New York City has been in a bind over the matter of cryptocurrencies for a long time. The office of the attorney general has been actively working on investigating the individual cryptocurrency enterprises in the region for illicit financial activities and misconduct. This new war on the digital asset industry is part of a bigger picture.
The business community in the region has expressed grave concerns about the distribution of the limited energy resources against crypto mining enterprises before. For now, the presiding attorney general Letitia James is said to own incriminating evidence to prosecute two major crypto enterprises operating in the city.
Attorney General has Started a War Against Crypto Enterprises
Just a few weeks ago, the NYC attorney general was able to get a ‘cease and desist order for a cryptocurrency enterprise called Coin Seed. This shady digital asset exchange was found guilty of falsifying their terms of services and charging exorbitant transaction fees from their investors. The Coin Seed management was also involved in issuing worthless digital assets and tokens that put the investors at the risk of losing their investment permanently and ensure zero returns.
Since then, the attorney general’s office has issued statements claiming that even cryptocurrency organizations are not above the law. However, it is worth noting that many cryptocurrency entrepreneurs and owners have called on the US government to properly regulate the digital trading laws in the region. With the proper legal guideline, these enterprises have a better chance to stay away from the gray area and act as a lawful industry on the whole.
The recent press release from the office of the Attorney General issued the redacted documents related to two major cryptocurrency enterprises in the city. According to James, these documents contain the information and circumstantial evidence that these crypto entities have been involved in selling and purchasing unregistered securities and other trade commodities.
Letitia James has also issued a public service warning from her office, claiming that most of these crypto enterprises come with a massive risk factor. She further added that the public should be aware of the financial risks that they are undertaking and deserves to be fully informed. James plans to call on the Department of Justice for the permanent closure of these two crypto entities and is in the process of extracting information from 3 more corporations in the same industry.