Webull Faces Class Action Over Alleged Misleading China Ties

The complaint, filed by Robbins LLP, targets Webull’s disclosures between April 26, 2025, and October 6, 2026. Plaintiffs contend the company falsely presented itself as a U.S.-based entity while maintaining core engineering, data pipelines, and infrastructure tethered to the People's Republic of China. The legal challenge gained momentum after a report from the U.S. House Select Committee on the Strategic Competition Between the United States and the Chinese Communist Party revealed a "profound gap" between Webull's public image and its internal reality.

According to the Select Committee, Webull’s mainland China subsidiary employed approximately 863 people—roughly 62% of its global workforce—despite previous assurances that the firm lacked such a footprint. Following this disclosure on October 7, 2026, Webull shares dropped $1.39 to close at $5.89 on high trading volume. Investors who suffered losses during the class period have until December 7, 2026, to file for lead plaintiff status in the ongoing litigation.