DFPI Takes Actions On Crypto Asset Accounts and Businesses
On Sept. 27, the DFPI announced that it issued desist and refrain orders against 11 different entities for violations of California securities laws.
Each of the 11 entities allegedly offered and sold unqualified securities and ten of them also made material misrepresentations and omissions to investors. Nine of these entities solicited funds from investors to purportedly trade crypto assets on behalf of the investors. One of the entities solicited crypto assets to develop metaverse software and one entity claimed to be a decentralized finance, or DeFi, platform.