GameStop (GME) – Get Report, Nokia (NOKIA) , AMC Entertainment (AMC) – Get Report, Blackberry (BB) – Get Report, Dogecoin, and others have been making headlines as their stock price has skyrocketed due to the ongoing Reddit-fueled investing.
Well, the trading frenzy caused by Redditors has had a ripple effect on foreign online trading platforms. Some platforms instituted similar trading restrictions to Robinhood, and some even disabled new account creation.
Trading 212, a London-based fintech company, which became the most downloaded app in the U.K., has temporarily disabled new account creation.
“Due to the huge surge in new client registrations, we have had to pause new account opening whilst we increase our capacity to serve more clients by scaling up our infrastructure and expanding our customer service team,” the company said, in a statement. “Delivering great service to our existing clients is our top priority.”
eToro, an Israeli trading service, also briefly disabled trading (and re-enabled) of GameStop on its platform.
“In today’s highly volatile market conditions, we have been urging our users to stick to the basics of investing: diversify, avoid leverage, and only invest in markets and instruments with which you are familiar,” the company said, in a statement.
On January 29, U.K.-based company Freetrade went a step further by disabling the purchases of U.S. stock on its platform. However, on February 1, the company reversed its decision.
“We will enable buy orders on US stocks in phases,” said Viktor Nebehaj, co-founder of Freetrade, in a statement. “This means that buys on highly volatile stocks will be enabled only once we are confident in the integrity of the solution we are implementing.”