Coinbase's CBPL Fined £4.5 Million for Lapses in Money Laundering Controls
Thursday, 25 July 2024, 11:40
Overview of the Fine
The UK Financial Conduct Authority (FCA) has recently imposed a fine of £4.5 million on Coinbase's subsidiary CBPL due to significant shortcomings in its money laundering controls.
Issues Identified
- CBPL onboarded 13,416 high-risk customers without adequate controls.
- The FCA expressed concerns over compliance with anti-money laundering regulations.
Conclusion
This fine reflects the continuing challenges faced by cryptocurrency platforms in maintaining compliance with financial regulations. As regulatory scrutiny increases, it is essential for firms to enhance their risk management frameworks to avoid punitive measures and ensure long-term sustainability.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.