The Robinhood investment app is see on a smartphone in this photo illustration on June 24, 2020 in Washington,DC.
Jim Watson | AFP | Getty Images
The Securities and Exchange Commission on Thursday charged Robinhood with deceiving customers about how the stock trading app makes money and failing to deliver the promised best execution of trades.
Robinhood agreed to pay a $65 million civil penalty, without admitting or denying SEC’s findings. The Silicon Valley startup, which has eventual plans to go public, has raised north of $1 billion in funding in 2020, lifting Robinhood’s valuation to $11.7 billion.
“Between 2015 and late 2018, Robinhood made misleading statements and omissions in…