Webull is facing a major national security warning from US lawmakers. A bipartisan House Select Committee on China has accused the digital investment platform of having deep structural links to China’s government and said those ties could pose a risk to the US financial system.
The committee said there is a big gap between Webull’s public image and how the company actually operates. Webull markets itself as an American company, but the committee said its ownership, technology, workforce, infrastructure and data systems remain closely connected to China, according to CNBC.
Webull China ties
The congressional panel said Webull’s ownership and technology structure are linked to China in several ways. Its report pointed to the company’s ownership architecture, technical workforce, technology infrastructure, cross-border data routing, corporate financing and compliance systems as areas connected to China.
The committee warned that these links could expose sensitive US financial information to Chinese authorities. It said Webull’s software development, data pipelines and core engineering operations depend on infrastructure that is subject to Chinese laws.
China data concerns
Chinese laws are a major part of the lawmakers’ concern. The committee said companies operating in China can be required to cooperate with the Chinese government in different ways, including providing access to data, according to CNBC.
{{/usCountry}}Chinese laws are a major part of the lawmakers’ concern. The committee said companies operating in China can be required to cooperate with the Chinese government in different ways, including providing access to data, according to CNBC.
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The committee said the national security risk has become more serious since October 2025. That is when Webull started carrying customer cash directly, according to a regulatory filing cited by the committee.
US customer money
Lawmakers believe this creates exposure to billions of dollars in US money. The committee said Webull’s handling of customer cash creates a “structural exposure” involving billions of dollars in American capital.
The committee also questioned Webull’s backend systems and data flows. It said critical systems, employees and data movements could remain exposed to Chinese Communist Party intelligence laws and government demands. The company has rejected the congressional report. A Webull spokesperson said the report contained “significant inaccuracies and unsupported conclusions” and said the committee never asked Webull for clarification before publishing its findings, according to CNBC.
Webull said its US operations are based in America. The company said its global headquarters are in St. Petersburg, Florida, with another office in New York City. Webull also said US customer data is stored in the US.
The company said access to sensitive customer information is controlled by its US operations. Webull said it is willing to answer questions from regulators. The company said it remains ready to address concerns directly and pointed to its work with the SEC, FINRA and regulators around the world, according to CNBC.
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The committee also identified a mainland China-based subsidiary. According to the report, that subsidiary supports Webull’s technology development and platform operations. The committee says that information did not match the company’s actual workforce structure. According to the report, Webull’s mainland China subsidiary, Hunan Weibu, had grown to 863 employees.
US national security risk
The lawmakers’ broader concern goes beyond Webull itself. They are worried that Chinese government influence over a financial technology company could eventually create a way to affect the US financial system during a major conflict or political crisis.
The committee said China-linked financial infrastructure could become a future national security problem. Its concern is that systems placed inside the US financial sector today could potentially be used to disrupt the American economy later if US-China tensions sharply increase, according to CNBC.
For US investors, the concern is not simply where the app is headquartered. The congressional committee is questioning who controls the technology behind the platform, where its employees are located, how data moves across borders and whether Chinese laws could reach parts of the business.
The committee therefore considers Webull a potential national security risk to US finance. Webull strongly disputes that conclusion and says the congressional report contains inaccurate and unsupported claims.