New York Attorney General Letitia James is cracking down on crypto platforms with the help of whistleblowers and disgruntled investors.
After warning of the risks of investing in the crashing cryptocurrency market last month, James released an alert on August 1 asking for New Yorkers affected by the industry’s downturn to come forward. In recent months crypto businesses have announced layoffs, filed for bankruptcy and halted customer withdrawals.
The Attorney General’s office is requesting investors who have been deceived by crypto platforms, locked out of accounts or unable to access investments to report their experiences, especially those affected by the declining cryptocurrencies Terra and Luna or cryptocurrency earning programs like Anchor and Celsius.
James also called for cryptocurrency employees who have witnessed any form of misconduct or fraud to come forward and file a complaint, which can be done anonymously.
“The recent turbulence and significant losses in the cryptocurrency market are concerning,” said James in a statement. “Investors were promised large returns on cryptocurrencies, but instead lost their hard-earned money. I urge any New Yorker who believes they were deceived by crypto platforms to contact my office, and I encourage workers in crypto companies who may have witnessed misconduct to file a whistleblower complaint.”
Investors and workers who have experienced crypto misconduct can file a complaint with the Office of the Attorney General’s Investor Protection Bureau. Employees can also use the office’s whistleblower portal.
