This is just a learning opportunity for BlockFi. In the times we’re in with the space right now I wouldn’t say $100M is really not a huge L to these major companies. They’ll bounce back. 📈
US regulators are making it clear crypto companies must follow conventional rules. Crypto lender BlockFi has settled with the Securities and Exchange Commission over charges the company allegedly offered interest accounts without registering them under the Securities Act. The company will pay $100 million in penalties, including $50 million to settle charges from 32 states.
BlockFi has also agreed to register for the sale of a new product, Yield, and has promised to comply with SEC rules in the next 60 days. The company was reportedly selling unregistered crypto interest accounts from March 2019 until today, and made "false and misleading" claims about the risks from lending.
