Robinhood is now limiting users to 1 share of GameStop and has restricted trading on 22 other companies

• Robinhood is capping the number of GameStop shares that users can buy to one.
• The app is restricting trading on 22 other companies, including Nokia and AMC.
• Robinhood CEO Vlad Tenev has defended the company’s decision to halt the trading of certain stocks.
• Visit Business Insider’s homepage for more stories.

Brokerage app Robinhood is limiting the number of GameStop stocks that traders can buy, according to its website. The Wall Street Journal report first reported the news.

Robinhood traders can now only hold one share of GameStop compared to the five they were previously allowed. Traders are also now limited to five options contracts, per the Journal. An additional 10 companies were added to Robinhood’s list of restricted stocks, including Nokia and AMC Entertainment.

A Robinhood spokesperson confirmed the new restrictions in an email to Insider.

The move comes after Robinhood restricted transactions for some stocks, including GameStop, to comply with “financial requirements” on Thursday following a buying frenzy drummed up by a group of Redditors. 

Read more: Robinhood user launches class-action suit against the trading app hours after it blocked purchases of GameStop

Robinhood's temporary shutdown angered the app's users, as well as lawmakers like Congresswoman Alexandria Ocasio-Cortez, and users began giving the company one-star reviews on the Google Play Store, dragging its overall user rating down. Google then deleted 100,000 of the negative reviews since they violated its policies, bringing Robinhood's rating back up to four stars.

Late on Thursday, Robinhood began to allow users to buy GameStop and AMC shares. Robinhood CEO Vlad Tenev has defended the company's decision to halt the trading of certain stocks and said Robinhood was not struggling with liquidity issues.

Read more: GameStop has surged more than 600% in the past week. 3 experts break down where the stock could go from here as Reddit's army of traders take profits and search for their next targets.

Robinhood said on Friday that it had raised $1 billion in emergency investment to handle the surge in trading on its platform. 

News surfaced on Friday that Robinhood is on the hunt for a new federal affairs manager based in Washington DC. The job posting was created after US officials on both sides of the aisle called for hearings after the app shut down temporarily on Thursday.