Crypto Fraud: Leticia James Sues Coin Ex in New York

  • New York Attorney General Leticia James has filed another lawsuit against a digital currency company, Coin Ex.
  • Coin Ex is alleged to have broken New York registration protocols, engaged in fraudulent practices and failed to comply with a subpoena.
  • James had previously filed a lawsuit against former lending network Celsius, alleging that it misused customer funds and took part in fraudulent activity.

Leticia James Sues Coin Ex for Crypto Fraud

New York Attorney General Leticia James is taking legal action against digital currency firm Coin Ex, accusing the company of failing to follow proper registration protocols within the state. Court documents suggest that the company bought and sold tokens that violated the Martin Act, which was designed to fight financial fraud. Additionally, Coin Ex allegedly failed to comply with a subpoena issued last month.

Celsius Filed Bankruptcy After Experiencing Trouble

Another crypto-based lawsuit has been issued by James against the former lending network Celsius, which filed bankruptcy at the end of 2022. The issues began when Celsius halted all withdrawals as a result of market speculation and volatility. It then announced plans for bankruptcy proceedings that made many wonder whether they would ever receive their money back. James believes that Celsius misused customer funds and committed fraudulent activities.

New York’s History With Crypto

It may be true that crypto fraud has taken place within certain enterprises like Celsius but New York’s history with cryptocurrency doesn’t make it easy for those allegations to be taken seriously. Some people are questioning why James is targeting these particular companies or if she sees herself as some kind of one-woman army acting on behalf of the Securities and Exchange Commission (SEC).

The Allegations Against Coin ExConclusion