FDIC Orders Crypto Exchange FTX US, 4 Others to Cease ‘Misleading’ Claims

“These statements appear to contain false and misleading representations that uninsured products are insured by the FDIC, as well as false and misleading statements about the extent and manner of protection provided by FDIC deposit insurance and misuse the FDIC’s name,” he wrote. “These false and misleading statements represent or imply that FTX US is FDIC-insured, that funds deposited with FTX US are placed, and all times remain, in accounts at unnamed FDIC-insured banks, that brokerage accounts at FTX US are FDIC-insured, and that FDIC insurance is available for cryptocurrency or stocks.”