The Texas State Securities Board (TSSB) has accused the Celsius Network, a crypto-lending service, of selling unregistered securities. The accusation is contained in the document.
The TSSB has required the service’s representatives to appear at a videoconference hearing on February 14, 2022. On that day, a decision will be taken on whether Celsius Network will cease operations.
Texas State Securities Board chairman Joseph Rotonda, in comments to CoinDesk, confirmed that the allegations relate to the sale of securities \”without prior compliance with important investor-protection laws.\”
«I recognise that digital assets and blockchain technology open the path to exciting new opportunities and new financial services. We are simply trying to bring Celsius’s activities into compliance with the law so that it can continue to operate legally,» said the head of the Texas State Securities Board.
The New Jersey financial regulator has ordered Celsius Network to stop selling unregistered securities within the state.
If you sell securities in NJ, you need to comply with NJ’s securities laws. And that includes those operating in the cryptocurrency market.
Our Bureau of Securities has ordered an NJ-based company – Celsius – to stop offering interest-bearing accounts.https://t.co/CqmJXCkMM2
— Acting AG Andrew Bruck (@NewJerseyOAG) September 17, 2021
«If you sell securities in New Jersey, you need to comply with the state’s securities laws. And this requirement applies to those operating in the cryptocurrency market,» wrote Acting Attorney General of New Jersey Andrew Bruck.
Earlier, the state regulator brought similar charges against the crypto-lending platform BlockFi. The BlockFi Interest Account (BIA) offering is also being reviewed by financial regulators Vermont, New Jersey and Alabama.
Earlier, BlockFi chief executive Zac Prince said he was confident that crypto-lending services would survive despite state-level regulatory pressure.
Follow ForkLog news on Facebook!