The Commodity Futures Trading Commission (CFTC) has charged 12 New York-based crypto options businesses with allegedly failing to register with the regulatory body.
In a Sept. 29 press release, the CFTC outlined that it is charging 14 entities in total, with the 12 crypto-focused firms all on the hook for failing to register as futures commission merchants (FCMs). All of the firms were “allegedly based in New York.” The other two companies have allegedly posted misleading information about their National Futures Association (NFA) membership and registration with the CFTC.
The listed crypto options providers include relatively unknown names such as Bitfxprofit, Star FX Pro, Smarter Signals and BinanceFx Trade — the latter of which is unaffiliated to the major global exchange Binance despite its name.
“Today’s actions reflect the CFTC’s dedicated efforts to aggressively root out bad actors falsely claiming to hold legitimate registrations and protect the trading public,” said Division of Enforcement Acting Director Vincent McGonagle.
Firms offering exposure