The trading platform known as Robinhood drew heavy criticism by reintroducing Solana (SOL) trading at $216, barely a year after forcing its users to sell their tokens for just $16.
The decision drew sharp criticism on social media, especially from affected users who suffered significant losses.
SOL’s foreclosure and community reaction
On June 7, 2023, Robinhood announced that three popular cryptocurrencies – Solana (SOL), Cardano (ADA) and Polygon (MATIC) – removed from its offer. Users were allowed to buy, sell, hold and transfer said devices until June 27. Coins that remained in Robinhood accounts after the deadline were automatically sold at the market price.
The affected SOL was just around $16 at the time of the announcement, ADA was at $0.28, while MATIC was also trading at a low price. Since then, all three tokens have gained significantly. The price of SOL has now risen above $216, a gain of 1250%, while the price of ADA has more than doubled.
Robinhood justified its move at the time by saying that it was reviewing its cryptocurrency offerings and that the security rating of the assets involved was questionable. The American Securities and Exchange Commission (SEC) has given these tokens the Binance and in a lawsuit against Coinbase “as an unregistered security” referred to.
Community criticism
After the news of the new listing, several users immediately criticized Robinhood. Several people on the X platform (formerly Twitter) recalled forced sales and raised questions about the reliability of the platform.
Your team forced Robinhood users to sell SOL at ~$16 during the bear market now it is $216 causing them massive losses.
What changes will Robinhood be making to regain trust so users are not forced to exit positions again in the future?
— ZachXBT (@zachxbt) November 13, 2024
“I will never forgive Robinhood for deleting Solana at $16” – he wrote a user. A well-known figure in the crypto community, ZachXBT, asked: “What changes does Robinhood plan to make so that users are not forced into situations like this in the future?”
Why is SOL coming back to Robinhood?
Robinhood has re-enabled trading of Solana (SOL), ADA and additional tokens such as PEPE and XRP. The reason for this decision is probably the continuous growth of the crypto market and the increasing demand for tokens. The aim of the new listings is certainly to expand the user base and strengthen the platform’s market competitiveness.
In addition, however, the platform still faces serious challenges in restoring user trust. Despite the new listings, Robinhood needs to develop a clear and predictable regulatory strategy to avoid the backlash caused by previous enforcement actions.
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<p>The post It had to be sold at $16, now Solana is available again at $216 first appeared on CoinBuzzFeed.</p>
