Tag: NYAG

Crypto fraud suit tied to Winklevoss twins now $3B: NY AG

New York Attorney General Letitia James on Friday expanded her lawsuit against Digital Currency Group and other cryptocurrency defendants, tripling the size of their alleged fraud scheme to more than $3 billion. James in October sued Digital Currency, its Genesis Global Capital unit, and Gemini Capital, the exchange run by twin brothers Cameron and Tyler Winklevoss. She claimed they caused…

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Bankrupt Genesis Global settles NY Attorney General’s lawsuit | Reuters

Crypto lender Genesis Global has settled a lawsuit that the New York Attorney General brought against it last year, eliminating a major legal burden as it wades through its bankruptcy proceedings. Attorney General Letitia James had sued the company, its parent Digital Currency Group (DCG) and cryptocurrency firm Gemini Trust Co in October for allegedly “defrauding” investors of more than…

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Attorney General James Secures More Than $22 Million from Cryptocurrency Platform for Operating Illegally

New York Attorney General Letitia James today secured more than $22 million from KuCoin, one of the largest cryptocurrency trading platforms, for failing to register as a securities and commodities broker-dealer and for falsely representing itself as a crypto exchange. Today’s consent order resolves Attorney General James’ lawsuit against KuCoin and requires the company to refund over 150,000 New York…

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New York Attorney General Sues Crypto Firms in $1 Billion Fraud Case – The New York Times

Continuing a crackdown on cryptocurrency companies, the New York attorney general accused three major players in the digital asset industry of lying to investors and concealing losses in a $1 billion fraud scheme, according to a lawsuit filed on Thursday. The suit targets Gemini Trust, the exchange run by the twin brothers Tyler and Cameron Winklevoss; the lender Genesis Capital;…

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CoinEx accepts New York ban, to pay $1.8 million to resolve attorney general lawsuit | Reuters

CoinEx agreed to pay $1.8 million and be banned from operating in New York to settle state Attorney General Letitia James’ lawsuit accusing the cryptocurrency exchange of operating illegally because it failed to register with the state. A proposed settlement was filed on Wednesday in a New York state court in Manhattan, and requires a judge’s approval. It calls for…

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New York AG Proposes Landmark Crypto Law, Citing ‘Dysfunction’ – Bloomberg

New York Attorney General Letitia James proposed a state law to tighten rules over cryptocurrency companies in her latest swing at an industry she claims is suffering from “rampant fraud and dysfunction.” Under her proposal, New York would require independent public audits of crypto exchanges and bar people from owning both brokerages and tokens to prevent conflicts of interest. In…

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What Happens If Ether Is a Security?

Is ether (ETH), the native cryptocurrency of the Ethereum blockchain and the second-largest by market cap behind bitcoin, an investment security? The question has been a source of simmering speculation ever since Ethereum switched last year to a “proof-of-stake” blockchain network where investors can “stake” their coins in exchange for rewards – not too dissimilar from the interest that’s paid…

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Attorney General James Sues Former CEO of Celsius Cryptocurrency Platform for Defrauding Investors | New York State Attorney General

New York Attorney General Letitia James today filed a lawsuit against Alex Mashinsky, a co-founder and former CEO of cryptocurrency lending platform Celsius Network LLC and its related entities (Celsius), for defrauding hundreds of thousands of investors, including more than 26,000 New Yorkers, out of billions of dollars worth of cryptocurrency. The lawsuit alleges that Mashinsky repeatedly made false and…

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Attorney General James Urges New Yorkers Deceived by Crypto Platforms to Report Concerns to OAG | NYAG

New York Attorney General Letitia James today issued an investor alert urging any New Yorker deceived or affected by the cryptocurrency crash to contact her office. Many high-profile cryptocurrency businesses have frozen customer withdrawals, announced mass layoffs, or filed for bankruptcy, while investors have been left in financial ruin. As part of the Office of the Attorney General’s (OAG) ongoing investigative work, OAG is interested in hearing from New York investors…

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INVESTOR ALERT: Attorney General James Warns New Yorkers About Cryptocurrency Investment Risks | New York State Attorney General

“Over and over again, investors are losing billions because of risky cryptocurrency investments,” said Attorney General James. “Even well-known virtual currencies from reputable trading platforms can still crash and investors can lose billions in the blink of an eye. Too often, cryptocurrency investments create more pain than gain for investors. I urge New Yorkers to be cautious before putting their…

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