FDIC Issues Crypto-Related Cease and Desist Orders to 5 Companies Including F...

FDIC Issues Crypto-Related Cease and Desist Orders to 5 Companies Including F...

The Federal Deposit Insurance Corporation (FDIC) has sent a cease and desist letter to five companies, including crypto exchange FTX US. CEO Sam Bankman-Fried explained that FTX does not have FDIC insurance, stating: “We never meant otherwise, and apologize if anyone misinterpreted it … to be clear FTX US isn’t FDIC insured.” FDIC Orders 5 Firms to Cease and Desist The Federal Deposit Insurance Corporation (FDIC) issued crypto-related cease and desist orders to five companies Friday. The agency regulates and insures the deposits of FDIC-insured....


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FTX US among 5 companies to receive cease and desist letters from FDIC

The government agency had previously stated that deposits at non-bank entities, including crypto firms, are not covered by FDIC insurance. The Federal Deposit Insurance Corporation (FDIC) has issued cease and desist letters to five companies for allegedly making false representations about deposit insurance related to cryptocurrencies.FDIC issued a Friday press release disclosing cease and desist letters for cryptocurrency exchange FTX US and websites SmartAssets, FDICCrypto, Cryptonews and Cryptosec. In the letters, which were issued on Thursday, the government agency alleges that these....

FTX Is Spreading False Statements About Crypto Products, FDIC Says

FTX US received a cease-and-desist warning from the United States Federal Deposit Insurance Corporation on Friday, telling the crypto exchange to stop issuing “false” statements and “misleading” consumers about the insurance status of their products. Four other crypto companies were given the warning by the FDIC. These are: SmartAsset.com, Cryptonews.com, Cryptosec.info, and FDICCrypto.com. The regulator claims […]

Fed Board, FDIC Order Voyager Digital to Retract Federal Deposit Insurance Cl...

Following Voyager Digital’s application for bankruptcy protection during the first week of July, Federal Deposit Insurance Corporation (FDIC) and the Federal Reserve Board today issued a joint letter to the company demanding a cease and desist against Voyager’s FDIC claims. The FDIC’s letter explains that Voyager’s FDIC claims are false and misleading, and the entity prohibits anyone from “representing or implying that an uninsured deposit is insured.” FDIC Insists Voyager Digital Published Misleading and False Federal Deposit Claims On....

Regulators have a weak case against FTX on deposit insurance

FTX made an error in messaging when it suggested depositors were insured, but federal regulators will have a hard time proving the exchange did so with sinister motives. In a cease-and-desist letter to fast-growing crypto exchange FTX, the Federal Deposit Insurance Corporation (FDIC) shed light on a now-deleted tweet from the exchange’s president, Brett Harrison, and issued a stark warning over the company’s messaging.Harrison’s original tweet said, “Direct deposits from employers to FTX US are stored in individually FDIC-insured bank accounts in the users’ names.” He added, “Stocks are....

Bitcoin Down Under: Aussie Regulator Issues Block Order Against Holon’s Crypt...

Bitcoin and other related crypto products being offered by this Australian asset management company is now on hold. The Holon Investments Australia Limited has received cease-and-desist orders from the Australian Securities and Investments Commission. The three investment products that monitor Bitcoin (BTC), Ethereum (ETH), and Filecoin (FIL) are the focal point of the stop orders. […]