Crypto lending platform BlockFi has received an order from New Jersey’s acting attorney general (AG) to halt its Interest Account (BIA) operations in the U.S. state.
- BlockFi CEO Zac Prince confirmed his company had received the order late Monday.
- Prince said BlockFi remains "fully operational" for its existing clients in New Jersey and that all aspects of the platform continue to be accessible for its clients in the state.
- CoinDesk contacted Prince, who declined to comment further.
- The acting AG's order requests BlockFi to stop accepting new BIA clients residing in New Jersey beginning July 22, 2021, Prince confirmed in a tweet.
- "We will continue to engage with all relevant authorities to protect our clients’ interests and ensure that our products remain available," said Prince.
- Having just started the job on Monday, Acting Attorney General Andrew Bruck appears to be setting the tone of his new role.
- The order is the latest headache for the embattled lender that, in May, incorrectly deposited and then tried to reverse excessive amounts of bitcoin to users’ accounts.
- The order states that BlockFi held $14.7 billion through BIA sales as of March 31.
- BlockFi was also hit by an attacker spamming its platform with fake sign-ups and abusive language in March.