Crypto lending platform BlockFi has recently announced its intention to confidentially file an S-1 application with the US Securities and Exchange Commission (SEC) for the BlockFi Yield (BY) product, as stated in the press release.
The company CEO Zac Prince said:
“We have always known that active engagement with regulators will be critical to the adoption of financial services based on cryptocurrencies. Today’s milestone is yet another example of our pioneering efforts to ensure regulatory clarity.”
According to the announcement, existing BIA savings account holders will continue to earn interest, “but will not be able to add new assets to their accounts from February 14, 2022.”
United States citizens will lose the ability to open new BIAs. Once approved by the SEC, they will be replaced by BlockFi Yield “unless the client specifies otherwise.” The company said:
“Today’s decision does not apply to BIA of BlockFi customers outside of the United States.”