New York Attorney General Letitia James has opened the doors for investors who may have witnessed misconduct at a cryptocurrency company amid extreme market volatility to file a whistleblower lawsuit.
In an advisory on Monday, James called on New York-based crypto users who have been blocked from accounts on exchanges or lending platforms, have been unable to access funds, or have been “misled about their crypto investments,” to contact the Office of the Attorney General. As a whistleblower, a person making a complaint to the authorities could remain anonymous: the New York Attorney General’s website already includes the option to submit documents and relevant information through a Tor browser.
“Investors were promised great returns with cryptocurrencies, but instead lost their hard-earned money,” James said. “I urge any New Yorker who believes they have been duped by cryptocurrency platforms to contact my office, and I encourage employees of cryptocurrency companies who may have witnessed misconduct to file a complaint.”
The attorney general made a specific appeal to investors whose funds may have been affected by the fall of Terra (LUNA), now renamed Terra Classic (LUNC), as well as those whose wepaused withdrawals or frozen accounts on staking or yield-generating platforms, including Celsius, Voyager, Anchor and Stablegains. The New York Attorney General’s Office of Investor Protection will process all complaints received.
The cryptocurrency market is extremely unpredictable. Just last month, the market reached record lows and investors lost hundreds of billions.
New Yorkers should be cautious and think twice before putting their hard-earned money into this unstable market.
— NY AG James (@NewYorkStateAG) June 2, 2022
The cryptocurrency market is extremely unpredictable. Just last month, the market hit record lows and investors lost hundreds of billions.
New Yorkers should be cautious and think twice before putting their hard-earned money into this unstable market.
When it comes to enforcement among crypto businesses, the New York Attorney General’s office has apparently been in the forefront among state and federal authorities in the United States. In October 2021, the attorney general took action against two cryptocurrency lending platforms that had allegedly been operating in the state illegally by selling and offering securities and commodities. James’ office also warned crypto users in June, amid falling prices for major tokens, of market risks, with investors losing “hundreds of billions.”
Clarification: The information and/or opinions expressed in this article do not necessarily represent the views or editorial line of Cointelegraph. The information set forth herein should not be taken as financial advice or investment recommendation. All investment and commercial movement involve risks and it is the responsibility of each person to do their due research before making an investment decision.
Keep reading:
Investments in crypto assets are not regulated. They may not be suitable for retail investors and the full amount invested may be lost. The services or products offered are not aimed at or accessible to investors in Spain.