KuCoin Suspends Operations for Two Years After $300M Settlement

KuCoin has agreed to a $300 million settlement with U.S. authorities for operating without a license, marking a major shake-up for the exchange.

As part of the deal, the company will forfeit $184.5 million, pay $112.9 million in fines, and suspend U.S. operations for two years.

Its founders, Michael Gan and Eric Tang, will resign and forfeit $2.7 million in assets, with BC Wong stepping in as CEO.

The settlement follows allegations that KuCoin failed to implement required AML and KYC protocols and did not register with FinCEN.

Despite the setback, KuCoin assured users that its global operations remain unaffected and emphasized recent compliance and security improvements.

This action is part of a broader regulatory crackdown on the crypto industry, with U.S. regulators collecting over $19 billion in settlements from crypto firms in 2024. KuCoin’s case highlights the increasing focus on compliance and accountability in the cryptocurrency sector.