A KuCoin, one of the largest cryptocurrency platforms, along with two of its founders, faced heavy charges from the United States Department of Justice on March 26, leading the exchange to experience massive outflows within hours of the news.
KuCoin exchange saw approximately $500 million in outflows within hours of the US government's accusations, as noted by blockchain analytics platform Spot On Chain on March 26.
“About $500 million was withdrawn from the Kucoin exchange on the Ethereum network in the last few hours after the US government indicted KuCoin on criminal charges. Largest withdrawal: ~274M $USDT ~15,5K $ETH (~$55M) ~50M $ONDO (~$46M) ~12M $FET (~$34M) ~95,38M $GHX (~$21,8M)” , he wrote.
~$500M has been withdrawn from the Kucoin exchange on the Ethereum network in the past few hours after the US Government indicted KuCoin on Criminal Charges.
The top withdrawing:
~274M $ USDT
~15.5K $ ETH (~$55M)
~50M $ONDO (~$46M)
~12M $FET (~$34M)
~95.38M $GHX (~$21.8M)More ... pic.twitter.com/6gQW0ybnZB
— Spot On Chain (@spotonchain) March 27, 2024
Cryptocurrency Exchange KuCoin Faces Accusations of Alleged Large-Scale Criminal Conspiracy
In a development that caught the attention of investors and enthusiasts of the cryptocurrency market Around the world, KuCoin, one of the largest cryptocurrency platforms, along with two of its founders, find themselves in the eye of the storm.
On Tuesday, the United States Department of Justice launched heavy-handed charges against the company and its founders for allegedly conspiring to violate the Bank Secrecy Act by neglecting to implement an adequate anti-money laundering program. This action would have facilitated money laundering operations and terrorist activities through its platform.
Damian Williams, a US Attorney, highlighted the seriousness of the situation, stating: “As alleged, by failing to implement even basic anti-money laundering policies, the defendants allowed KuCoin to operate in the shadows of the financial markets and be used as a a haven for illicit money laundering, with KuCoin receiving over $5 billion and sending over $4 billion in suspicious and criminal funds.”
