You’ve probably heard that much of the pandemic era’s stock volatility, trading volume, more head-scratching moves and consequent enormous losses have been powered and borne by the bored day-traders (and not, say, the extremely wealthy and well-connected) flocking to Robinhood and other—well, actually, pretty much just Robinhood. Turns out that the hackers have, too, and they’ve also heard that the app is perhaps not as technologically advanced as its legions of millennial admirers probably thought.
Almost 2,000 Robinhood Markets accounts were compromised in a recent hacking spree that siphoned off customer funds, a sign that the attacks were more widespread than was previously known…. Several victims said they found no sign of criminals compromising their email accounts. And some said their brokerage accounts were accessed even though they had set up two-factor authentication…. [Client Miah Brittany] Laino said Robinhood restored her account and stock holdings, but she still plans to eventually leave the firm.
“I don’t want to sell right now,” she said. “But I’m not going to put any more money into it. I don’t really trust them.”
That may have something to do with the fact that it took Robinhood a week-and-a-half to get back to Laino when she e-mailed customer support. And she’s one of the lucky ones: Another twentysomething Robinhood trader interviewed by Bloomberg is still waiting to hear back. And that may have something to do with the fact that Robinhood apparently thought itself far too technologically advanced to bother with something so 20th century as a phone number.
The attacks unleashed a torrent of complaints on social media, where investors recounted futile attempts to call the brokerage, which doesn’t have a customer service phone number. Robinhood, which has more than 13 million customer accounts, is now considering whether to add a phone number along with other tools, the person said.
We can’t wait for the quantum cyber criminals to show up.