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Oregon joins 25 other states, SEC in $3 million settlement with TradeStation crypto program

Feb. 7, 2024

Salem – The Oregon Division of Financial Regulation (DFR), along with a taskforce of state securities regulators, and the U.S. Securities and Exchange Commission (SEC) announced a $3 million settlement in principle with TradeStation Crypto, Inc. over its unregistered crypto interest earning program. The settlement resolves allegations that TradeStation violated state and federal securities laws by offering and selling securities without proper registration or disclosure to investors.

The settlement stems from a comprehensive investigation led by state securities regulators in Alabama, California Mississippi, North Carolina, Ohio, South Carolina, Washington, and Wisconsin and coordinated under the auspices of the North American Securities Administrators Association (NASAA) enforcement section committee.

“This settlement sends a clear message that crypto-related businesses must comply with state securities laws or face serious consequences," said DFR Administrator TK Keen. “DFR is committed to protecting investors and the integrity of the financial markets from those who do not comply with our requirements."

TradeStation, a Florida corporation formed in 2018, provides crypto-asset-related financial services to retail and institutional customers in the U.S., including investing and trading services. From around August 2020 to June 2022, TradeStation offered a crypto interest earning program to U.S. investors. Under this program, investors could passively earn interest on crypto assets by loaning them to TradeStation. TradeStation maintained total discretion over the revenue-generating activities utilized to earn returns for investors. The company offered and promoted its crypto interest earning program in the U.S. via its website and various platforms.

TradeStation is alleged to have failed to comply with state registration requirements and, as a result, investors were sold unregistered securities in violation of state laws and additionally were deprived of critical information and disclosures necessary to understand the potential risks of TradeStation's crypto interest earning program.

For the states participating in the settlement, TradeStation will pay a fine of $29,411.76 each and cease offering, selling, or renewing its crypto interest earning program until such activities are compliant with applicable state and federal securities laws. TradeStation has repaid investors, including interest and earnings.

DFR urges investors to exercise caution when dealing with crypto-related businesses and to report any suspicious activities to one of our consumer advocates, who can be reached at 888-877-4894 (toll-free) or


About Oregon DFR: The Division of Financial Regulation is part of the Department of Consumer and Business Services, Oregon's largest business regulatory and consumer protection agency. Visit and

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Jason Horton