Coinbase to pay $100 million to settle New York state investigation
United States-based cryptocurrency exchange Coinbase Global Inc has reached a $100 million settlement with New York's Department of Financial Services (DFS), the exchange and the regulator said in statements on Wednesday.
The settlement, which includes a $50-million penalty, caps the regulator's investigation into the firm's compliance with requirements to prevent money laundering.
DFS found Coinbase treated its onboarding requirements for customers as a "simple check-the-box" and had not done sufficient background checks, DFS said in a statement.
The firm has taken "substantial measures" to address what it called "historical shortcomings," Paul Grewal, Coinbase's chief legal officer, said in a statement.
Coinbase will pay another $50 million to boost compliance efforts aimed at blocking potential criminals from using the exchange, it said. The deal also requires Coinbase to work with a third-party monitor.
The New York Times first reported the settlement.
Read more on moneycontrol.com
