The Federal Deposit Insurance Corporation (FDIC) recently issued an advisory that clarified the scope of its insurance. The agency stressed that while it insures deposits held in insured banks, the coverage does not include deposits or investments held by non-bank entities including crypto firms. The FDIC issued the advisory to clarify the scope of its deposit insurance. Apparently, some crypto firms were making claims that the products they offer are insured by the agency, which led customers to believe that the funds they placed with the crypto firms are safe. Over the past several…
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