BlockFi’s high-yield crypto interest products have reportedly come under the federal microscope.
Citing one anonymous source, Bloomberg reported Wednesday that the U.S. Securities and Exchange Commission (SEC) is “scrutinizing” the New Jesey-based crypto lender. Reportedly at issue are BlockFi’s marquee landing products, which can yield as much as 9.5%.
BlockFi has maintained that its product is not a security. But securities regulators appear to disagree. Earlier this year, a bevy of state-level agencies opened investigations into BlockFi, which would make the SEC only the latest force to give a look.
BlockFi declined to comment.
Read more: NJ Regulators Give BlockFi 1 Week Before Blocking New Interest Accounts
UPDATE (Nov. 17, 14:43 UTC): Adds that BlockFi declined to comment.
