From what I can discern from their website they are not allowed to offer interest bearing accounts in NY [1] which contradicts your claim.
> Unfortunately we're unable to offer the interest account in NY.
> We're hopeful that some of the state rules and regulations surrounding crypto change in the near future so we will be able to offer our interest account in those states. Unfortunately BlockFi's hands are tied until those rules and regulations change as we take our Compliance extremely seriously.
> Unfortunately we're unable to offer the interest account in NY.
> We're hopeful that some of the state rules and regulations surrounding crypto change in the near future so we will be able to offer our interest account in those states. Unfortunately BlockFi's hands are tied until those rules and regulations change as we take our Compliance extremely seriously.
[1] https://help.blockfi.com/hc/en-us/articles/360049344531-Why-...