Fed Brings Enforcement Action Against FTX-Linked Farmington State Bank

  • Cease-and-desist order sent to bank and its holding company
  • Lender directed to take series of actions as it winds down

Sam Bankman-Fried, co-founder of FTX Cryptocurrency Derivatives Exchange

Photographer: Victor J. Blue/Bloomberg
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The US Federal Reserve took enforcement action against Farmington State Bank, a lender with ties to failed crypto firm FTX, and its holding company, FBH Corp.

The Federal Reserve Board issued a cease-and-desist order against the firms and directed them to take a number of actions as Farmington closes its business — including preserving records and not acquiring any additional brokered deposits.