Regulatory scrutiny on Celsius Network, a leading crypto lender in the market that’s hit turbulence, continues to mount, according to a reportBy Reuters, Thursday.
Celsius made headlines this week after it paused customer withdrawals.
According to the report, Texas State Securities Board confirmed that an investigation was opened against the crypto lender. New Jersey, Washington, and Alabama have also opened investigations.
The Texas regulator has reportedly certified the matter as a “priority,” with concerns that the company’s situation poses serious financial ramifications for customers.
Celsius is being investigated as the New Jersey-based company tries to navigate the complex waters it is currently in. The company hired business restructuring lawyers on Wednesday.
Alex Mashinsky, CEO of Celsius has assured customers and the broader community that the firm is “working non-stop” on the issue. Other than this, not much has been forthcoming and the ‘freeze’ on all withdrawals remains in place.
CoinJournal: Spotlight on Celsius, Texas securities regulator opens investigation