Financial Code section 3401

For the purpose of this chapter, “enforcement measure” means an action that includes, but is not limited to, all of the following:

(a)

Suspend or revoke a license under this division.

(b)

Order a person to cease and desist from doing digital financial asset business activity with, or on behalf of, a resident.

(c)

Request the court to appoint a receiver for the assets of a person doing digital financial asset business activity with, or on behalf of, a resident.

(d)

Request the court to issue temporary, preliminary, or permanent injunctive relief against a person doing digital financial asset business activity with, or on behalf of, a resident.

(e)

Assess a penalty under Section 3407.

(f)

Recover on the security under Section 3207 and initiate a plan to distribute the proceeds for the benefit of a resident injured by a violation of this division, or law of this state other than this division that applies to digital financial asset business activity with, or on behalf of, a resident.

(g)

Impose necessary or appropriate conditions on the conduct of digital financial asset business activity with, or on behalf of, a resident.

(h)

Seek restitution on behalf of a resident if the department shows economic injury due to a violation of this division.

Source: Section 3401, https://leginfo.­legislature.­ca.­gov/faces/codes_displaySection.­xhtml?lawCode=FIN§ionNum=3401.­ (accessed May 14, 2025).

Last Updated

May 12, 2025

§ 3401’s source at ca​.gov