Webull Financial Fined $1.6 Million for Influencer Ad Violations

Washington, D.C. — The Financial Industry Regulatory Authority (FINRA) has fined Webull Financial LLC $1.6 million for inadequate oversight of influencer advertisements promoting its services. The fine was announced on May 9, 2025, after an investigation revealed the firm failed to properly monitor social media communications from influencers promoting the company from January 2019 to December 2022.

Webull, a popular self-directed trading platform, partnered with a marketing company that enlisted over 400 influencers to promote its services on various social media platforms. These campaigns contributed to more than 400,000 new account sign-ups. However, some influencer posts made exaggerated claims about investment opportunities and did not disclose necessary risks. For instance, one post suggested a stock’s price could “skyrocket to quadruple the price” without mentioning the associated risks.

In its findings, FINRA indicated that Webull did not have a registered principal review influencer posts prior to their publication, violating regulatory requirements. Furthermore, the firm did not retain copies of influencer advertisements, as mandated by FINRA rules. The lack of an adequate supervisory system for influencer communications was also highlighted.

Additionally, Webull failed to deliver customer disclosures required by its Form CRS (Customer Relationship Summary) to nearly 6 million customers. Although the firm initially filed the form in June 2020, it did not implement a reliable delivery system until October 2022. This failure, compounded by system errors, prevented proper notifications for new account holders.

The investigation found other violations related to inadequate risk management controls that allowed erroneous trades to occur. In light of these findings, Webull has committed to enhancing its compliance and supervisory practices.

A representative from Webull did not immediately provide a comment on the fine. FINRA opted not to comment further beyond the issued letter. This case is recorded under case number 2021072231801 before FINRA.