The FDIC’s broader alert follows the struggle between Voyager Digital and US authorities

The US Federal Deposit Insurance Corporation has warned financiers of the need to maintain control of its associated cryptocurrency, a day after it demanded that Voyager Digital withdraw its claims that consumer money will be secured by state security.

According to a letter from the FDIC to banks released on Friday, the organization, which maintains an insurance fund to repay depositors in the event of its own banks failing, is not extending this guarantee to bankrupt bitcoin firms using those banks.

According to FDIC guidelines, an authorized lender can have legal repercussions if a crypto bank partner “makes misrepresentations about the type and scope of deposit insurance.”

This week, the Federal Insurance Corporation (FDIC) and the Federal Reserve accused Voyager CEO Stephen Ehrlich of misleading consumers about protecting their assets by claiming that they would be protected by Voyager’s bankruptcy deposit insurance.

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The letter came too late for Voyager consumers, who are currently struggling to get their money back as the company faces bankruptcy court.

In New York, the Metropolitan Commercial Bank is insured by the Federal Insurance Corporation (FDIC), but only in the event of Metropolitan Bankruptcy, not Voyager.

The FDIC is now warning banks, such as Metropolitan, of their responsibility to monitor any potential claims made by their trading partners.

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