FDIC warns FTX's U.S. arm to halt 'false and misleading' claims about government insurance for crypto platform funds. | Crypto

FDIC warns FTX’s U.S. arm to halt ‘false and misleading’ claims about government insurance for crypto platform funds.

– The Federal Deposit Insurance Corporation has issued a cease-and-desist order to five companies for allegedly making false representations that certain products or stocks are FDIC-insured.
– The entities that received warnings include Cryptonews.com, Cryptosec.info, SmartAsset.com and FDICCrypto.com.
– Based upon evidence collected by the FDIC, each of these companies made false representationsincluding on their websites and social-media accountsstating or suggesting that certain cryptorelated products are FDICinsured or that stocks held in brokerage accounts are FDICinsured.
– The FDIC has ordered FTX to remove any statements suggesting in any way that FTX U.S. is insured by the government, or any funds held in crypto and other financial products are protected by such FDIC insurance.


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