The FTX Is Now Within the State of Texas' Field of View
In the realm of cryptocurrencies, this con game is still going strong. Cryptocurrency companies that may not have taken the time to properly register the tokens they were issuing either through exchanges for trading or through initial coin offerings are getting a lot of heat from various financial organizations like the Securities and Exchange Commission (SEC), which is cracking down hard on the practice (ICOs). It would appear that FTX has been added to the list of businesses that might potentially face sanctions and the loss of their licenses if the SEC is successful in its efforts to have its way with some of these companies.

The only difference is that this time, the SEC is not the group that has the upper hand. The Texas State Securities Board is the organization that is driving this lawsuit, and it asserts that a significant number of the tokens that were distributed through FTX's yield-bearing crypto savings accounts were obtained through unethical means. According to the members of the organization, FTX did not go through the appropriate channels and did not register the tokens that were being provided with the state in the appropriate manner.

This information surfaced as a result of a separate investigation into the cryptocurrency company Voyager Digital, which is being carried out by the state of Texas. Voyager Digital declared bankruptcy only a few short months ago. Sam Bankman-Fried was also identified as a primary offender in the possible misconduct that took place.

The current file was authored by Joe Rotunda, who is the head of the state securities board. He is also the person who is responsible for drafting this document. According to him, the probe was not initiated as a result of complaints received from customers. Rather, he and his colleagues saw that FTX was just marketing interest-bearing products, despite the fact that the company had not registered these items with the state. This was discovered by simply looking at the business operations of Voyager Digital. He discovered that it was incredibly simple to participate in the program, which drew a lot of attention to itself from both him and others working through the board due to the fact that it was so straightforward.

In a recent interview, he made the following remarks:

We want to ensure that anyone who invests their money is provided with complete disclosure of all the pertinent facts, and that procedures to protect investors are in place.

FTX is not providing any comments on the current situation; however, a spokeswoman for the company did mention the following:

We have submitted a current application for a license, and the processing of this application has been delayed; however, we are certain that we are functioning entirely within the legal parameters of what we are allowed to do in the meanwhile.

We'll Cooperate with You on This!
During this time, Rotunda further commented that his agency is eager to engage with FTX to assist in bringing company into compliance, adding that:

We want to make it possible for Texans to invest in the things that are most important to them in their own lives. Because we care about their safety and well-being, we are working hard to ensure that all businesses comply with the regulations. The defense of Texas is the overarching objective of this plan.