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💥🎉😱💸#OKX Fined $504M After Admitting to Unlicensed US Transactions🚨🔥💯
Cryptocurrency exchange OKX, through its affiliate Aux Cayes FinTech Co. Ltd, has pleaded guilty to operating an unlicensed money-transmitting business in the United States. The exchange admitted to facilitating over $1 trillion in transactions for U.S. customers without proper regulatory approval. As a result, OKX has agreed to pay a staggering $504 million in penalties, including fines and forfeitures, following a settlement with federal prosecutors. U.S. District Judge Katherine Polk Failla imposed the penalties during a Manhattan federal court hearing on Monday.
In a statement issued on February 24, OKX acknowledged that certain U.S.-based users had accessed its global platform due to historical compliance shortcomings. However, the exchange emphasized that these customers represented only a small fraction of its total user base and that all U.S. accounts had since been removed. The Seychelles-based firm also highlighted that no customer harm was alleged and that no charges were brought against any OKX employees. Despite this, federal authorities criticized the platform’s actions, with Acting U.S. Attorney Matthew Podolsky accusing the exchange of knowingly violating Anti-Money Laundering (AML) laws and facilitating over $5 billion in suspicious transactions linked to criminal activities.
FBI Assistant Director in Charge James E. Dennehy further condemned OKX’s practices, stating that the company encouraged users to provide false information to bypass compliance measures. He reaffirmed that U.S. law enforcement would not tolerate financial institutions that disregard regulations. According to the Department of Justice, these violations occurred between 2018 and early 2024, despite OKX having officially restricted U.S. users since 2017. The case underscores the increasing scrutiny on cryptocurrency exchanges operating within U.S. jurisdictions without proper authorization.
#CryptoRegulation #OKXPenalty #CryptoCompliance #USLaw #FinancialCrime
Cryptocurrency exchange OKX, through its affiliate Aux Cayes FinTech Co. Ltd, has pleaded guilty to operating an unlicensed money-transmitting business in the United States. The exchange admitted to facilitating over $1 trillion in transactions for U.S. customers without proper regulatory approval. As a result, OKX has agreed to pay a staggering $504 million in penalties, including fines and forfeitures, following a settlement with federal prosecutors. U.S. District Judge Katherine Polk Failla imposed the penalties during a Manhattan federal court hearing on Monday.
In a statement issued on February 24, OKX acknowledged that certain U.S.-based users had accessed its global platform due to historical compliance shortcomings. However, the exchange emphasized that these customers represented only a small fraction of its total user base and that all U.S. accounts had since been removed. The Seychelles-based firm also highlighted that no customer harm was alleged and that no charges were brought against any OKX employees. Despite this, federal authorities criticized the platform’s actions, with Acting U.S. Attorney Matthew Podolsky accusing the exchange of knowingly violating Anti-Money Laundering (AML) laws and facilitating over $5 billion in suspicious transactions linked to criminal activities.
FBI Assistant Director in Charge James E. Dennehy further condemned OKX’s practices, stating that the company encouraged users to provide false information to bypass compliance measures. He reaffirmed that U.S. law enforcement would not tolerate financial institutions that disregard regulations. According to the Department of Justice, these violations occurred between 2018 and early 2024, despite OKX having officially restricted U.S. users since 2017. The case underscores the increasing scrutiny on cryptocurrency exchanges operating within U.S. jurisdictions without proper authorization.
#CryptoRegulation #OKXPenalty #CryptoCompliance #USLaw #FinancialCrime
OKX Caught in $5B Illegal Transactions Scandal, Settles for $504M
Seychelles-based cryptocurrency exchange OKX has pleaded guilty to violating U.S. anti-money laundering (AML) laws and will pay a $504 million fine, according to a statement from the U.S. Attorney’s Office. The settlement comes after authorities accused the exchange of illegally facilitating over $5 billion in trades for U.S. users between 2017 and 2024.
OKX Accused of Aiding U.S. Users in Bypassing Restrictions
Federal prosecutors allege that despite publicly claiming to restrict U.S. users, OKX actively encouraged American traders to use its platform and even provided guidance on bypassing identity verification checks.
According to the lawsuit, OKX employees instructed users to provide fake information during the account registration process. In one instance, an employee allegedly advised a U.S. trader to list a false country of residence and enter random ID numbers to complete verification.
Acting U.S. Attorney Matthew Podolsky said in a statement that OKX "flagrantly violated U.S. law" and enabled billions in suspicious transactions.
$504 Million Settlement Follows Binance Case
The $504 million penalty marks one of the largest fines imposed on a crypto exchange for AML violations.
The case follows a similar crackdown on Binance, which paid a record $4.3 billion fine last year for failing to comply with U.S. financial laws. Binance’s founder, Changpeng "CZ" Zhao, also served a four-month jail sentence as part of the settlement.
Regulatory Scrutiny Increases on Crypto Exchanges
The OKX case underscores growing regulatory pressure on crypto firms operating in the U.S. without proper authorization.
Authorities have warned that offshore exchanges must comply with AML regulations or face legal action. The settlement is expected to have long-term consequences for OKX’s global operations, with increased oversight likely from financial watchdogs.
The post appeared first on CryptosNewss.com
#OKXExchange #OKXPenalty $BTC
OKX Accused of Aiding U.S. Users in Bypassing Restrictions
Federal prosecutors allege that despite publicly claiming to restrict U.S. users, OKX actively encouraged American traders to use its platform and even provided guidance on bypassing identity verification checks.
According to the lawsuit, OKX employees instructed users to provide fake information during the account registration process. In one instance, an employee allegedly advised a U.S. trader to list a false country of residence and enter random ID numbers to complete verification.
Acting U.S. Attorney Matthew Podolsky said in a statement that OKX "flagrantly violated U.S. law" and enabled billions in suspicious transactions.
$504 Million Settlement Follows Binance Case
The $504 million penalty marks one of the largest fines imposed on a crypto exchange for AML violations.
The case follows a similar crackdown on Binance, which paid a record $4.3 billion fine last year for failing to comply with U.S. financial laws. Binance’s founder, Changpeng "CZ" Zhao, also served a four-month jail sentence as part of the settlement.
Regulatory Scrutiny Increases on Crypto Exchanges
The OKX case underscores growing regulatory pressure on crypto firms operating in the U.S. without proper authorization.
Authorities have warned that offshore exchanges must comply with AML regulations or face legal action. The settlement is expected to have long-term consequences for OKX’s global operations, with increased oversight likely from financial watchdogs.
The post appeared first on CryptosNewss.com
#OKXExchange #OKXPenalty $BTC
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