On March 5, 2024, the U.S. Securities and Exchange Commission (“SEC”) announced charges and a corresponding cease-and-desist order (the “Order”) with ShapeShift AG, a cryptocurrency exchange registered in Switzerland that...more
On February 7, 2024, the U.S. Securities and Exchange Commission (“SEC”) announced charges and a related cease-and-desist order (the “Order”) against TradeStation Crypto, Inc. (“TradeStation”) for failing to register the...more
2/28/2024
/ Crypto Exchanges ,
Cryptocurrency ,
Digital Platforms ,
Digital Wallets ,
Enforcement Actions ,
Failure to Comply ,
Fines ,
Investment Contract ,
Investment Platforms ,
NASAA ,
Offerings ,
Penalties ,
Securities Regulation ,
Securities Violations ,
Unregistered Securities
On December 23, 2023, BarnBridge DAO (“BarnBridge”) and its founders, Tayler Ward and Troy Murray, agreed to settle charges with the U.S. Securities and Exchange Commission (“SEC”). BarnBridge violated Sections5(a) and 5(c)...more
2/1/2024
/ Blockchain ,
Cryptoassets ,
Cryptocurrency ,
Decentralized Autonomous Organization (DAO) ,
Decentralized Finance (DeFi) ,
Digital Assets ,
Enforcement Actions ,
Investment Products ,
Popular ,
Securities Act ,
Securities and Exchange Commission (SEC) ,
Securities Regulation ,
Securities Violations ,
Structured Financial Products
On December 13, 2023, the U.S. Department of Treasury’s Office of Foreign Assets Control (“OFAC”) announced an enforcement action against CoinList Markets LLC (“CoinList”) for violations of the Ukraine-/Russia-Related...more
12/19/2023
/ Compliance ,
Corruption ,
Crimea ,
Crypto Exchanges ,
Cryptocurrency ,
Economic Sanctions ,
Enforcement Actions ,
Initial Coin Offering (ICOs) ,
Know Your Customers ,
Office of Foreign Assets Control (OFAC) ,
Popular ,
Russia ,
Sanction Violations ,
Ukraine ,
White Collar Crimes
Binance’s $4.3 billion fine is one of the largest penalties the DOJ has ever obtained from a corporate defendant. Furthermore, its founder and CEO Changpeng Zhao (“CZ”) was also personally subject to a fine, amounting to...more
12/14/2023
/ BSA/AML ,
Criminal Prosecution ,
Crypto Exchanges ,
Cryptoassets ,
Cryptocurrency ,
Department of Justice (DOJ) ,
Enforcement Actions ,
Financial Services Industry ,
Financial Transactions ,
FinCEN ,
FinTech ,
Money Transmitter ,
Settlement ,
Statutory Violations
Binance’s settlement with the DOJ represents one of the largest criminal corporate enforcement actions ever. A review of the facts reveals that the penalty is likely warranted, as the misconduct was driven from the very...more
12/13/2023
/ BSA/AML ,
Criminal Prosecution ,
Crypto Exchanges ,
Cryptoassets ,
Cryptocurrency ,
Department of Justice (DOJ) ,
Enforcement Actions ,
Financial Services Industry ,
Financial Transactions ,
FinTech ,
Know Your Customers ,
Money Transmitter ,
Settlement ,
Statutory Violations
On November 21, 2023, The U.S. Department of Justice (“DOJ”) announced settlement agreements with Binance Holdings Limited (“Binance”), the world’s largest cryptocurrency exchange, and Changpeng Zhao (affectionally known as...more
12/12/2023
/ BSA/AML ,
CFTC ,
Criminal Prosecution ,
Crypto Exchanges ,
Cryptoassets ,
Cryptocurrency ,
Department of Justice (DOJ) ,
Enforcement Actions ,
Financial Services Industry ,
Financial Transactions ,
FinCEN ,
FinTech ,
Guilty Pleas ,
International Emergency Economic Powers Act (IEEPA) ,
Money Transmitter ,
Office of Foreign Assets Control (OFAC) ,
Popular ,
Settlement ,
Statutory Violations
On November 1, 2023, the U.S. Department of Justice (“DOJ”) and U.S. Securities and Exchange Commission (“SEC”) brought charges against cryptocurrency project SafeMoon LLC and its U.S. subsidiary SafeMoon US LLC, along with...more
11/17/2023
/ Cryptocurrency ,
Department of Justice (DOJ) ,
Digital Assets ,
Enforcement Actions ,
Financial Fraud ,
Financial Services Industry ,
Popular ,
Securities and Exchange Commission (SEC) ,
Securities Regulation ,
Securities Violations ,
Unregistered Securities
Matt Stankiewicz, Partner at The Volkov Law Group, rejoins the podcast to review the recent Ripple decision by District Judge Torres at the Southern District of New York and the recent indictment of Celsius Networks' CEO.
