Robinhood eases trading limits for restricted stocks, such as GameStop

Robinhood has further reduced some if its trading limits on Tuesday, now allowing customers to buy up to 100 GameStop shares.

GameStop dropped from low as Robinhood changes were announced. The shares of the brick retailer exceeded 40%, leading to the current decrease of up to 60%.

The brokerage also raised limits for AMC Entertainment, Express and some of the other five restricted shares. Koss, BlackBerry and Genius Brands are no longer restricted.

The shortlist indicates to customers how many options and option contracts they can buy for a particular security.

Robinhood customers can now buy 100 GameStop shares, compared to the previous 20 shares. However, if an investor owns more than 100 GameStop shares, he cannot buy another share of the shares.

Customers can now buy 1,250 shares of AMC Entertainment, up from 350 earlier on the trading day. AMC shares fell 40% on Tuesday.

Robinhood began restricting the trading of a handful of shares last week amid rising capital requirements from the Depository Trust & Clearing Corporation due to the retail investment frenzy in sharply shortened names. Reddit-obsessed traders have increased GameStop shares by more than 400% in an effort to crush the short-lived hedge funds.

However, as GameStop shares rose, regulators increased the amount Robinhood needed to deposit at clearing houses if transactions caused large losses.

Robinhood has raised another $ 2.4 billion from investors to support its record growth in customers, the company said in a blog post on Monday. This adds up to $ 1 billion raised last week to strengthen the Robinhood balance sheet in anticipation of speculative transactions. The company also operated credit lines for several funds.

Robinhood customers can now buy 3,000 shares of Express, over the 1,000-share limit. Investors can buy up to 12,000 shares of Naked Brand Group compared to previous restrictions of 6,500. Nokia’s purchase cap is the same at 2,000 shares.