New York AG orders two unregistered crypto lenders to shut down

• James' office argued that virtual currency lending products are considered securities under the state's Martin Act, which requires companies offering such financial services to register with the attorney general's office in order to do business with New Yorkers.

What they're saying: "Cryptocurrency platforms must follow the law, just like everyone else, which is why we are now directing two crypto companies to shut down and forcing three more to answer questions immediately,” said James said in a statement.

• “My office is responsible for ensuring industry players do not take advantage of unsuspecting investors. We’ve already taken action against a number of crypto platforms and coins that engaged in fraud or that illegally operated in New York," she added.

Go deeper: Dueling visions of U.S. cryptocurrency regulation