Online stock trading platform and broker-dealer Robinhood Financial agreed to pay a $7.5 million fine as part of a settlement with the Commonwealth of Massachusetts addressing claims related to “gamification” of its platform and cybersecurity issues that lent to a 2021 data breach.
The agreement, announced Thursday, resolves administrative complaints filed against Robinhood in 2020 and 2021. The company began facing a surge of scrutiny regarding its practices early on during the Covid-19 pandemic, when the platform’s popularity increased.
