The California attorney general’s office announced a $500,000 settlement with Fidelity Digital Asset Services to resolve allegations that the company restricted customers’ ability to withdraw certain cryptocurrencies.
The attorney general’s office said those past restrictions violated the California Commodity Law’s commodity contract ban; the office said FDAS did not allow withdrawals during its first two years of operation while it awaited permission from the New York Department of Financial Services.
The office said NYDFS granted permission in April 2025 and FDAS enabled withdrawal capabilities at that time; FDAS has disputed that it violated California law.
Attorney General was quoted as saying, "Investors have a legal right to full, unrestricted access to what they buy," and his statement adds that the office will "continue to hold cryptocurrency platforms to the exact same standards of transparency, safety, and accountability as any other financial institution."
The department said the inquiry followed a September 2024 settlement with Robinhood Crypto and that the Corporate Fraud Section investigates and prosecutes complex financial wrongdoing to protect investors and state programs.
State
Rob Bonta
Attorney General · Democrat
Named 2 times in this story.
Portrait: Official portrait
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