This week the Cease and Desist order issued by Charlse G. Cooper Texas Department of Banking Commissioner, took effect. The deputy commissioner of the Texas Department of Banking, Bob Bacon, told the publication American Banker that Arise Bank is prohibited from using the word “bank” in its name unless it’s approved by the state.
The software cannot be erased nor does the State of Texas have any sort of regulations that prevent any of our Texas-based users from storing cryptocurrencies on their computers or cellular devices using the Arise Bank platform.
Additionally, the U.S. Securities and Exchange Commission (SEC) is taking Arise Bank to court according to the SEC’s recently filed reports. The U.S. regulatory agency says Arise Bank’s operations are a “fraudulent offering” and none of Arise’s businesses have ever registered with the SEC. The public document details that the ‘decentralized bank’s’ promises were misleading to retail investors.
Additionally Bacon explained in an interview that the Texas Department of Banking has tried to visit Arise Bank’s offices in Dallas but found the physical locations are non-existent.
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