The California Department of Financial Protection and Innovation (DFPI) has taken action against Blockfi Lending LLC, revoking its finance lending license due to violations under California’s Financing Law (CFL). The company agreed to the revocation and to halt certain practices that were considered harmful.
These practices included failing to assess borrowers’ repayment ability, charging interest before disbursement, and neglecting to provide proper documentation for the loans. Blockfi has acknowledged the issues and agreed to improve its lending practices moving forward.
