BlockFi’s Lending License Revoked By California Regulator Over Violations
The California Department of Financial Protection and Innovation (DFPI) has taken decisive action against BlockFi Lending LLC by revoking its California Financing Law license. This move comes in response to multiple violations identified by the regulatory body.
What Happened: The regulatory agency announced its decision on Thursday.
The DFPI’s investigation uncovered several compliance failures by BlockFi. The crypto lender did not evaluate borrowers’ ability to repay loans and charged interest before loan disbursement.
The DFPI indicated that BlockFi also failed to offer credit counseling, report payment performance to credit bureaus and accurately disclose annual percentage rates (APRs) in its loan documents.
BlockFi, which filed for bankruptcy in 2022 following …
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