B R I E F LY
BITCOIN SURGES PAST
$20,000: The price of bitcoin rose above $20,000 for the first time Wednesday, as the speculative digital currency topped its previous peak reached shortly after it became tradeable on Wall Street three years ago this month. Like other instruments used to store value in times of uncertainty, bitcoin has benefited from the pandemic that has pushed other commodities like gold, silver, platinum to multiyear highs. Because of bitcoin’s structure, few coins are being created anymore and there is relative scarcity.
ROBINHOOD ACCUSED
OF DOWNPLAYING RISK: Regulators in Massachusetts claim Robinhood Financial targets and manipulates inexperienced investors and has failed to prevent costly outages on its popular stock trading platform. In an administrative complaint filed Wednesday, Secretary of the Commonwealth William Galvin alleges that Robinhood’s business practices violate state securities laws. The state seeks an unspecified fine against Robinhood, among other penalties. Robinhood has nearly half a million customers in Massachusetts with accounts valued at more than $1.6 billion, according to the complaint. The Menlo Park-based company said it intends to mount a vigorous defense.
WISH FALLS IN STOCK
MARKET DEBUT: The parent company of Wish, a shopping app that sells cheap clothing, toys and electronics, sputtered in its stock market debut. Shares of ContextLogic Inc. fell 16.5 percent to close at $20.05 Wednesday, valuing the company at nearly $14 billion. The stock is trading on the Nasdaq Stock Market under the symbol “WISH.”
VEGAN RESTAURANT
FILES CHAPTER 11: By Chloe, the fast-casual chain known for its vegan burgers and salads, filed for Chapter 11 bankruptcy with plans to sell itself after the pandemic hampered liquidity. Since February, the New York-based By Chloe has seen its revenue drop 67 percent. A group of investors have agreed to provide By Chloe with a $3.25 million debtor-inpossession loan to help the company keep operating in bankruptcy. The chain is seeking to sell itself by mid-February.