(Bloomberg) -- Robinhood Markets Inc. said it faces a US Securities and Exchange Commission investigation into the brokerage’s compliance with a short-selling rule.

The SEC’s enforcement division requested information about Robinhood’s adherence to Regulation SHO and matters related to securities lending and fractional shares, the Menlo Park, California-based company said Wednesday in a filing. 

The online brokerage, which slashed 23% of its workforce this week, has faced several regulatory actions in recent years.

On Tuesday, Robinhood’s cryptocurrency arm was fined $30 million by the New York State Department of Financial Services, which accused the firm of violating anti-money-laundering and cybersecurity rules. In 2020, the SEC fined Robinhood $65 million for misleading its customers about a key source of revenue, called payment for order flow. The firm didn’t admit or deny wrongdoing in that case.

Read more: Robinhood Slashes 23% of Its Workforce in Sweeping Overhaul

©2022 Bloomberg L.P.