The Texas State Securities Board has released a statement saying it has obtained an emergency cease-and-desist order against USI-Tech Limited, as they believe the company is unlawfully selling bitcoin mining investment products within the state.

Interest in bitcoin has increased rapidly as large price rises have propelled it into the mainstream, and it is alleged that the company has been attempting to sell investment contracts using websites, social media channels, and posts on sites such as Craigslist.

The Securities Board say that the company claims to offer daily returns on a steady basis, using a structure which is reminiscent of high-yield investments. According to a presentation on LinkedIn dated April 2017, USI-Tech Limited is centred on the sale of Bitcoin software which can be used for trading or mining. The presentation also mentions how investors can earn a commission based on the number of people they refer into the program.

According to the statement made by the Texas State Securities Board, those persons named in the order are accused of violating state securities registration standards, as well as failing tofully disclose the risks associated with bitcoin mining. An investor would need to know these in order to make an informed decision regarding any potential investment.