US Accuses KuCoin of Laundering $9M

The DOJ has charged KuCoin and two of its founders, Chun Gan and Ke Tang, for violating anti-money laundering laws.

According to the indictment unveiled on Tuesday, KuCoin failed to maintain a suitable anti-money laundering program and to follow proper procedures for verifying customers’ identities and reporting suspicious activities.

The exchange is accused of intentionally evading US regulations by misrepresenting its lack of US customers, despite having a significant customer base in the country.

The government also alleges that KuCoin allowed over $9 billion to be laundered through its platform.

US Attorney Damian Williams of the Southern District of New York stated that KuCoin, with its large customer base, became one of the world’s leading exchanges for cryptocurrency derivatives and spot trades, with billions of dollars in daily trades and trillions in annual trade volume.