Securities regulators in Texas and Alabama have started investigating Voyager and Celsius, the embattled crypto companies that went underwater during the recent market turmoil. According to a recent report from Bloomberg, regulators from both Texas and Alabama are now determining whether Voyager and Celsius correctly disclosed material information on loans and the credit status of its borrowers. The regulators will also look into potential cases of improper risk disclosure. Securities Regulators Looks Into Voyager and Celsius State regulators began to investigate Celsius and Voyager in mid-June and early July, shortly after both the platforms suspended services. While talking to the publication, Joe Rotunda, director of enforcement at the Texas State Securities Board, said, “What we’re seeing now is that a lot of these crypto-lending firms may not have fully disclosed what they were doing on the backside with investors’ money. The risks associated with those types of lending practices, or even the other types of transactions they are engaging in.” Various other crypto companies have also suspended withdrawals, including Vauld, CoinFLEX, and Babel Finance. Three Arrows Capital, meanwhile, has filed for bankruptcy. State of Voyager and Celsius Celsius abruptly halted withdrawals on June 13 after facing a liquidity crisis. While Celsius is fighting against bankruptcy, it was recently hit with a lawsuit that accuses the firm of or...