On Thursday, September 23, Kentucky’s securities regulator asked crypto lender Celcius to immediately stop offering its interest-paying accounts in the state. The cease and desist order coming from the Kentucky Department of Financial Institutions notes that Celcius offered unregistered securities to its customers.
The regulator noted that Celcius has violated the state law and didn’t disclose properly what they did with the customer deposits. The regulator also referred to these accounts as “the accounts “an unregulated market that represents an unprecedented risk to consumers”. Celcius can challenge this decision while appealing for an emergency hearing in the court.
Crypto lending businesses have been in the limelight that promise to offer much higher interest rates over traditional banking and financial institutions. However, the SEC and other regulators have been going hard after crypto lenders. In fact, even giants like Coinbase had to recently roll back their plan of
Źródło: https://coingape.com/kentucky-based-crypto-lender-celsius-faces-cease-desist-order/
