State regulators alleged that Block Inc., the operator of Cash App, made false promises about the security of its platform, prompting a coordinated enforcement action across nearly every U.S. state. The company has agreed to pay $45 million to resolve the allegations. The settlement reflects growing scrutiny of financial technology firms and their compliance with consumer protection and anti-money-laundering standards. Cash App, one of the most widely used payment applications in the United States, also supports bitcoin transactions, placing it under overlapping oversight from state financial authorities. The payout closes the multistate probe without requiring the company to admit wrongdoing in most such settlements. The case underscores regulators' increasing focus on how payment and crypto-enabled platforms represent their safeguards to users, and could influence how similar firms disclose security practices going forward.
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