How much Reddit users have amassed from Robinhood ‘infinite money’ bug – Business Insider

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Traders have been using a glitch in Robinhood’s app to trade with an unlimited supply of borrowed cash – and one member of an online forum compiled a hall-of-fame list of the largest positions created through the bug.

A member of the r/WallStreetBets subreddit discovered the glitch in late October after using a $2,000 deposit to trade with $50,000 in buying power. Other forum members glorified the trade before executing similar trades. In a matter of days, users were one-upping one another to see who could amass the most borrowed cash.

The trade involves Robinhood Gold users selling call options with money borrowed through the platform, also known as “leverage.” The app incorrectly added the value of the options sold to traders’ cash pile, giving them more buying power with which to repeat the trade.

One r/WallStreetBets user described the trick as an “infinite money cheat code,” though it’s uncertain what action, if any, will be taken against the traders for their high-risk activity.

Read more: ‘A millionaire is made 10 bucks at a time’: A personal-finance expert who retired at the age of 30 shares his best investment, life, and spending advice for anyone looking to exit the ‘rat race’

One forum member who goes by SocioButt posted a list highlighting members who gambled the most through the exploit. Here are the five hall-of-famers, from the user who first found the glitch to one who said they turned a $3,000 deposit into a $1.7 million position.


ControlTheNarrative

ControlTheNarrative

Deposit: $2,000

Leverage: $48,000

Gain/loss: N/A

Post time: 11:04 a.m. ET, October 31

Top comment: “Everyone should be forced to watch this video as soon as they join” the subreddit.


Woodc93

www.jamesplett.com

Deposit: $15,000

Leverage: $1,300,000

Gain/loss: -$180,000

Post time: 1:17 p.m., November 4

Top comment: “Update: account just got deactivated bc I tried to leverage more to buy more AMD puts.”


MoonYachts

Paramount Pictures

Deposit: $4,000

Leverage: $1,279,550

Gain/loss: -$22,022.71

Post time: 6:31 p.m., November 4

Top comment: “The cash balance from the covered call gets added to your cash – increasing your buying power by the premium you took in. ***Also, DONT DO THIS****”


Tomatotowers

Lionsgate via YouTube

Deposit: $5,000

Leverage: $314,070

Gain/loss: N/A

Post time: 9:40 p.m., November 4

Top comment: “How much leverage was too much? 💯 x?”


Call_Warrior

AMC screencap

Deposit: $3,000

Leverage: $1,732,640

Gain/loss: N/A

Post time: 11:13 p.m., November 5

Top comment: “We are actually about to witness an SEC raid of WSB and bankruptcy of Robinhood.”