Sept 4 (Reuters) - A cryptocurrency platform run by

Robinhood Markets ( HOOD ) will pay $3.9 million to settle

claims it failed to let customers withdraw cryptocurrency from

their accounts from 2018 to 2022, California Attorney General

Rob Bonta said on Wednesday.

The civil settlement with Robinhood Crypto is the first

public action by Bonta's office against a cryptocurrency

company.

Bonta said Robinhood violated California law by failing

to deliver cryptocurrencies that its customers had bought,

leaving customers unable to withdraw their assets and forcing

them to sell the assets to exit the platform.

The attorney general said Robinhood also misled

customers about where their crypto assets were held, and by

advertising it would connect customers to multiple trading

venues to ensure they got competitive prices.

Robinhood did not admit or deny wrongdoing. The

settlement also requires the platform to let customers withdraw

crypto assets to their own wallets, and honor its

representations about its trading and order handling practices.

Lucas Moskowitz, Robinhood's general counsel, in a statement

said the Menlo Park, California-based company was pleased to

settle, and looked forward to making cryptocurrency "more

accessible and affordable to everyone."

In a separate statement, Bonta said the settlement

"should send a strong message: whether you're a brick-and-mortar

store or a cryptocurrency company, you must adhere to

California's consumer and investor protection laws."

Robinhood shares rose 12 cents to $19.23 in after-hours

trading.