KuCoin to Disburse $300 Million and Withdraw from U.S. Market Under Approved Settlement

The parent company of the cryptocurrency exchange KuCoin has acknowledged liability in a legal matter with the U.S. Department of Justice (DOJ), agreeing to pay approximately $300 million in fines and withdraw from the U.S. market for a period of two years as part of the agreement.

The DOJ stated that Peken World Ltd, a company registered in Seychelles, pleaded guilty to providing financial services in the United States without a license through KuCoin, the platform it operates.

Under the terms of the settlement, KuCoin will pay $112.9 million in fines and reimburse the government $184.5 million in profits derived from serving U.S. customers. Additionally, KuCoin will cease operations in the U.S. for at least two years.

As part of the settlement, the exchange’s founders, Chun Gan and Ke Tang — also known as Michael Gan and Eric Tang — are required to pay $2.7 million and resign from all management roles at KuCoin. Criminal proceedings against them in the U.S. have been paused for two years.

KuCoin representatives confirmed the settlement with U.S. regulators, assuring users that it will not affect the exchange’s operations in other markets. Michael Gan announced that the position of CEO will be assumed by the exchange’s current CLO, BC Wong. He also highlighted that, following the resolution of legal issues in the U.S., KuCoin plans to focus entirely on global expansion.

In March 2024, the U.S. Attorney’s Office for the Southern District of New York filed criminal charges against KuCoin and its founders, accusing them of conspiracy to conduct illegal money transfers, violating the Bank Secrecy Act (BSA), failing to comply with AML regulations, and operating an unlicensed business.

Сообщение KuCoin to Pay $300 Million and Exit U.S. Market Below Authorized Settlement появились сначала на CoinsPaid Media.