CDS Crypto News Poloniex Will Pay $7.59 Million to Resolve Claims of Sanctions Violation
Crypto News

Poloniex Will Pay $7.59 Million to Resolve Claims of Sanctions Violation

Poloniex Will Pay $7.59 Million to Resolve Claims of Sanctions Violations

In response to accusations of many sanctions violations, cryptocurrency exchange Poloniex has agreed to pay a $7.59 million settlement to the Office of Foreign Asset Control (OFAC) of the U.S. Treasury Department.

Poloniex Will Pay $7.59 Million to Resolve Claims of Sanctions Violations

The exchange, which is connected to Justin Sun, the founder of Tron, was found to have violated nearly 66,000 different sanctions regimes between January 2014 and November 2019, allowing users from the Crimea, Cuba, Iran, Sudan, and Syria to conduct transactions worth about $15 million. Bill Hughes, a lawyer, tweeted the details on his Twitter account.

OFAC noted that some people from Iran, Cuba, Sudan, Crimea, and Syria continued to conduct digital asset transactions on the platform despite the exchange’s efforts to identify and restrict accounts linked to these countries.

About Penalty

OFAC took into account mitigating circumstances, such as the exchange’s status as a tiny startup during the majority of the alleged violations and Circle’s initiative to improve the sanctions compliance program while in control of the business, when calculating the severity of the penalty. Moreover, the reduced fine imposed on the cryptocurrency exchange was also influenced by Circle and Poloniex’s cooperation with OFAC throughout the inquiry.

About the Exchange

The exchange was once owned by American cryptocurrency firm Circle but is now controlled by several people, including Tron founder Justin Sun. A sanctions compliance program was not formed until May 2015, even though Poloniex began operating in January 2014. Furthermore, this program did not apply retroactively, allowing current users from authorized areas to continue using the platform.


Written by

Lectertodd is 25 years old. She graduated from Çankaya University, Department of Psychology, in 2021. She actively works as a writer, translator, and editor for various websites. Moreover, she loves reading, researching, and learning new things.

Leave a comment

Leave a Reply

Related Articles

1 march Crypto News: Stay updated with today’s crypto news and developments

Looking to stay informed about the latest in the crypto world? Here's...

In 2024, AI Coins Showcase Impressive Returns: A Comparative Analysis with Meme Coins

As of now, the market capitalization of Artificial Intelligence (AI) coins totals...

A 621 million Dollars Bitcoin transfer departs from a major exchange into undisclosed ownership

A $621 million Bitcoin transfer originating from the major exchange Coincheck has...

The Worldcoin token experiences a 5% decline amidst Elon Musk’s legal action against OpenAI

The value of Worldcoin's WLD token experienced a decline of approximately 5%...