emails asking support about the exploit, didn't mention specifics, and got told that it was normal. RH told CNBC they're talking to the customers. It's clear they don't know what they're doing and holding people's money like a broker at the same time. Few folks around finance subreddits were getting their money out, I'm moving mine for different reasons but it just confirms the decision.
