
Second infinite leverage bug found in Robinhood. Team post on r/wsb, gets banned - Moodles
https://www.reddit.com/r/wallstreetbets/comments/e4r0sy/robinhood_statement_on_options_collateral_and/
======
danShumway
Neither of these links provide much context to me.

I'm assuming most of the people reading will already know what's going on, but
if anyone's willing to post a quick summary with some context for my sake, I'd
appreciate it.

~~~
mdaniel
This was the previous discussion:
[https://news.ycombinator.com/item?id=21454344](https://news.ycombinator.com/item?id=21454344)

With a lighthearted tl;dr of
[https://old.reddit.com/r/wallstreetbets/comments/dqg6xx/infi...](https://old.reddit.com/r/wallstreetbets/comments/dqg6xx/infinite_leverage_explained/)

------
salawat
[https://www.reddit.com/r/wallstreetbets/comments/e4k0l7/robi...](https://www.reddit.com/r/wallstreetbets/comments/e4k0l7/robinhood_infinite_money_glitch_step_by_step/)

That is where the new glitch is detailed. Honestly, I'm surprised they're
still allowing margin trading at all without a secondary complete audit of the
functionality given that they clearly don't have the best regulatory
requirement traceability.

------
webninja
Direct link:
[https://www.reddit.com/r/wallstreetbets/comments/e4k0l7/robi...](https://www.reddit.com/r/wallstreetbets/comments/e4k0l7/robinhood_infinite_money_glitch_step_by_step/?utm_source=share&utm_medium=ios_app&utm_name=iossmf)

~~~
toomuchtodo
Explanation:
[https://reddit.com/r/wallstreetbets/comments/e4vatr/infinite...](https://reddit.com/r/wallstreetbets/comments/e4vatr/infinite_price_improvement_explained/)

“Infinite price improvement”

------
perl4ever
I don't know if this is a real thing, but this exchange kind of sums up what I
think is probably the best case:

"I couldn’t figure out a way to show it but when you receive your money when
the iron condor expires your margin will double"

"What do you plan to do with your increased margin? Lose more money than you
have? That might be fun"

------
thefreeman
This was actually shown to be a hoax, or at the least not reproducible. Most
of the people selling the iron condors with ridiculous limit prices did not
get filled.

------
tinus_hn
Is Hackernews really the right place for this kind of forum drama?

~~~
nwallin
Hackernews is not a good place for forum drama.

Hackernews is a great place to discuss infinity money glitches in the MMORPG
we call NASDAQ.

------
ActorNightly
Are there any downsides to making option trading illegal?

