According to TechFlow, according to Texas regulators, crypto lending company Abra, which once handled more than $116 million in assets, was allegedly involved in securities fraud and has been insolvent since March 31.
In a June 15 enforcement action — which included an emergency cease and desist order — the Texas Securities Board charged Abra and its founder, William Barhydt, with securities fraud and deceptive promotion of investment product sales through its affiliates, Abra Earn and Abra.
“The alleged misconduct included the deliberate concealment of financial information reflecting the parties’ capitalization, loan defaults, and transfers of assets to Binance,” the regulator said.
