Florida's Attorney General has launched an investigation into Robinhood, accusing the trading platform of misleadingly advertising its crypto services as the cheapest available. Robinhood's General Counsel, Lucas Moskowitz, countered that the platform is clear about its fees, asserting that customers enjoy the lowest average costs for crypto trading. The Attorney General's office claims Robinhood violated Florida’s Deceptive and Unfair Practices Act and has issued a subpoena for relevant documents. Uthmeier emphasized the importance of transparency in crypto transactions for consumers. Robinhood's revenue model relies on payment for order flow (PFOF), which the Attorney General argues could lead to higher costs for users. In a past interview, CEO Vlad Tenev defended PFOF against concerns of potential conflicts of interest. Robinhood previously settled SEC charges in December 2020 for $65 million without admitting guilt. Despite the investigation, Robinhood's stock rose 4.4% on the news, reflecting a broader crypto market rally, although it dipped slightly in after-hours trading. Read more AI-generated news on: https://app.chaingpt.org/news

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