US regulators have begun investigating crypto firm Genesis.
Several regulators, including the Alabama Securities Commission, have been looking into whether Genesis violated securities laws.
US Regulators Are Investigating the Embattled Firm
According to Barron’s, several US state regulators are investigating whether crypto company Genesis Global Capital violated securities laws.
According to the news, Alabama Securities Commission Director Joseph Borg and other state regulators are focused on whether Genesis persuaded state residents to invest in crypto securities without having the appropriate registrations. Borg did not name the other companies being investigated.
Genesis and the Alamaba Securities Commission did not respond to a request for comment on the matter.
Genesis announced earlier this week that it was in a difficult situation due to its investments in both FTX and Three Arrows Capital, and announced that it could go bankrupt if it does not find funds.
The company spent much of November scrambling to find capital and reach an agreement with creditors.
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