Crypto Lender Voyager Ordered by US Regulators to Stop Misleading Customers

July 29, 2022 World Blockchain

Crypto lender Voyager Digital has been ordered by U.S. banking regulators to stop making incorrect claims that the company was insured by the government.
The Federal Reserve and Federal Deposit Insurance Corporation ordered Voyager to cease any representations that its customers’ funds would be protected in case of the company’s failure, according to a statement published Thursday.

“Voyager has made various representations online, including its website, mobile app, and social media accounts, stating or suggesting that: (1) Voyager itself is FDIC-insured; (2) customers who invested with the Voyager cryptocurrency platform would receive FDIC insurance coverage for all funds provided to, held by, on, or with Voyager; and (3) the FDIC would insure customers against the failure of Voyager itself,” the letter said. “These representations are false and misleading and, based on the information we have to date, it appears that the representations likely misled and were relied upon by customers who placed their funds with Voyager and do not have immediate access to their funds.”