Robinhood subpoenaed by SEC over crypto listings and custody

Robinhood Markets has confirmed that it had acquired an investigative subpoena from the US Securities Trade Fee (SEC) over its digital asset enterprise’ crypto listings, custody and platform operations.

In a 10-Okay submitting, the brokerage stated it acquired the investigative subpoena in December shortly after crypto trade FTX filed for chapter in November, and after “a number of different main cryptocurrency buying and selling venues and lending platforms earlier in 2022,” together with Three Arrows Capital, Voyager Digital Holdings and Celsius Community.

The investigative subpoena was in relation to its cryptocurrency listings and custody companies, which they stated got here in response to the crypto bankruptcies final 12 months:

“In December 2022, following the 2022 Crypto Bankruptcies, we acquired an investigative subpoena from the SEC concerning, amongst different subjects, RHC’s supported cryptocurrencies, custody of cryptocurrencies, and platform operations.”

Robinhood stated it had additionally acquired subpoenas from the California Lawyer Basic’s Workplace looking for details about its crypto arm’s buying and selling platform, enterprise and operations, custody of buyer property and coin listings. 

The brokerage has additionally been subjected to regulatory examination by the New York District of Monetary Providers (NYDFS) and Massachusetts Securities Division (MSD) previously.

Investigative subpoenas are issued by a court docket on the request of one other particular person or entity for the needs of acquiring the knowledge essential to resolve whether or not to pursue authorized motion in opposition to the subpoenaed particular person or entity.

Cointelegraph reached out to Robinhood however the agency declined to touch upon the matter.

It is a creating story and extra info will probably be added because it turns into obtainable.