Alerts5.16.22

Founders Personally Liable For Failure to Register Cryptocurrency Trading Platform, Court Says

crypto

If a crypto trading platform fails to identify U.S. customers and screen, monitor, and report participants and transactions pursuant to CFTC and FinCEN rules, individuals can be personally liable

The Commodity Futures Trading Commission (CFTC) recently announced that the U.S. District Court for the Southern District of New York entered consent orders against three co-founders of a cryptocurrency derivatives trading platform for $30 million in personal civil monetary penalties. This is not the first time the platform has been cited.

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