NJ issues cease and desist against BlockFi for their Interest bearing accounts

quote:

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“Our rules are simple: if you sell securities in New Jersey, you need to comply with New Jersey’s securities laws.

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Yet the SEC has said crypto isn't a security. So which is it?

It said some cryptos aren't securities, some are. It's based on the token's utility.

And this isn't the tokens themselves, this is the interest bearing accounts. Basically, this:

"People give you something of value, then based on the efforts of someone else and NOT the people who gave you something of value, that value is put to work doing something and the people then get more value in return"

is a security UNLESS it's offered by a bank or equally regulated financial institution. They get an exemption. Anything else that follows that profile is a security.