The U.S. Securities and Exchange Commission is examining the products of crypto companies Celsius, Voyager, and Gemini.
Related: SEC Will Focus On Crypto Platforms Regulation in 2022
According to a Bloomberg report, the scrutiny is a part of an expanded inquiry into businesses that provide lending products and allow customers to deposit tokens and earn interest. The SEC explores whether the offerings from the mentioned companies should be listed as securities.
It doesn’t mean that the SEC accuses any of the companies for any wrongdoings, but exploring the products.
The main concern of the agency, as reported, is high interest crypto products. Regulators say that the companies’ being able to pay customers higher rates than banking institutions raises concerns about investor protection. There isn’t a clear regulatory framework for the crypto industry in the USA, and the operators mentioned that they are ready to compile.