cryptoknowmics.com
In a major crackdown, KuCoin has pleaded guilty to violating U.S. anti-money laundering (AML) laws, agreeing to pay $297 million in fines and exit the U.S. market for at least two years. The China-based crypto exchange admitted to operating an unlicensed money-transmitting business and failing to implement proper know-your-customer (KYC) protocols.
Billions in Suspicious Transactions
According to the U.S. Attorney’s Office, KuCoin processed over $5 billion in illicit funds and transmitted more than $4 billion in suspicious transactions. The exchange allegedly facilitated transactions tied to darknet markets, ransomware attacks, and fraud schemes. [embed]https://twitter.com/BC_KuCoin/status/1884016323392581756[/embed] Danielle Sassoon, U.S. Attorney for the Southern District of New York, emphasized the consequences, stating: "Today’s guilty plea and penalties show the cost of refusing to follow these laws and allowing unlawful activity to continue."
KuCoin’s Exit from the U.S. and Leadership Change
As part of the settlement, KuCoin will withdraw from the U.S. market for at least two years and register with FinCEN to comply with financial regulations. Additionally, KuCoin's co-founder and CEO, Chun Gan (Michael), has stepped down, passing leadership to BC Wong. This case highlights the growing scrutiny of crypto exchanges and the U.S. government's commitment to enforcing financial compliance in the digital asset space. Disclaimer: The views and opinions expressed in this article are for informational purposes only and do not constitute financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.