Kentucky regulators hit hard on blockfi interest accounts

Crypto lender Blockfi is currently dealing with regulators in five states since Kentucky joined the fight against interest rates (bias) with the firm Blockfi. On July 30, Blockfi released a statement on Twitter saying that the Kentucky Department of financial institutions (DFI)had sent the company an order aimed at banning new BIA accounts.

Blockfi Now Has Problems With Regulators From 5 States
Blockfi, a New York-based cryptocurrency finance company, was founded in 2017 by co-founders Zack Prince and Lori Marquez. The company is a cryptocurrency credit company that offers interest accounts called” bias ” and also offers customers a credit card with a cryptocurrency fee. Since January 2018, the company has allowed it to provide credit services using crypto-collateral. the News reported initial block problems with New Jersey regulators, followed by problems with Texas, Alabama and Vermont. Regulators in all states object to BIA products and disclosures that give authorities grounds to believe they may be unregistered securities.

After four states sent messages to BlockFi, the Kentucky Department of financial institutions (DFI) sent an order to the company, according to the official Blockfi Twitter account.

“On Friday afternoon, we received an order from the Securities Division of the Kentucky Financial Institutions Division in relation to blockfi’s interest account transactions (BIA) in the state of Kentucky,” Blockfi said. Crypto adds message from lender:

The order prohibits BlockFi from requesting or proposing Ant effects in Kentucky. Blockfi believes that BIA is legal and appropriate for kriptorynka participants. But in light of that order, Blockfi will immediately stop accepting new BIA customers living in Kentucky.

As in four other states, Blockfi cannot allow individuals to create new biases until problems with regulatory agencies are resolved. No other crypto company ever existed

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