Benzinga - by Adam Eckert, Benzinga Staff Writer.
Massachusetts’ top securities regulator is looking into recent trading activity from GameStop Corp (NYSE:GME) trader Keith Gill, also known as “Roaring Kitty.”
What Happened: Gill is facing increased scrutiny from Massachusetts Secretary of State Bill Galvin over potential manipulation, according to The Wall Street Journal.
E-Trade is also reportedly trying to decide whether to ban Gill — the inspiration behind the Hollywood film “Dumb Money” — from its trading platform.
Galvin previously probed Gill’s trading activities from 2021. He ultimately settled with MassMutual, Gill’s former employer, for failed supervision of his activities, per Reuters.
Why It Matters: Gill is often credited with spearheading the meme stock mania of 2021. He had been inactive on social media since then, posting what many thought was a final position update on Reddit’s WallStreetBets.
But then he broke his silence on X a couple of weeks ago when he posted a meme of a person sitting up and leaning forward in a chair.
The post sparked a surge in GameStop stock and the excitement quickly spread to other retail darlings. The rally was short-lived, however, as Gill shared a series of videos on X before going silent again after posting a clip from the film “E.T.”
Gill posted his most recent update to Reddit on Sunday. The image appeared to show that he was holding 5 million shares of GameStop and 120,000 call options expiring later this month.
The U.S. Securities and Exchange Commission is reportedly looking into recent options trading activity in GameStop.
Check This Out: Roaring Kitty’s GameStop Options Could Be Worth $54M, But Cashing Out Might Be Tricky: ‘Everybody’s Hyper Aware Of This Now’
GME Price Action: GameStop stock was down more than 3.07%, trading at $27.14 per share, at last check Tuesday, according to Benzinga Pro.
Photo: Pitsch from Pixabay.
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