Abra Insolvent Since March
Abra, a cryptocurrency wallet and exchange, has been insolvent since March of 2020, according to the Texas State Securities Board. The board issued an emergency cease and desist order against Abra on March 26, 2020, alleging that the company had been operating an unregistered cryptocurrency exchange and had been offering unregistered securities.
The cease and desist order also alleged that Abra had misled investors about the security of their funds. The board stated that Abra had failed to maintain sufficient funds to cover customer deposits, leading to the company becoming insolvent.
The Texas State Securities Board has ordered Abra to stop all operations and to return all customer funds. Abra has yet to comply with the order and the company remains insolvent.
Texas Securities Regulator Cease and Desist
The Texas State Securities Board has issued a cease and desist order to Abra, citing the company’s insolvency and failure to comply with state securities laws. The order, which was issued on March 22, 2021, states that Abra has been insolvent since March 1, 2021, and has failed to comply with the Texas Securities Act and other applicable laws.
The order requires Abra to cease and desist from any further offers or sales of securities in Texas and to immediately stop all activities related to the offer or sale of securities in the state. The order also requires Abra to provide the Texas Securities Board with a complete list of all investors in Texas, as well as a full accounting of all funds received from investors in the state.
The Texas Securities Board has also ordered Abra to provide a full accounting of all funds received from investors in Texas, as well as a full accounting of all funds disbursed by the company. The company has been given until April 6, 2021 to comply with the order.
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