The US Federal Deposit Insurance Corporation has demanded that the FTX.US exchange stop making misleading statements about supposedly FDIC-insured cryptocurrency products.
The U.S. Federal Deposit Insurance Corporation (FDIC) has issued a notice to the FTX.US cryptocurrency exchange requesting it take immediate corrective action to address these false or misleading statements.
“These advertisements are false and misleading. The federal deposit insurance law prohibits any person or entity from knowingly misrepresenting the scope or manner of deposit insurance with the FDIC, or from advertising an uninsured product as being insured by a federally authorized agency. The FDIC requires the FTX.US exchange to take immediate corrective action to address identified violations,” the agency said in a statement.
The FDIC recalled that the federal agency does not insure cryptocurrency products, stocks and brokerage accounts. The FTX.US exchange has 15 business days to correct the violations. Failure to comply with the request may result in further legal action by the FDIC.
Earlier it became known that the FTX cryptocurrency exchange and its American division FTX.US began negotiations with potential investors on the preparation of a new round of funding.
Source: Bits
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