Share this article
Alabama Issues 'Show Cause' Order to BlockFi
The Alabama Securities Commission alleges that BlockFi has funded cryptocurrency lending in part through the sale of unregistered securities.
Updated Sep 14, 2021, 1:29 p.m. Published Jul 22, 2021, 11:11 a.m. 1 min read
BlockFi is under fire from a second U.S. state over concerns its interest-bearing crypto accounts may be unregistered securities.
- Late Wednesday, the Alabama Securities Commission asked crypto lender BlockFi to show why it should not be required to stop selling unregistered securities in the state.
- The commission alleges that BlockFi has funded cryptocurrency lending and proprietary trading at least in part through the sale of unregistered securities.
- BlockFi Interest Accounts (BIAs) are not registered with the regulator, the commission said Wednesday.
- The company has 28 days to respond.
- In a tweet, BlockFi said that it believes its products are lawful and appropriate and that BIAs are not securities.
Read more: NJ Regulators Give BlockFi 1 Week Before Blocking New Interest Accounts
More For You
The bitcoin miner turned HPC infrastructure developer unveiled plans for a new 1 gigawatt facility in Kentucky aimed at servicing AI workloads.
What to know:
- TeraWulf surged 13% on Tuesday after announcing a new facility in Kentucky to serve to serve AI and high-performance compute demand.
- Former bitcoin miners tied to the AI infrastructure boom broadly moved higher as the AI spending momentum continues.
Top Stories
