BlockFi to Pay $100 Million to SEC, States on Crypto Lending (2)

BlockFi Inc., a popular crypto platform, agreed to pay $100 million to the Securities and Exchange Commission and state regulators over allegations it illegally offered a product that pays customers high interest rates to lend out their digital tokens.

The company sold the accounts to U.S. investors without registering them with the SEC as securities, the agency said in a Monday statement. As part of the agreement, current BlockFi customers can continue to earn interest on their existing investments, but the company must not sell the products to new American clients. The company has 60 days to seek ...