KuCoin founders Eric Tang and Michael Gen have resigned and agreed to an almost $300 million settlement after pleading guilty to operating an unlicensed money-transmitting business.
The January 27th settlement includes a forfeiture of $184.5 million and a $112 million fine, addressing charges of failing to implement anti-money laundering and Know Your Customer protocols. As part of the agreement, KuCoin will also leave the U.S. market for two years.
The exchanged was charged by the U.S. Department of Justice and Commodity Futures Trading Commission last year. Previously, KuCoin was forced to stop trading securities and commodities in New York, refunding local investors more than $16.7 million and paying over $5 million to the state.
Despite the latest settlement, KuCoin has reassured its 38 million global users that its international operations will continue without disruption. BC Wong, who is KuCoin's new chief executive, said, "This resolution signifies a new chapter for KuCoin, one that reaffirms our dedication to compliance, security, and innovation."
Today marks a significant milestone for KuCoin and the crypto community. I’m proud to share that we’ve reached a settlement with U.S. authorities, providing clarity for our future growth.
— BC Wong (@BC_KuCoin) January 27, 2025
This moment is not just about resolving challenges—it’s about looking ahead with renewed… pic.twitter.com/YjVVdVA9s6