Per a report from the New York Times (NYT), crypto exchange Coinbase (COIN) reached an agreement with the New York Department of Financial Services (NYDFS). The company will pay around $100 million to improve its account and background checks.
Half of the settlement will go into paying a $50 million fine. The report claims the additional $50 million will improve the company’s compliance program. The financial regulator determined that Coinbase allowed bad actors to use its platform to launder money.
Coinbase Has To Meet The Same Standard As U.S. Banks
The crypto exchange has been under investigation by the NYDFS since at least 2021, but the holes in their compliance mechanism have been detected since 2020. The financial regulator found issues with the company’s anti-money laundering controls dated “as far back as 2018,” the NYT said.
At that time, the crypto exchange committed to hiring an independent firm to fix the…
