25.02.2025 11:20
While the collapse at Borsa İstanbul in Turkey has become a hot topic, global markets are focused on the $505 million fine imposed on the operator of the OKX cryptocurrency exchange in the United States.
The cryptocurrency markets, frequently in the spotlight for money laundering, are under the radar of the U.S. Department of Justice. The operator of the OKX cryptocurrency exchange, Aux Cayes FinTech Co, has been found guilty of violating U.S. anti-money laundering laws. The company stated that it will pay a fine of approximately $505 million and forfeit lost fees.
SEYCHELLES, CONSIDERED A TAX HAVEN
Aux Cayes FinTech Co, based in Seychelles, admitted to operating an unlicensed money transfer business. The company made its defense during a hearing before U.S. District Judge Katherine Polk Failla in Manhattan.
OKX, THE FOURTH LARGEST SPOT EXCHANGE IN THE WORLD
According to CoinMarketCap, OKX ranks as the fourth largest cryptocurrency spot exchange in the world based on traffic, liquidity, trading volumes, and the trust in the legitimacy of reported trading volumes.
SEVERE ALLEGATIONS FROM PROSECUTORS
Prosecutors stated that OKX violated its own policy by allowing users in the U.S. to use the platform from 2018 until early 2024. Additionally, it was alleged that the exchange played a role in laundering over $5 billion in suspicious transactions and criminal proceeds.
$1 TRILLION IN TRANSACTIONS AND HUNDREDS OF MILLIONS IN PROFITS
Authorities expressed that OKX customers conducted transactions totaling over $1 trillion, and the exchange earned hundreds of millions of dollars in fees and profits from these transactions.
ALLEGATION OF INSTRUCTING USERS TO CIRCUMVENT RESTRICTIONS
Prosecutors also claimed that OKX sometimes encouraged customers to circumvent access restrictions to the platform. It was alleged that an employee suggested to a customer to claim they were based in the United Arab Emirates by using random numbers for identity verification.