Celsius to Undergo Hearing in Texas Due to Unregulated Securities

BeInCrypto –

Celsius has been brought to book for allegedly offering unregistered securities to residents of the state of Texas, and is expected to offer reasons why it should be allowed to continue offering its products in the state.

Celsius securities debacle

Celsius, crypto lender and major player in the DeFi space, has come under fire from regulatory authorities in the states of Texas, Alabama, and New Jersey. On Friday, 17 September 2021, Texan authorities ordered Celsius to cease operations and provide evidence as to why the company should be allowed to continue providing its services to the state of Texas. In Alabama, only certain products were deemed as unfit, and Celsius was ordered to stop offering these products before November 1.

DeFi under fire

BlockFi also experienced similar backlash from Texas, Alabama and Vermont regulators. Vermont regulators flagged BlockFi Interest Accounts, questioning their legality and status, while New Jersey authorities determined that these accounts were unregistered securities.

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