On...more
On June 6, 2023, the U.S. Securities and Exchange Commission (“SEC”) officially filed suit against Coinbase, Inc. (“Coinbase”) alleging the company operated as an unregistered securities exchange, broker, and clearing...more
In a complaint filed June 5, 2023, the U.S. Securities and Exchange Commission (“SEC”) is suing the world’s larged cryptocurrency exchange – Binance Holdings Ltd. (“Binance”), BAM Trading Services Inc. (“BAM Trading”), BAM...more
On Wednesday, January 18, 2013, the U.S. Department of Justice (“DOJ”) unsealed a criminal complaint in the Eastern District of New York charging Russian-national Anatoly Legkodymov, a senior executive at Bitzlato Ltd....more
On October 11, 2022, the Office of Foreign Assets Control (“OFAC”) and the Financial Crimes Enforcement Network (“FinCEN”) announced settlement agreements with Bittrex, Inc. (“Bittrex”), a cryptocurrency exchange based in...more
Continuing with both its crackdown on cybercriminals and illicit digital marketplaces, along with its continued economic pressure on the Russian Federation, OFAC has sanctioned two entities that fit both criteria. On April...more
4/13/2022
/ Cryptocurrency ,
Currency Exchange ,
Cyber Crimes ,
Darknet ,
Economic Sanctions ,
Enforcement Actions ,
Military Conflict ,
Money Services Business ,
Office of Foreign Assets Control (OFAC) ,
Popular ,
Ransomware ,
Russia ,
Ukraine ,
Virtual Currency
On Friday March 12, Bloomberg News reported that the Commodity Futures Trading Commission (“CFTC”) has opened an inquiry into Binance Holdings Ltd. (“Binance”) to investigate allegations that the exchange allowed US citizens...more
3/16/2021
/ Bitcoin ,
CFTC ,
Crypto Exchanges ,
Cryptocurrency ,
Derivatives ,
Digital Currency ,
Enforcement Actions ,
Investigations ,
Know Your Customers ,
Popular ,
Trading Platforms ,
Virtual Currency
In late February, the New York Attorney General’s office (“NYAG”) settled with Bitfinex and Tether stemming from charges relating to financial mismanagement. The NYAG alleged that Bitfinex and Tether attempted to cover up...more
3/15/2021
/ Banking Sector ,
Bitcoin ,
Crypto Exchanges ,
Cryptocurrency ,
Digital Currency ,
Enforcement Actions ,
Financial Transactions ,
Mismanagement ,
Settlement Agreements ,
Stablecoins ,
Virtual Currency
On Monday, Ripple Labs, Inc.; Brad Garlinghouse, CEO; Christian Larsen, board chairman; and the U.S. Securities and Exchange Commission (“SEC”) filed a joint letter with Judge Analisa Torres in the Southern District of New...more
Following the SEC’s December filing, Ripple Labs, Inc. has now responded and taken its first steps to defend itself against the allegations. Ripple’s first move was to file FOIA request with the SEC to obtain the information...more
In December 2020, three days before Christmas, the SEC filed a significant case against Ripple, the major cryptocurrency company. Ripple is a major cryptocurrency company, utilizing the technology to create a global digital...more
1/13/2021
/ Accredited Investors ,
Compliance ,
Cryptocurrency ,
Digital Assets ,
Digital Currency ,
Enforcement Actions ,
Offering Fraud ,
Popular ,
Ripple ,
Securities and Exchange Commission (SEC) ,
Securities Regulation ,
Securities Violations ,
Unregistered Securities
DOJ’s Cyber Digital Task Force’s report, “Cryptocurrency: An Enforcement Framework,” provides a comprehensive on the growing partnerships between DOJ and other offices within the executive branch....more
11/3/2020
/ BitMEX ,
CFTC ,
Compliance ,
Corruption ,
Cryptocurrency ,
Department of Justice (DOJ) ,
Enforcement Actions ,
Financial Crimes ,
Financial Transactions ,
FinCEN ,
Foreign Corrupt Practices Act (FCPA) ,
Initial Coin Offering (ICOs) ,
IRS ,
Know Your Customers ,
Money Laundering ,
OCC ,
Popular ,
Securities and Exchange Commission (SEC) ,
Virtual Currency ,
White Collar Crimes
Earlier this month, the Department of Justice (“DOJ”), through its Cyber Digital Task Force (hereinafter the “Task Force”), published its 83-page crypto guidance report titled “Cryptocurrency: An Enforcement Framework.”...more
11/3/2020
/ CFTC ,
Cryptocurrency ,
Department of Justice (DOJ) ,
Enforcement Actions ,
Financial Action Task Force ,
Financial Crimes ,
FinCEN ,
IRS ,
Mail Fraud ,
Money Laundering ,
Office of Foreign Assets Control (OFAC) ,
Popular ,
Securities and Exchange Commission (SEC) ,
Securities Fraud ,
Virtual Currency ,
Wire Fraud
Sanctions law can be complex. The sanctions programs themselves are often a tangled web of do’s and don’t’s – various wind down periods, General Licenses, payment structures, and more. ...more