Abra is a platform where people can invest in cryptocurrencies, which are digital forms of money like Bitcoin. These digital currencies have become very popular, but because they are still new, there are many rules and regulations about how companies can offer them to people. Companies need special licenses to operate legally and to ensure they are protecting their customers' money properly.

The authorities found out that Abra had been offering its services without having these required licenses. This means they were not following the rules set by the states to protect investors. The settlement with the 25 states means that Abra and its CEO have agreed to pay fines and take steps to get the proper licenses to continue operating.

Bill Barhydt, the CEO of Abra, agreed to the settlement, which includes paying penalties. This agreement is important because it shows that even companies dealing in new forms of money like cryptocurrencies must follow the laws to ensure they are operating fairly and safely.

When companies operate without proper licenses, it can be risky for the people who invest their money with them. The rules and regulations are there to protect investors from losing their money to fraud or other issues. By not having the necessary licenses, Abra was not following these important safety measures.

The settlement also means that Abra will now work to get the proper licenses, which will allow them to operate legally in all the states where they offer their services. This process involves meeting various requirements set by the financial authorities to ensure they are running their business properly.

This case is a reminder to everyone who invests in cryptocurrencies to be careful and make sure that the platforms they use are operating legally. It's always a good idea to check if a company has the necessary licenses and follows the rules set by financial authorities. This can help protect your investment and ensure that you are dealing with a legitimate and safe company.