Webull shares down 20% amid fears over potential China ties

Webull (BULL.US) shares are down more than 20% today following the publication of a report by the bipartisan U.S. House Select Committee on China, which raised national security concerns over the platform’s ties to China. The stock has fallen to around $5.80 as investors react to concerns surrounding the company’s ownership structure, technology infrastructure and data flows. Webull disputes parts of the report and says it contains significant inaccuracies. The company was founded by a former Xiaomi and Alibaba employee, while its potential links to China have been debated for years.

• The committee said Webull’s ownership structure, technology operations, infrastructure, financing and compliance systems are materially connected to China.
• According to the report, the company presents itself publicly as a U.S. business, while some key technology operations are reportedly handled by an entity based in mainland China.
• Since October 2025, Webull has directly held customer cash, which the committee said increased the exposure of U.S. capital to potential risk.
• The report argues that parts of Webull’s software, data infrastructure and engineering operations may fall under Chinese law, which in certain circumstances can require companies to cooperate with state authorities.
• Webull disputes the report’s conclusions and says the committee did not seek clarification from the company before publishing its findings.
• The company stresses that its U.S. operations are run from offices in Florida and New York, while U.S. customer data is stored domestically and access to sensitive information is controlled in the United States.

The committee’s report could represent a significant reputational blow for a company that operates brokerage accounts for U.S. customers, although Webull has not accepted the committee’s conclusions. Even so, a more difficult regulatory environment could become a meaningful challenge for the company and complicate its efforts to attract and retain customers in the U.S. market.