US Stocks: Webull Shares Plunge 18% After Report Flags Structural Ties to China
The panel said Webull’s ownership, data routing and China-based operations could expose billions of dollars in American capital and customer data.
- On Wednesday, shares of Webull fell more than 18% after a House Select Committee report alleged the trading platform is "tied in structural ways" to the Chinese government.
- The committee found "a profound gap" between Webull's marketing as an American firm and actual operations, with its mainland subsidiary Hunan Weibu employing 863 staff comprising 62% of global workforce.
- Chairman John Moolenaar alleged the firm's framework creates "structural exposure of billions of dollars in American capital," with $24.6 billion in customer assets potentially subject to Beijing's mandatory intelligence laws.
- Webull stock crashed 29% to $5.15 as investors reacted to the report, while competitors Robinhood and Interactive Brokers fell just 3% and 2%, signaling markets view the threat as company-specific.
- While the report carries no automatic fines or bans, Siebert Financial analyst Brian Vieten suspended ratings citing "uncertainty," positioning a federal agency review as the next critical trigger for shareholders.
22 Articles
22 Articles
The Dallas Express News
House Panel Says Webull’s China Ties Pose National Security Risk
A bipartisan House committee investigating China says online brokerage Webull poses a national security risk because of its corporate structure, technology operations, and ties to the People’s Republic of China. The House Select Committee on the Chinese Communist Party found what it described as a “profound gap” between Webull’s public presentation as an American company […]
US stocks: Webull shares plunge 18% after report flags structural ties to China
Webull shares fell by more than 18% following a report connecting the platform to the Chinese government. The House Select Committee on China revealed discrepancies between Webulls marketing and its operational reality. Concerns were raised about the companys reliance on infrastructure subject to Chinese laws. Analysts expressed uncertainty about the regulatory implications affecting the stock's performance. This scrutiny reflects growing appreh…
Webull sinks after CNBC reports US House panel flagged China ties
Oct 7 (Reuters) - Webull's shares fell more than 18% on Wednesday after CNBC reported that a US congressional panel had found the online trading platform "tied in structural ways" to China's government. The bipartisan House Select Committee on China,...
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