I disagree. Robinhood had a net capital deficiency. If it hadn't found a way to deal with that, ALL of its customers, many more than were playing GME and the other companies, would have suffered.
Blame the NSCC. As I've said many times, in the markets, nobody's gonna accept your risk.
? Not sure what you are saying here ... "Retail traders should not have been spooked or locked out"
"All involved" were limited on both sides of the trade. All new orders were limited(etc)...on either side. For god's sake ...there are SEC rules that halt shorting after a specified percentage drop..be it uptick rules..et al. Schmuck' city....and so it goes...