Second US State Says Lawsuit Against BlockFi Crypto Lending Platform

Alabama became the second state in the United States to accuse BlockFi of placing unregistered securities. In turn, the cryptocurrency lending platform itself denies all sorts of accusations and claims that the regulator is not thoroughly trying to undermine its activities.

Joseph Borg, director of the Alabama Securities Commission, announced the filing of a lawsuit against BlockFi. He is sure that the platform’s interest-bearing accounts are unregistered securities, the placement of which is a gross violation of the current legislation. The goal of the regulator, as it became known, is the complete termination of the company.

The cryptocurrency lending platform denies all charges. According to her management, at the moment there is no objective law that would distinguish securities from some cryptocurrencies. Such arguments, according to a statement by BlockFi, could not be presented by the regulator itself.

We will remind, earlier the New Jersey attorney’s office issued a resolution that prohibited BlockFi from selling securities in the state.

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