Crypto Assets
Digital Financial Asset Law
On Friday, October 13, 2023, Governor Gavin Newsom signed Assembly Bill 39 and Senate Bill 401, which together create the Digital Financial Assets Law (DFAL). Learn more about the implementation of the new law.
Announcements
- 02/07/2024 - California Secures $1.5 Million Multistate Securities Settlement Against Crypto Platform TradeStation
- 11/21/2023 - Trending Crypto Consumer Complaints
- 11/20/2023 - DFPI Releases First Invitation for Comment for the Digital Financial Assets Law
- 11/16/2023 - DFPI Joins Multiple States, Provinces In Taking Action Against GSPartners for Fraudulent Crypto Investment Scheme
- 10/13/2023 - Governor Newsom Signs AB 39 to Establish Digital Assets Finance Law
Archived announcement
- 09/21/2023 – Crypto Scam Entity “Bitscyber” Impersonating CA DFPI and Using Fraudulent “Ownership Certificate Of Funds” Document to Steal Money
- 08/09/2023 – DFPI Continues Actions To Protect Investors from Crypto Scams
- 07/19/2023 – Investor Alert: False Crypto Bankruptcy Website
- 06/27/2023 – DFPI Orders CryptoFX LLC to Halt Operations, Citing Violations of California Securities Law
- 06/27/2023 – Watch Out for Crypto Affinity Fraud
What We Do
Monitor complaints
When should I contact the DFPI?
Whether your financial loss is $5 or $50,000, you can contact us about your experience with a financial product or service, including crypto assets exchanges, wallets, or ATMs. If you sense something is wrong and you’ve had issues connecting with a service provider, please let us know.
What do I need to provide?
Gather your information before you file your complaint, including your account information, the company or individuals you corresponded with, any contracts and related paperwork and your attempts to resolve any issues.
We never ask for a person’s immigration status or private information like a social security number. If it’s easier, you can also have someone file the complaint on your behalf with express written authorization.
Review complaints
How will my complaint be handled?
If we think an issue can be resolved by reaching out to a financial service provider, we’ll work to get a resolution on your behalf. If the complaint involves activity that we think may be illegal, we’ll send your complaint to our enforcement division who will review and take appropriate next steps, which may involve reaching out to other state and federal agencies or regulatory organizations. While we work to carefully review every complaint, we cannot guarantee that we will be able to resolve your issue.
Stay Safe
Understanding the risks associated with crypto assets puts you in the position to make informed choices about where you put your money.
As the Federal Trade Commission notes, “An investment that may be worth thousands of dollars on Tuesday could only be worth hundreds on Wednesday.”
Don’t put in more money than you can afford to lose.
Crypto assets largely lack the consumer protections, such as deposit insurance and error resolution rights; And even if things go right, you can lose everything since these are speculative investments.
Beware of virtual pyramid
Watch out for scammers or get-rich-quick schemes. Always look for credible sources of information, such as:
Hacking and other cyber risks require vigilance
If something goes wrong, you may have no way to get your money back.
- Change passwords often, and store them safely
- Consider cold storage
- Always ensure a secure internet connection
Social Media Finfluencers – Who Should You Trust?
Think Kim Kardashian has the answers about personal finance? You might want to think twice before taking her advice.
Learn more about Social Media Finfluencers.
We’re Here to Help
“I was locked out of my account and couldn’t access my account. All my funds were withdrawn and I lost everything.”
“I received a message on social media from a stranger. They told me about an investment opportunity and wanted me to sign up on a website. I transferred money via a service I haven’t used before and the stranger is not responding.”
“I received a phone notification that my coins were sold. I did not initiate this and contacted customer service on the mobile trading app, but they never responded. I’ve lost thousands of dollars.”
We understand how devastating financial loss can be for California consumers. That’s why the DFPI is working hard to monitor and respond to complaints while also providing resources to assist you in navigating the risks that come with new financial technologies like crypto assets.
As crypto assets become more popular, industry complaints have followed. The quotes above are similar to actual submissions from California residents who have filed a complaint with us. If you’re experiencing any of these issues, submit a complaint with us today.
Complaints provide valuable insights into problems consumers are experiencing in the marketplace. These complaints help us detect patterns of fraud and abuse that may lead to investigations of business practices.
About Our Department
As the state financial regulator, our Department oversees a host of financial products and services. The Department continuously monitors developments in crypto asset business models and carefully reviews consumer complaints about crypto assets. Complaints can be submitted here, and for more information about our Crypto Unit, please visit dfpi.ca.gov/crypto-unit.
Legal Disclaimer
The content on this page provides general consumer information. It is not legal advice or regulatory guidance and does not modify any existing law or regulation. This information may include links or references to third-party resources or content. We do not endorse the third party or guarantee the accuracy of this third-party information. There may be other resources that serve your needs.
Request for Information (RFI)
February 13, 2023: The Department of Financial Protection and Innovation (DFPI) solicited information about a technology contractor for blockchain and crypto asset-related research, supervision, and investigations. Specifically, this Request for Information (RFI) was seeking information about the types of tasks, methods, and services Contractors can provide, and Contractors’ qualifications to achieve the DFPI’s objectives. Responses to this RFI are now closed.